Jet fuel price this year has being going up. Hiked by a steep 6 per cent on firming international rates and since August the third straight increase in rates.
The rapid increase in jet fuel prices since August this year may cause air ticket prices going up by as much as 15 per cent. Airlines are aware and getting ready for a sharp raise in tickets sales after the spike in Aviation Turbine Fuel (ATF), with he latest which was on Sunday when oil marketing companies raised prices by 6 per cent.
After the third consecutive monthly hike, ATF will now begin to cost Rs 53,046 per kiloliter in Delhi, up Rs 3,026 per kl from Rs 50,020. The price was augmented by 4 per cent last month.
Jet fuel prices hiked by 6 per cent and Airlines are going through the double impact of augmenting fuel prices and weakening value of the rupee against the dollar. Apart from this, the government has also started to impose a regional connectivity tax of Rs 5,000 on all flights from August 1. Meantime, most airlines transfer this cost to passengers fearing running out of options to avoid the cost on the consumer.
Cheap crude prices till recently had allowed airlines to offer low-cost flight tickets to passengers, leading to over 20 per cent growth in local air traffic for several months in a row till this summer.
OMCs on Sunday hiked jet fuel prices by the steep 6 per cent on firming international rates, the third straight increase in rates since August.
The cost of ATF will now go for Rs 53,045 per kiloliter (kl) in Delhi, Rs 3,025 per kl more than Rs 50,020 previously, according to a price raise notification by Indian Oil Corp, the nation’s biggest fuel retailer. A record of the third consecutive monthly hike in ATF price, the last being by 4 per cent (Rs 1,910 per kl) on September 1.
We’d love to hear from you. Comment box below!
Airline ticket prices are likely to follow.
Thanks brain for the feedback. They already started raising!
Happy Flying!
Goodluck to the prices of airlines tickets. better to buy now. LOL
Thanks partofthatworld for the feedback. The best time is now for thanksgiving flights.
Happy Flying!
Oh, that is an “ouch” for travelers, too! Yes, now is the time to book!
Thank you Ann for the response. Make a good search and you’ll surely find some decent prices!
Happy Flying!
Oh noooo. This is not good!! Hehe. I’m sure plane ticket prices will surely go up as well 🙁
Thank you Johna for the response. They will but don’t worry much just book early and smile later.
Happy Flying!
Jet Fuel prices directly impact air fares. Also air fare is the major component of the travel budget so as a natural corollary the travel budgets are going to go up. Need to tighten the strings and look for more deals.
Thank you Sandy for the feedback. Nobody likes to be on the losing side so, airlines are mindful on how they make increase.
Happy Flying!
Better book flights earlier to get a good deal, eh!
Thank you Cathy for the feedback. Book earlier that’s how you get the best deal. Thanks!
Happy Flying!
Thanks for the feedback! The flight fares keep increasing day by day, Shouldn’t they be coming down with newer , cheaper and more accessible technologies powering them?
Thank you Neha for the feedback. Airlines don’t like to lose customers so they are doing the best to maintain a moderate price.
Happy Flying!
Expect hike in airline tickets now ! Thanks for sharing though
Thank you Swati for the response. Yes, they are already getting a bit high.
Happy Flying!
Oh, thanks for info. I may conside buying tickets earlier
Thank you Aleksander for the response. Compare nearby airports to amplify your search.
Happy Flying!
It makes travel all the more costly. Tough luck.
Thank you Swayam for the feedback. These are information to keep in mind but you can buy cheap tickets if booking earlier.
Happy Flying!
Ooh, this is bad news. It will only lead to one thing and that is an airfare hike. As you said, some costs will be passed onto the passengers.
Thank you Marge for the feedback. Take your time and compare flight tickets I’m sure you’ll get something cheap despite the hike.
Happy Flying!