Akasa Air announced on Saturday that it will increase fares due to a significant rise in aviation turbine fuel prices, which it attributed to evolving geopolitical developments. A spokesperson of the airline said that, starting March 15, a fuel surcharge of Rs 199 to Rs 1,300 will be applied to all new bookings across both domestic and international routes.
“This will not be applicable for any bookings made prior to 00:01 hrs on March 15, 2026. The fuel surcharge will be applied per sector and will vary based on the duration of the flight,” the airline clarified, saying, “We will continue to closely monitor the operating environment and review the fuel surcharge periodically.”
The move comes as most major Indian airlines have either imposed or increased fuel surcharges amid soaring aviation turbine fuel (ATF) prices triggered by the ongoing conflict between Iran on one side and the US, Israel on the other side.
Akasa Air currently holds around 5% of India’s aviation market. The airline operates flights to nearly two dozen domestic destinations, along with several international routes primarily in the Middle East, including Kuwait, Doha, Jeddah, Riyadh, and Abu Dhabi.
IndiGo, India’s largest airline by market share, announced a fare increase on Friday.
Global prices of aviation turbine fuel, which usually make up about 40% of an airline’s operating costs, have witnessed a sharp rise since early March 2026 due to disruptions in regional supply.
Global airfare surge: key factors
Jet fuel prices have nearly doubled since the conflict began on February 28, significantly increasing operating costs. Major flight disruptions are affecting airline schedules worldwide.
Security concerns have prompted many carriers to avoid West Asian and nearby airspace, forcing longer and costlier alternative routes.
International airlines are responding with higher surcharges; for instance, Cathay Pacific will double its long-haul passenger fuel surcharge to HK$1,164 starting March 18, with other carriers implementing similar measures.
Airfares rising: List of major airlines
Akasa Air: The airline announced an additional fuel surcharge ranging from Rs 199 to Rs 1,300 on tickets booked from March 15 onward.
IndiGo: Beginning March 14, the carrier will implement a sector-based fuel surcharge on both domestic and international bookings. Charges start at Rs 425 for domestic and Indian subcontinent routes and may reach up to Rs 2,300 for flights to Europe, with other regions falling between these ranges.
Air India and Air India Express: These airlines introduced a phased surcharge starting March 12, 2026. A Rs 399 fee now applies to domestic and SAARC routes. Flights to Middle East carry a $10 surcharge, while Southeast Asia routes have increased from $40 to $60. From March 18, long-haul surcharges will rise further—up to $125 for Europe and $200 for North US and Australia. Additional revisions are also planned for Far East destinations such as Japan and South Korea.
SpiceJet: The budget airline cautioned that carriers may have no alternative but to impose surcharges if oil prices remain elevated. Founder Ajay Singh has urged the government to cut excise duties and VAT on jet fuel, noting that prices near $90 per barrel are increasingly unsustainable.
AirAsia: The airline had already indicated plans to increase fares in response to rising fuel costs.
Bureau Report
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