Air fares are set to rise after the Air India Group introduced it would introduce a ₹400 fuel surcharge on home flights, whereas worldwide passengers may have to pay an extra $10–50 over the prevailing surcharge amid a surge in aviation fuel prices.
“Since early March 2026, aviation turbine fuel [ATF], which accounts for nearly 40% of an airline’s operating costs, has seen significant price escalation due to supply interruptions. In India, this pressure is amplified by high excise duty and VAT on ATF in major metro cities such as Delhi and Mumbai, magnifying the cost impact and placing substantial strain on airline operating economics,” the Air India Group mentioned in a press assertion. The Group contains Air India and Air India Express.
The new fuel surcharges are being applied in three phases.
The assertion added that the airline will overview its surcharges periodically.
All new bookings comprised of March 12 will appeal to a fuel surcharge of ₹400 on home flights. For worldwide routes, passengers pays an extra $10 on West Asia flights, whereas the surcharge for Southeast Asia routes will improve from $40 to $60, and for Africa routes from $60 to $90.
From March 18, the fuel surcharge on flights to Europe will rise from $100 to $125, whereas routes to North America and Australia will see a rise from $150 to $200.
Phase 3 will apply to and from Far East markets, particularly Hong Kong, Japan and South Korea, which, the airline mentioned, can be introduced in due course.
