India airfares set to rise further as jet fuel crisis deepens

Despite producing enough jet fuel domestically, India prices ATF at import parity — effectively treating it as if it were imported from the Gulf.

This means airlines pay for notional freight, insurance, and customs duties, making fuel significantly more expensive than at hubs such as Dubai, Singapore, and Kuala Lumpur.

However, authorities have taken some steps to ease the burden.

India has capped monthly fuel price increases at 25 per cent and temporarily reduced airport charges. It has also cut export taxes…