India’s largest airline, IndiGo, has revised fuel surcharges across domestic and international routes for bookings made from April 2, marking its second such increase in under three weeks amid a sharp spike in air turbine fuel (ATF) prices.
The airline had earlier, from March 14, introduced a fuel surcharge ranging between Rs 425 and Rs 2,300 per passenger across domestic and international tickets. The latest revision reflects continued pressure from rising jet fuel costs, with IATA’s Jet Fuel Monitor indicating a more than 130% month-on-month surge in the region.
Distance-Based Domestic Slabs
For domestic operations, however, the government has allowed only a partial and staggered pass-through of 25%, cushioning the impact on passengers. IndiGo has accordingly recalibrated its fuel surcharge based on distance slabs. Charges now range from Rs 275 for flights up to 500 km to Rs 950 for sectors beyond 2,000 km. Intermediate slabs include Rs 400 for 501–1,000 km, Rs 600 for 1,001–1,500 km and Rs 800 for 1,501–2,000 km.
International Routes Face Steeper Hikes
On international routes, where ATF prices have more than doubled over the past month, the increase is steeper. Surcharges start at Rs 900 for short-haul subcontinent routes and go up to Rs 10,000 for long-haul destinations such as the UK and Europe. Flights to the Gulf and Middle East will attract charges of Rs 3,000–Rs 5,000, while Southeast Asia and China routes will see Rs 3,500–Rs 5,000 per sector.
IndiGo said the revised charges represent only a partial pass-through of higher fuel costs. Fully offsetting the increase would require significant fare hikes, it noted, adding that the airline has sought to limit the burden on passengers. The airline has acknowledged the Centre’s intervention, stating that without it, the April spike in fuel costs would have significantly impacted affordability of domestic air travel. Terming the move a response to a “sudden and substantial change” in the operating environment, IndiGo said it will continue to monitor fuel trends and revise charges as necessary. The development underscores the pressure on Indian airlines, with fuel accounting for nearly 40% of operating costs, making calibrated fare actions critical to protect margins.