India’s aviation sector could see a fare reset if global oil prices remain stable in the long run. K Ram Mohan Naidu, Minister of Civil Aviation has indicated that the government may ask airlines to review fuel surcharges and ancillary charges introduced during the recent spike in aviation fuel costs. “Now that we are seeing prices coming down, we still have to see if this is a long-term reduction or if it is sudden, and we are talking to the airlines on this,” Naidu said.
The minister’s view follows the Centre’s ₹10,000 crore ATF Price Stabilisation Fund aimed at shielding airlines and passengers from the impact of the West Asia crisis. With crude oil prices easing towards US$ 70 per barrel, industry stakeholders believe carriers may face growing pressure to pass on lower fuel costs to travellers. The development could bring relief to passengers and boost travel demand during the upcoming festive and winter travel seasons.
Shreya Bansal is a reporter at TravTalk India, covering the travel and tourism industry. She brings a keen eye for emerging trends, trade developments, and the stories shaping the travel landscape. Through in-depth reporting and on-ground insights, she connects industry stakeholders with news that matters. Beyond travel, Shreya has a growing interest in the premium lifestyle space, particularly the world of fine jewellery and is eager to explore the craftsmanship, culture, and commerce that define luxury living.