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What is the story about?
The Indian government has increased the price of aviation turbine fuel (ATF) by over 115% in national capital New Delhi to ₹2.07 lakh per kilo litre amid the ongoing West Asia war.
In Delhi, the ATF will cost ₹2,07,341.22 lakh per kL from April 1, as compared to ₹96,638 per kL in the previous month.
The increase of over ₹1.14 lakh stems from the global oil and fuel crisis due to the ongoing Iran-US-Israel war.
In Kolkata, the ATF price now stands at ₹2,05,955.33, up from ₹99,587.14 in March. In Chennai, the ATF now costs ₹2,14,597.66, witnessing an increase from ₹1,00,280.49 in the previous month.
In Mumbai, the ATF price is now at ₹1,94,968.67 in comparison to last month's ₹90,451.87, it is one of the cheapest among the major cities.
Table showing ATF Price Hikes across cities
The development puts the airline stocks such as InterGlobe Aviation (parent company of IndiGo) and SpiceJet in focus on Wednesday, April 1.
The airfare costs are expected to rise for customers due to the exponential ATF price hikes.
Also Read: LPG cylinder prices rise again: 19-kg commercial rates up in Delhi, Kolkata, Mumbai, Chennai
The move comes after Civil Aviation Minister K Rammohan Naidu said in the Rajya Sabha on March 30 that the country has an adequate supply of ATF for next two months.
"We have an adequate supply of ATF in our country right now. The regular process is that the production that happens for ATF, almost half of it is for domestic consumption and half is exported," Naidu had said while responding to a query on the oil crisis in India amid the war, as per news agency PTI
"We have supplies for the next 60 days without any interruption, and we don't foresee any kind of problem in the ATF production in our country," he added.
Govt exploring options to cool down ATF prices
The Civil Aviation Ministry is exploring options and evaluating intervention options with stakeholders to control the steep rise in the ATF prices, sources told CNBC-TV18.
The Centre may urge states to cut VAT on ATF to ease airline cost pressures. Meanwhile, the airlines and oil marketing companies (OMCs) are working to cap ATF crack spreads between $10 and $22 per barrel, they added.
A crack spread is the refining margin of the refinery. It averages around $15-30/ barrel but have spiked sharply to $70+ per barrel due to the West Asia war. Capping this margin could help in stabilising the volatile jet fuel costs for airlines.
Also Read: Iran US Israel War Live Updates
In Delhi, the ATF will cost ₹2,07,341.22 lakh per kL from April 1, as compared to ₹96,638 per kL in the previous month.
The increase of over ₹1.14 lakh stems from the global oil and fuel crisis due to the ongoing Iran-US-Israel war.
In Kolkata, the ATF price now stands at ₹2,05,955.33, up from ₹99,587.14 in March. In Chennai, the ATF now costs ₹2,14,597.66, witnessing an increase from ₹1,00,280.49 in the previous month.
In Mumbai, the ATF price is now at ₹1,94,968.67 in comparison to last month's ₹90,451.87, it is one of the cheapest among the major cities.
Table showing ATF Price Hikes across cities
| City | April 1, 2026 – Current (₹/KL) | March 1, 2026 – Previous (₹/KL) | Change (₹) |
| Delhi | 207,341.22 | 96,638.14 | 110,703.08 |
| Kolkata | 205,955.33 | 99,587.14 | 106,368.19 |
| Mumbai | 194,968.67 | 90,451.87 | 104,516.80 |
| Chennai | 214,597.66 | 100,280.49 | 114,317.17 |
The development puts the airline stocks such as InterGlobe Aviation (parent company of IndiGo) and SpiceJet in focus on Wednesday, April 1.
The airfare costs are expected to rise for customers due to the exponential ATF price hikes.
Also Read: LPG cylinder prices rise again: 19-kg commercial rates up in Delhi, Kolkata, Mumbai, Chennai
The move comes after Civil Aviation Minister K Rammohan Naidu said in the Rajya Sabha on March 30 that the country has an adequate supply of ATF for next two months.
"We have an adequate supply of ATF in our country right now. The regular process is that the production that happens for ATF, almost half of it is for domestic consumption and half is exported," Naidu had said while responding to a query on the oil crisis in India amid the war, as per news agency PTI
"We have supplies for the next 60 days without any interruption, and we don't foresee any kind of problem in the ATF production in our country," he added.
Govt exploring options to cool down ATF prices
The Civil Aviation Ministry is exploring options and evaluating intervention options with stakeholders to control the steep rise in the ATF prices, sources told CNBC-TV18.
The Centre may urge states to cut VAT on ATF to ease airline cost pressures. Meanwhile, the airlines and oil marketing companies (OMCs) are working to cap ATF crack spreads between $10 and $22 per barrel, they added.
A crack spread is the refining margin of the refinery. It averages around $15-30/ barrel but have spiked sharply to $70+ per barrel due to the West Asia war. Capping this margin could help in stabilising the volatile jet fuel costs for airlines.
Also Read: Iran US Israel War Live Updates
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