New Delhi: The government Wednesday announced a hike in air turbine fuel (ATF) prices following a sharp rise in international crude oil prices, but while it will be applicable in its entirety on international airlines, domestic airlines will be charged only 25 per cent for now. The hike will come to Rs 21 per litre including taxes for domestic carriers and Rs 110 per litre for international airlines.
A government official said that although ATF prices for the domestic market had been expected to rise by over 100 per cent in April, the increase was moderated to 25 per cent to cushion the burden on domestic passengers.
Speaking at the inter-ministerial briefing Wednesday, Sujata Sharma, joint secretary at the Ministry of Petroleum and Natural Gas, clarified that the 25 per cent hike translates to about Rs 21 per litre in the final price paid by airlines, including taxes and cess, while the increase in the base price alone is around Rs 15 per litre.
On the government’s decision, Air India posted on X: “The government’s decision to moderate the ATF price increase for domestic operations is a thoughtful and timely step that brings welcome relief to the aviation sector in these unprecedented times.”
The Government’s decision to moderate the ATF price increase for domestic operations is a thoughtful and timely step that brings welcome relief to the aviation sector in these unprecedented times. Air India group extends its sincere gratitude to the Hon’ble Prime Minister, the… https://t.co/WnvfQBCi0S
— Air India (@airindia) April 1, 2026
On the Ministry of Petroleum and Natural Gas announcing a 25 per cent staggered increase on base price of ATF for domestic airlines, Asangba Chuba, joint secretary at the Ministry of Civil Aviation said: “The Indian aviation industry has welcomed this important decision and strategic decision by the Government of India to implement this limited increase of 25 per cent on aviation turbine fuel prices for domestic schedule carriers on domestic routes.”
Chuba told reporters that while some airlines have already started levying fuel surcharges, the recent price hike will now allow airlines to recalibrate their pricing and pull back on fuel surcharges.
However, with ATF accounting for about 40 per cent of an airline’s operational costs, air travel is expected to become more expensive.
Sujata Sharma also said the following at the inter-ministerial briefing.
‘Brent crude price rising’
“About two months ago, Brent crude was trading in the range of around $70 per barrel, whereas today it has crossed $100 per barrel. Despite this increase, there has been no rise in petrol and diesel prices for domestic consumers,” Sharma said.
‘LPG supply stable’
On LPG, Sharma said supplies remain stable, with about 60 lakh cylinders delivered on Tuesday. Additionally, over 55,000 tonnes of commercial LPG were sold during the month, indicating steady demand.
There are 33.5 crore domestic LPG connections across India, including 10.5 crore PM Ujjwala connections. “We are very close to saturation as far as LPG connections is concerned,” Sharma said.
She clarified that despite the rise in international LPG prices, domestic rates remain unchanged. “Compared to last month, international prices, particularly the Saudi CP benchmark, have seen a significant increase, rising from $522 to $780, which is an increase of about 44 per cent. Despite this, there has been no increase in LPG cylinder prices for domestic consumers,” she said.
‘46% fertiliser stock already available’
On agriculture, Maninder Kaur Dwivedi, additional secretary at the Ministry of Agriculture and Farmers Welfare, said that for the upcoming Kharif season, nearly 390.54 lakh tonnes of fertiliser would be required, of which 46 per cent is already available as opening stock.
On seed availability, Dwivedi said that around 166.46 lakh quintals of seeds are required for the Kharif season 2026, with a surplus of 19.29 lakh quintals available.
The ministry said there is surplus availability of seeds for paddy, soybean, groundnut, maize and pulses.
“The only minor hurdle encountered in this regard was the requirement for LPG during the past month to facilitate the drying of hybrid maize seeds, however, through coordination with the Ministry of Petroleum, adequate supplies were made available,” Dwivedi said.
Reports on oil vessel Ping Shun
On reports of the oil vessel Ping Shun carrying 600 thousand barrels of Iranian oil to Vadinar port to arrive on 04 April, Mukesh Mangal, additional secretary at the Ministry of Ports, Shipping and Waterways, said the ministry does not have any specific information on this vessel as purchases are made by oil marketing companies.
(Edited by Viny Mishra)