
Air India Adjusts Fuel Surcharges in Response to Rising Costs
Air India has revised its fuel surcharge structure for domestic and international flights effective April 8, 2026, due to the surge in global jet fuel prices.
Air India group recently announced changes to its fuel surcharge for domestic and international flights, effective from April 8, 2026. This adjustment follows a significant increase in global jet fuel prices, which have almost doubled in recent weeks.
For domestic routes, the airline will switch to a distance-based surcharge structure. The new surcharges will range from INR 299 for flight distances up to 500 km to INR 899 for distances exceeding 2,000 km. This change is consistent with the Indian government’s limit on domestic Aviation Turbine Fuel (ATF) price increases, capped at 25%.
In the international context, Air India plans to impose more substantial surcharge increases due to the absence of equivalent price caps. According to the International Air Transport Association (IATA), the global average jet fuel price rose to $195.19 (USD) per barrel by late March, up from $99.40 (USD) in February. The airline will absorb a large portion of these price hikes, with new surcharges that will vary from $24 (USD) for SAARC countries to $280 (USD) for regions including North America and Australia.
Tickets issued prior to the implementation date will not incur these new surcharges unless modifications are made. Air India will continue to review and adjust these surcharges as necessary. Since its acquisition by Tata Sons in 2022, the airline is currently undergoing a significant transformation, which includes plans to acquire 600 new aircraft and establish a new flying school in 2026.
