Archive · 27 Jul 2026
Airlines Raise Fares 20.5% in June 2026
Airlines have increased their fares by 20.5% in June 2026 compared to March 2025.
The Ministry of Civil Aviation says this is because the cost of running airlines has gone up a lot.
One big reason is that the price of Aviation Turbine Fuel (ATF) has more than doubled because of a conflict in West Asia.
ATF makes up a big part of the airlines' costs.
The government has tried to help by capping the increase in ATF prices and setting up a unit to monitor airfares.
They are also working on other ways to make flying more affordable.
Airlines have increased fares by 20.5% in June 2026 compared to March 2025.
The increase is due to higher operating costs, including a 100% rise in ATF prices caused by the West Asia conflict.
ATF accounts for 35% to 40% of airlines' total operating expenses.
The government has capped ATF price increases at 25% over the March 2026 base price for April and May 2026.
The DGCA has set up a Tariff Monitoring Unit to ensure transparency in airfares.
- Who
- Airlines and the Ministry of Civil Aviation
- What
- Increase in average airfare by 20.5%
- When
- June 2026 compared to March 2025
- Where
- 72 domestic sectors
- Why
- Increased operating costs, including a 100% rise in ATF prices due to the West Asia conflict
Airlines
Government
Cost Factors
Airlines
Airlines cite increased operating costs, including a 100% rise in ATF prices due to the West Asia conflict, as the reason for the fare hike.
Government
The government has taken proactive steps to make air travel more affordable, such as capping ATF price increases and setting up a Tariff Monitoring Unit.
- Increase in Airfare
- 20.5%
- Period Compared
- June 2026 vs. March 2025
- ATF Price Increase
- Over 100%
- ATF's Share in Operating Costs
- 35% to 40%
- ATF Price Cap
- 25% increase over March 2026 base price
- Tariff Monitoring Unit
- Monitors airfares on 78 routes
