• Source:JND

One of India’s leading airlines, Air India has announced a reduction in its international flight operations from May to July. The decision has been taken in view of the rising jet fuel prices, higher operating costs, and ongoing airspace restrictions caused by the West Asia conflict. The airline said longer routes and increased fuel consumption have made many international services unprofitable.

Air India Announces Flight Cuts

The airline has reportedly decided to cut services to several major destinations, including Europe, North America, Australia, and Singapore in June. According to the news agency PTI report, outgoing CEO Campbell Wilson explained the situation of rising fuel prices and operational challenges to staff in a message.

He said, “We have reduced some flying for April and May... A massive rise in jet fuel prices, together with airspace closures and longer flying routes, has caused many of our international flights to become unprofitable to operate.” Wilson also noted that conditions remain difficult and added, “The airspace and jet fuel price situation remains extremely challenging, leaving us no choice but to further trim schedules for June and July.”

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Are Domestic Flights Affected?

Wilson further stated that domestic flights have also been affected, though to a lesser extent due to government limits on fuel price hikes. He said, “The profitability of domestic flights has also been significantly affected, but to a lesser degree, thanks to the government’s limitation of the domestic fuel price rise to 25 per cent.”

Multiple reports suggest that the Air India Group is estimated to have suffered losses of over Rs 22,000 crore in the financial year ending March 31, 2026. Earlier in April, the Federation of Indian Airlines (FIA) raised concerns with the Ministry of Civil Aviation, warning that current aviation fuel prices are making airline operations unviable.

The body also highlighted that aviation turbine fuel (ATF) prices for international operations have risen significantly, which is adding further pressure on the sector.

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