Amid the Middle East war, major airlines in India, including Indigo, Spicejet and Akasa Air, are likely to hike ticket prices. The decision comes as the US, Israel and Iran conflict disrupted global oil supplies and pushed crude oil prices sharply higher.
Air India had already announced a ticket price increase on Tuesday, citing escalating tensions in the Middle East. According to the International Energy Agency, the situation could trigger the “biggest-ever oil market disruption”.
As per an NDTV report, crude prices surged further following the closure of the Strait of Hormuz, a key global oil transit route. As a result, airlines such as IndiGo, SpiceJet and Akasa Air have begun internal discussions on introducing fuel surcharges and are expected to finalise their plans soon.
Industry sources noted that airlines are struggling to absorb the rising costs. In addition to expensive crude oil, the weakening of the Indian rupee against the US dollar has created a “double whammy” for the aviation sector.
Currently, Air India and Air India Express have already implemented fuel surcharges on tickets, with the rollout taking place in phases.
Air India said that since early March 2026, the price of aviation turbine fuel (ATF), which accounts for nearly 40 per cent of an airline’s operating costs, has surged significantly due to supply disruptions. The pressure is further intensified in India by high excise duty and VAT on ATF in major metro cities like Delhi and Mumbai, adding strain to airline operating economics.
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The first phase of the surcharge expansion came into effect on March 12 and applies to domestic flights as well as routes to SAARC countries. The second phase will begin on March 18, covering flights to Europe, North America and Australia.
A third phase, which will apply to Far East destinations such as Hong Kong, Japan and South Korea, is expected to be announced later.