BIG update by Air India! Ticket prices to get costlier – Check new rate list

Air India group on Tuesday announced a revision in its fuel surcharge structure across domestic and international routes following a sharp rise in global jet fuel prices.

The airline said the revised charges will come into effect from April 8 for most routes, with some international changes applicable from April 10.

For domestic flights, Air India has moved from a flat surcharge to a distance-based structure. The revision follows the government’s decision to cap the increase in Aviation Turbine Fuel (ATF) prices for domestic operations at 25 per cent.

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Air India New Ticket Price

Under the new structure, passengers flying up to 500 km will pay a fuel surcharge of Rs 299 per sector. For distances between 501 and 1,000 km, the surcharge has been set at Rs 399. Flights covering 1,001 to 1,500 km will attract Rs 549, while those between 1,501 and 2,000 km will see a charge of Rs 749.

For routes beyond 2,000 km, passengers will pay Rs 899 per sector. These changes will be effective from 0901 hours IST on April 8, including flights operated by Air India Express.

On international routes, the airline has introduced steeper revisions due to the absence of any price control on global ATF. The surcharge will vary by region.

Air India hikes international fuel surcharge

Passengers flying to SAARC destinations, excluding Bangladesh, will pay an additional USD 24 per sector. Flights to West Asia and the Middle East will attract USD 50. For routes to China and Southeast Asia, excluding Singapore, the surcharge has been fixed at USD 100, while flights to Singapore will have a surcharge of USD 60.

For long-haul destinations, passengers travelling to Africa will pay USD 130, while those flying to Europe, including the United Kingdom, will be charged USD 205. The surcharge for North America routes has been set at USD 280, and for Australia at USD 280. These revised international charges will be applicable from 0901 hours IST on April 8, with some routes taking effect from 0001 hours IST on April 10.

The airline said tickets issued before the effective dates will not attract the revised surcharge unless passengers make changes to their travel plans that require fare recalculation.

Air India said the increase comes amid a sharp rise in global jet fuel prices. According to data from the International Air Transport Association, the average jet fuel price rose to USD 195.19 per barrel for the week ended March 27, nearly doubling from USD 99.40 at the end of February.

The airline said refinery margins, or crack spreads, have also surged significantly, adding to cost pressures. These margins rose from USD 27.83 per barrel to USD 81.44 within three weeks.

Air India said the revised surcharge does not fully offset the increase in fuel costs and that the airline continues to absorb a part of the impact.

The rise in fuel prices has been linked to ongoing geopolitical tensions in West Asia, which have disrupted energy markets and pushed up crude oil prices.

IndiGo New Rate List

IndiGo has also revised its fuel surcharge structure for both domestic and international routes, effective for bookings made from April 2, 2026.

Apart from fuel costs, airlines are also facing higher insurance expenses. Industry sources said insurers have introduced war-risk premiums for flights operating in sensitive regions following the Iran-Israel conflict.

The additional war-risk premium is estimated at around Rs 30 lakh per round trip for narrow-body aircraft and about Rs 90 lakh for wide-body aircraft.

The surge in operating costs has prompted airlines to revise fares and surcharges. IndiGo has also increased fuel charges for domestic and international routes earlier this month, citing a sharp rise in ATF prices.

Air India said it will continue to review fuel surcharges periodically and make adjustments based on market conditions.