Air India raises surcharges: Passengers urged to check fares before booking

Air India says new fuel surcharge essential to cover costs, avoid flight cancellations

Last updated:
Lekshmy Pavithran, Assistant Online Editor
ATF costs, nearly 40% of airline expenses, surge in India amid high Excise Duty and VAT
ATF costs, nearly 40% of airline expenses, surge in India amid high Excise Duty and VAT
Courtesy airindia.com

The Air India group, including Air India Express, has announced a phased increase in fuel surcharges on domestic and international flights, starting March 12, 2026, due to rising jet fuel prices driven by geopolitical tensions in the Gulf region.

Stay updated: Get the latest faster by downloading the Gulf News app - it's completely free. Click here for Apple or here for Android. You can also find it on the Huawei AppGallery.

Aviation turbine fuel (ATF) costs, which make up nearly 40% of airline operating expenses, have surged since early March, amplified in India by high Excise Duty and VAT in major cities like Delhi and Mumbai.

Phased implementation of fuel surcharges

Phase 1 — Effective March 12 (new bookings only)

RegionCurrent SurchargeIncreaseRevised Surcharge
Domestic IndiaNot appliedINR 399INR 399
SAARCNot appliedINR 399INR 399
West Asia / Middle EastNot appliedUSD 10USD 10
Southeast AsiaUSD 40USD 20USD 60
AfricaUSD 60USD 30USD 90

Note: Fuel surcharge for Singapore flights applies from Phase 1.

Phase 2 — Effective March 18 (new bookings only)

RegionCurrent SurchargeIncreaseRevised Surcharge
EuropeUSD 100USD 25USD 125
North AmericaUSD 150USD 50USD 200
AustraliaUSD 150USD 50USD 200

Phase 3 will cover Far East markets — including Hong Kong, Japan, and South Korea — with details to be announced later.

Key points for passengers

  • Bookings made before the effective dates will not attract the new surcharge unless there are date or itinerary changes.

  • Air India stresses the surcharge is necessary to cover operating costs and prevent cancellations.

  • The airline will review surcharges periodically and adjust as the situation evolves.

Passengers are advised to check their bookings and fare details before travel and note that Air India Express currently applies no fuel surcharge on its flights.

Get Updates on Topics You Choose

By signing up, you agree to our Privacy Policy and Terms of Use.
Up Next