With aviation turbine fuel (ATF) prices surging by nearly 35% and the Rupee hitting all-time lows, the profitability of the aviation sector might suffer, analysts said on Monday.
An increase in jet fuel price raises the operating cost for airlines. ATF makes up to 40 per cent of an airline’s operating cost. As per reports, Civil Aviation Minister Jyotiraditya Scindia recently held a detailed discussion with the advisory group of airlines on ATF in India and abroad, along with steps to mitigate the burgeoning pressure of rising prices.
