Image is for representational purposes only. | Photo credit: Reuters
The Federation of Indian Airlines (FIA), which represents Air India, IndiGo and SpiceJet, has warned that the sector is under “extreme stress”, with some airlines “on the verge of closure” and has sought urgent relief in fuel prices before the next monthly review on May 1.
The industry body has proposed a “crack band” price mechanism similar to that introduced during COVID-19, under which oil marketing companies (OMCs) would still get higher crude oil costs along with reasonable refining margins. The “crack spread,” or the margins oil companies earn for refining crude into jet fuel, has risen dramatically from $11-18 a barrel earlier to more than $130 a barrel now, pushing ATF prices well above trends for crude oil, which rose from $72 a barrel to $118, the paper said.
Published – 28 Apr 2026 15:23 IST
