Airfares To Get Costlier From April 1? Government Lifts Domestic Fare Caps

It’s bad news for airline passengers, as they may have to pay higher airfares from April 1. Due to the ongoing conflict in the Middle East, the aviation sector is already facing high operating costs and thinning profit margins, which is why the government has announced plans to lift the air cap, leading to Indian airlines’ price hikes. Read on to know more about it.

Airlines To Raise Fare Prices From April 1

According to a News18 report, Civil Aviation Minister Ram Mohan Naidu told the media in Vishakhapatnam that the impact of rising global fuel prices due to the ongoing conflict will be felt from April 1. ATF prices are set on the first of each month, and the impact will be visible from April 1st, he added. Aviation Turbine Fuel (ATF) is commonly used in commercial flights, military jets, and cargo planes. The rise in ATF prices will lead to higher airfares and costs. According to the news portal, the government has taken another step to remove airfare caps on domestic flights, allowing airlines to increase fares without prior approval.

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In 2025, following the IndiGo flight disruption, the government imposed a temporary airfare cap to prevent an exponential price rise. Removing the cap on domestic airfares allows carriers greater flexibility to set prices based on demand and costs.

Indian airlines such as IndiGo, Air India, and now Akasa Air have increased fares due to rising fuel costs. Recently, Akasa Air has rolled out a new fuel surcharge on its domestic and international flights for bookings made after 00:01 hours on March 15, citing a sharp increase in ATF costs. Following the rising tensions in the Middle East, Air India has also announced a fuel hike on both domestic and international routes. The ongoing conflict in West Asia has significantly disrupted global energy supplies, affecting the movement of crude oil and gas.

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Passengers will now face a significant increase in airfare, leading to an expensive journey. What are your thoughts on this? Please let us know in the comments.

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