New Delhi: Government on Friday hiked Jet fuel or Air Turbine Fuel (ATF) price by about Rs 1325 per kilolitre.
The ATF price hike is the first increase of the year. However ATF were hiked five times last year adding to the burden of cash-strapped airlines.
Jet fuel constitutes over 40 percent of an airline's operating costs and the increase in prices will put fresh burden on the cash-strapped airlines.
No immediate comments are available from the airlines on the impact of the price hike on passenger fares.
With Agency Inputs