Civil Aviation Ministry Joint Secretary Asangba Chuba Ao.
New Delhi: India’s aviation sector is facing mounting financial strain due to the ongoing West Asia conflict, according to Civil Aviation Ministry Joint Secretary Asangba Chuba Ao.
Speaking at an inter-ministerial briefing on recent developments in the region, Ao highlighted a dual impact on airlines that has emerged over the past month. He noted that nearly 50% of international operations by Indian carriers were previously directed toward West Asia, making the region a critical source of revenue.
“With disruptions in this corridor, airline revenues have taken a hit, affecting overall financial performance,” Ao said.
In addition to reduced earnings, airlines are grappling with rising Aviation Turbine Fuel (ATF) prices. Although fuel costs have increased, the government has taken steps to ensure that the impact on domestic routes remains relatively moderate.
To manage escalating operational expenses, most airlines have introduced distance-based surcharges, passing part of the burden onto passengers. These adjustments are aimed at offsetting the additional costs driven primarily by higher fuel prices.
The combination of declining international traffic and increased fuel expenses has created a challenging environment for India’s aviation industry, raising concerns about profitability and sustainability in the near term.
