New Delhi: At a time when India's airlines are fighting headwinds from rising fuel costs and disrupted global oil supplies, the Maharashtra government has taken a step to ease the burden on carriers.
The state has slashed the Value Added Tax (VAT) on Aviation Turbine Fuel (ATF) from 18 per cent to 7 per cent. The reduced VAT will be applicable from May 15 to November 14. This move, aimed at reducing operating costs, comes against the backdrop of the ongoing Iran war and its knock-on effects on fuel markets.
The conflict in Middle East has disrupted crude flows and led to jet fuel price spikes, forcing airlines to reroute flights and burn more fuel as key airspaces remain closed. Due to the increased ATF prices, many airlines, including Air India, have reduced flights to certain destinations.
Union Civil Aviation Minister Ram Mohan Naidu Kinjarapu highlighted these challenges in a post on X. He said the Middle East crisis has created issues like airspace closures, "uncertain operations, spike in ATF prices," and added that the Centre has already taken steps like capping ATF prices for domestic operators, reducing airport charges and providing emergency credit linkage to help the industry.
15/05/2026 NDTV
To Read the News in full at Source, Click the Headline
0 Post a Comment:
Post a Comment