Jet Fuel Prices Slashed for Third Month, Commercial LPG Also Cheaper
Fuel Price Cuts Bring Relief to Airlines and Hospitality Sector
In a move that is expected to ease cost pressures on commercial airlines and the hospitality sector, the price of jet fuel has been slashed for the third consecutive month. The reduction in jet fuel prices comes amid a decline in global oil prices.
Jet Fuel Price Reduction
The price of jet fuel, also known as aviation turbine fuel (ATF), has been reduced by 2.82 percent. According to state-owned oil retailers, ATF prices in Delhi dropped by Rs2,414.25 per kilolitre to Rs83,072.55 per kl. This follows a 4.4 percent cut in May and a steep 6.15 percent reduction in April.
Latest ATF Prices Across Key Metros
- Mumbai: Rs77,602.73 per kl
- Chennai: Rs86,103.25 per kl
- Kolkata: Rs86,052.57 per kl
Impact on Airlines and Hospitality Sector
The price cut is expected to ease cost pressures on commercial airlines, where fuel accounts for nearly 40 percent of operating expenses. However, no immediate reaction was available from airline companies. The reduction in fuel prices is also expected to benefit the hospitality sector, which uses commercial LPG cylinders.
Commercial LPG Price Reduction
Commercial LPG prices have been lowered to Rs1,723.50 in Delhi and Rs1,647.50 in Mumbai. This reduction adds to the earlier cuts of Rs14.50 in May and Rs41 in April.
Household LPG Prices Remain Unchanged
Domestic LPG prices for households remain unchanged at Rs853 per 14.2-kg cylinder, after a Rs50 hike implemented in April.
Petrol and Diesel Prices
Despite the downward trend in international oil prices, driven by a subdued demand outlook amid global trade tensions, the retail prices of petrol and diesel remain unchanged in India. Petrol continues to cost Rs94.72 per litre in Delhi, while diesel is priced at Rs87.62.
Future Outlook
The fuel price cuts are expected to have a positive impact on the airlines and hospitality sector. However, the future outlook remains uncertain, and the industry will be closely watching the developments in the global oil market.
