New Delhi, Mar 24 — IndiGo on Tuesday said any further increase in airfares due to rising operational costs could impact passenger demand, as airlines grapple with higher fuel prices and disruptions linked to the ongoing Middle East conflict.
“While we have introduced a fuel surcharge to compensate some of this cost, this and other fare increases required will have an effect on demand,” an IndiGo spokesperson said.
The airline said its international operations for the summer schedule will depend on evolving conditions in the region, citing airspace curbs and cost pressures.
“IndiGo’s international schedule was planned at similar levels to winter, but the deployed scale will… vary based on ongoing circumstances in the Middle East,” the spokesperson said.
“There is a very material escalation in operating costs, with fuel and forex-related costs expected to continue to increase very substantially,” the statement added.
IndiGo plans to operate nearly 2,000 daily domestic flights from April under the summer schedule approved by the Directorate General of Civil Aviation (DGCA), effective March 29 to October 24.
However, the current plan is lower than the ongoing winter schedule, which had already seen reductions following operational disruptions in December last year.
The airline said it will “closely monitor” the “extremely fluid operating environment” and recalibrate capacity across domestic and international routes accordingly.
Rising jet fuel prices—accounting for around 40 per cent of Indian carriers’ operating costs—along with higher insurance premiums and sudden airspace restrictions have added to the cost burden.
IndiGo has imposed fuel surcharges ranging from ₹425 to ₹2,300 on tickets since March 14. Other carriers, including Air India, Air India Express and Akasa Air, have also introduced similar charges.