IndiGo shares in focus as airline imposes fuel surcharge amid rising ATF prices from West Asia war

Shares of IndiGo, India’s largest airline, will be in focus heading into trade on Monday after it introduced a fuel surcharge on domestic and international flights effective 00:01 hours on March 14, 2026, citing a sharp surge in jet fuel prices amid the ongoing geopolitical tensions in the Middle East.According to IATA’s Jet Fuel Monitor, fuel prices in the region have risen by more than 85%. Aviation Turbine Fuel accounts for a significant portion of airlines’ operating costs, and the sudden spike is expected to materially impact carriers’ cost structures and network operations, including those of IndiGo.

The airline said fully offsetting the increase in fuel prices would require a substantial rise in ticket fares. Instead, it has opted to introduce a relatively smaller fuel surcharge while keeping in mind the additional burden on passengers.Under the revised pricing effective March 14, 2026, domestic and Indian subcontinent passengers will be charged an additional Rs 425 per sector. For international routes, the fuel surcharge will range between Rs 900 and Rs 2,300 depending on the destination.

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Amid the evolving situation in the Middle East, IndiGo said it will operate 252 weekly flights to and from the region as it cautiously adjusts its network between March 16 and March 28, 2026.
The airline is gradually returning to its regular schedule, with 126 weekly flights to and from Saudi Arabia and 28 weekly flights to and from Oman. It will also operate 98 weekly flights to and from the UAE.
IndiGo also said it will continue to closely monitor developments in the region given the geopolitical risks, airspace restrictions, airport constraints and rising fuel and insurance costs. The airline added that it is aligning capacity with prevailing conditions while maintaining essential connectivity to ensure safe and reliable operations. As part of these network adjustments, services to Doha, Kuwait, Bahrain, Dammam, Fujairah, Ras Al Khaimah and Sharjah will remain suspended until March 28, 2026.
The airline said it is taking steps to support passengers during the disruption and remains prepared to operate additional ad hoc flights for stranded travellers if required. IndiGo is also providing real-time updates on its website and social media platforms and has advised passengers to check the latest flight information and travel advisories before planning their journeys.The carrier said it is coordinating with relevant authorities and will continue to adjust its operations as the situation evolves, while maintaining its focus on the safety and security of its passengers, crew and aircraft.

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