Indian airlines seek fare cap removal as Iran crisis hits operations
By Abhijith Ganapavaram
Published on March 20, 2026.
Indian airlines are seeking the removal of fare caps due to the Iran war, which has resulted in significant revenue losses and increased operational costs. The Federation of Indian Airlines (FIA) has warned that airlines are at risk of severe financial losses and potentially reaching unsustainable financial conditions. The civil aviation ministry and the FIA did not respond to requests for comment. A $1 per barrel change in fuel prices could impact IndiGo's full-year fuel bill by about $3 billion.
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