Air India is preparing to cut nearly 100 flights a day as surging jet fuel costs and longer international routings squeeze the economics of a network already under strain.The planned reduction, covering domestic and overseas services, would amount to roughly a tenth of the airline’s daily schedule. Air India operates about 1,100 flights a day across its full-service and group network, and the cuts are expected to affect June and July operations, with the sharpest pressure on services to Europe, North America, Australia and Singapore.
The move marks one of the clearest signs yet that the spike in aviation turbine fuel prices is moving beyond balance-sheet pressure and into passenger schedules. Travellers booked on affected flights are likely to face rescheduling, consolidation of services or changes in connecting itineraries, depending on seat availability and route economics.
Air India Chief Executive and Managing Director Campbell Wilson has told employees that the airline has already reduced some flying during April and May and has little room to avoid further schedule trims. The airline has raised fares and imposed fuel surcharges on some routes, but higher prices can weaken demand, limiting how far costs can be passed on to passengers.
Fuel is one of the largest cost items for airlines, often accounting for up to 40 per cent of operating expenses depending on fleet type, route length and load factor. The impact is more severe on long-haul flights, where fuel burn is high and detours caused by airspace restrictions add both flying time and operating cost.
Air India’s long-haul network is particularly exposed because of its push to rebuild international connectivity after the Tata Group takeover. The airline has been trying to expand and upgrade its global offering while integrating operations, refurbishing aircraft and improving reliability. The fuel shock now threatens to slow that recovery by forcing capacity discipline on routes where yields may not cover higher operating costs.
The pressure has intensified after oil marketing companies revised aviation turbine fuel rates on Friday. Domestic ATF prices were kept unchanged, but jet fuel for international airlines was raised by $76.55 per kilolitre to $1,511.86 per kilolitre in Delhi, a rise of more than 5 per cent. Domestic carriers had already absorbed a steep ATF increase from April 1, when the rate was raised by 25 per cent to ₹104,927.18 per kilolitre.
The sector fears that further revisions could deepen the strain if global crude remains elevated. Oil prices have been volatile because of tensions in West Asia, with shipping and airspace risks feeding into energy markets and operating plans. For airlines, the problem is not only the headline fuel price but the uncertainty it creates for forward schedules, fares and aircraft deployment.
Air India’s international operations have also been affected by airspace closures and longer flight paths. Detours increase fuel consumption, crew duty complications and aircraft utilisation pressure. A flight that takes longer to complete ties up aircraft and crew for more hours, reducing the number of rotations an airline can operate with the same resources.
The impact will be uneven across the network. High-frequency domestic routes may see flight consolidation, while long-haul routes are more vulnerable where aircraft deployment, fuel burn and yields no longer support daily or near-daily operations. Services to Europe and North America carry higher strategic importance but are also among the most exposed to fuel and routing costs.
For passengers, the cuts could mean fewer travel options during the June holiday season and the early monsoon period, when domestic and international demand typically remains active. Corporate travellers, students, visiting families and transit passengers using Air India’s Delhi and Mumbai hubs may face the biggest disruption if schedule changes affect onward connections.
Air India is expected to protect stronger-performing routes and reduce weaker frequencies first. Airlines usually assess load factors, forward bookings, fuel burn, aircraft availability, crew constraints and competitive pricing before finalising such cuts. Routes with thin margins, weak advance bookings or longer detours are more likely to be trimmed.
The decision also comes as the broader aviation market faces rising cost pressure. Carriers across the country have warned that fuel volatility can quickly undermine profitability, especially when fares cannot rise in line with costs. Higher ticket prices risk dampening discretionary travel, while keeping fares low can widen losses.
Air India’s challenge is complicated by its transformation programme. The airline is investing in fleet renewal, cabin upgrades, digital systems and service improvements while trying to repair years of operational weakness. Cutting flights may help conserve cash and reduce loss-making flying, but it could also test passenger confidence at a time when the brand is trying to regain premium international traffic.