Oil cos hike jet fuel prices by 6%

MUMBAI: State-run oil firms on Tuesday hiked jet fuel prices by 6%, following an increase in crude oil prices in international markets. Indian Oil, Bharat Petroleum and Hindustan Petroleum raised aviation turbine fuel (ATF) prices by Rs 2,306 per kilolitre to Rs 38,558 per kilolitre in Delhi. This comes a fortnight after they raised ATF prices by 12% in Delhi.

In Mumbai, home to the nation���s busiest airport, the rate has gone up from Rs 37,367 per kl to Rs 39,789 per kl. The rise in ATF prices, which constitutes 40% of the operating cost of an airline, will further put pressure on the cash-strapped domestic carriers.

International crude oil prices last week firmed up to a seven-month high of $72 per barrel on hopes of demand revival in the US. No comments from any of the leading airlines were immediately available on the latest price hike. Jet fuel in Kolkata will be dearer at Rs 46,711 per kl from Rs 44,289 per kl while in Chennai, the price has been raised by Rs 2,500 per kl to Rs 42,524 per kl.

ATF prices had peaked to Rs 71,028.26 per kl (in Delhi) in August last year on international crude prices touching a historic high of $147 a barrel. But subsequently the rates had come down, slashed every month till October and twice a month from November.