Air India yet to decide on direct jet fuel import: Ajit Singh

Civil Aviation Minister Ajit Singh has said state-owned Air India has not yet decided about importing aviation turbine fuel (ATF) directly.

The minister was replying to query on asked whether Air India is going to save Rs 300 crore by direct import of the jet fuel.

ATF now sold in the country is nearly 50-60 per cent costlier than the price in overseas markets like Bangkok, Singapore or Dubai. An additional 3-30 per cent state sales tax is added to the original value of the fuel, which is supplied by the three state-owned oil marketing companies.

By importing directly, the airlines would save on fuel costs.

Four domestic airlines - Kingfisher, SpiceJet, Indigo and Go Airlines - have already got permission to import ATF directly.