Aviation turbine fuel (ATF), or jet fuel, has been reduced by ₹5 per litre, bringing the price down to ₹110 per litre in Delhi, PTI, quoting industry sources, reports. The reduction comes in the wake of a ceasefire in West Asia, which has caused oil prices to ease globally.

This is the first reduction in prices since the West Asia crisis caused a record jump in jet fuel prices. Vessel traffic in the Strait of Hormuz had been halted due to the conflict involving the US, Israel and Iran that included missile and drone exchanges between the parties. The main water route through which about one-fifth of the world's oil and gas supplies pass was effectively closed, leading to significant disruption of energy supplies worldwide.

During the crisis period, ATF prices rose drastically on April 1, with Indian Oil Corporation (IOC) listing a price of ₹2,07,341.22 per kilolitre, which is more than 114 per cent higher than the March price of ₹96,638.14 per KL. However, after government intervention, after the government instructed the oil marketing companies not to pass on the higher prices to airlines, the ATF prices for scheduled domestic carriers were moderated to ₹1,04,927 per KL, or approximately 8.5 per cent higher than prices in March. Higher rates for non-scheduled (charter) operators remained in effect.

In the past, ATF prices in India were regulated, but they have been deregulated since 2001, and ATF prices are adjusted every month according to international benchmark prices, the petroleum ministry said on the social media platform X.

The current reduction of ₹5 per litre marks a step towards normalcy for the Indian aviation industry, which has been heavily affected by the surge in fuel prices over the past few months.