The Government of India have announced a steep rise in ATF of around 7 percent approximately. Now when the Indian aviation industry was enjoying good profits margins this could be a start of a set back. The reason behind growth was that the airlines were able to offer tickets at much steeper prices but with this increase in ATF they will be forced to raise their ticket prices.

This increase in Airfares will push up the ticket prices and the passengers who were just able to afford the fares may not able to afford it now.