The civil aviation ministry will press for inclusion of jet fuel in the goods and services tax (GST) so that airlines struggling with high cost of fuel and a weaker rupee secure some relief. Although in a deregulated sector like airlines, where the government can do little to bail out businesses, the civil aviation ministry is looking at what is within its reach to ease the industry’s pain.
Civil aviation minister Suresh Prabhu told reporters in New Delhi that airlines are struggling with high cost of fuel not just in India, but across the world. “Fuel is an important variable cost for airlines. We are aware of the situation,” said Prabhu, declining to elaborate on the matter.
Civil aviation secretary R.N. Choubey said if the GST Council decides to include aviation turbine fuel in GST, it will come as a big relief to the industry. Read More