This week in Aviation: Fare hike, CEO exit, Iran war market jitters

From Air India introducing a fuel surcharge and IndiGo’s CEO stepping down to airline stocks reacting sharply to the Iran war, here is what made headlines in aviation this week

Mar 13, 2026, 17:12 IST3 min

1/8

Air India introduces fuel surcharge
Air India said it will introduce a fuel surcharge on domestic and international tickets from Thursday as ATF prices rise following the Gulf conflict. Passengers on domestic and South Asian routes will pay Rs 399 per ticket, while flights to West Asia will attract $10. Charges for Southeast Asia routes will rise to $60, and Africa to $90. From March 18, surcharges on Europe routes will also increase. The surcharge applies only to new bookings.. Photo by Indranil Mukherjee / AFP

2/8

IndiGo CEO Pieter Elbers resigns
Pieter Elbers resigned as IndiGo CEO on March 10, citing personal reasons. Parent company InterGlobe Aviation Ltd said MD Rahul Bhatia will temporarily oversee operations. Elbers joined in September 2022. His exit follows the airline’s worst operational disruption in December 2025, when 2,507 flights were cancelled and 1,852 delayed due to the rollout of new pilot duty-time rules. Photo by Amit Verma

3/8

Airline stocks fall, then recover
Airline stocks dropped sharply on March 9 after crude oil prices surged amid the Iran war. Shares of InterGlobe Aviation, IndiGo’s parent company, fell 7.5 percent, while SpiceJet declined 5.6 percent. Brent crude briefly climbed to around $119.5 per barrel, raising concerns about fuel costs, which account for 20-25 percent of airline operating expenses. Airline stocks partially recovered on March 10 after oil prices eased and expectations grew that tensions in the region might stabilise. Photo by Shutterstock

4/8

DGCA proposes rules for foreign airlines
The Directorate General of Civil Aviation proposed new rules for foreign airlines seeking to operate flights to India. Carriers must obtain operating authorisation even if permitted under bilateral agreements. Airlines must be designated by their home governments, register on the DGCA’s eGCA portal and apply 90 days before launch. The regulator will verify ownership, safety oversight and compliance before granting approval, valid for five years. Airlines must also appoint an Indian representative and establish a passenger grievance mechanism. Photo by Arun Sankar / AFP

5/8

Garuda Aerospace signs Airbus drone deal
Drone company Garuda Aerospace signed an agreement with Airbus Helicopters to acquire up to 18 Flexrotor uncrewed aerial systems (UAS). The drones, with a 25 kg maximum take-off weight, can conduct 12-14 hour missions. Garuda will deploy them through dry and wet lease models for infrastructure inspection, pipeline monitoring, transport surveillance, disaster response and search-and-rescue operations. Photo courtesy Airbus Flexrotor

6/8

Akasa Air plans MRO facility at Jewar
Akasa Air announced a collaboration with Noida International Airport to set up an aircraft maintenance, repair and overhaul (MRO) facility at the upcoming airport in Jewar, Uttar Pradesh. The facility will support a range of aircraft maintenance services and strengthen India’s aviation maintenance infrastructure. The project is expected to generate employment and support skill development in the region. It will be Akasa Air’s first MRO facility since the airline launched operations in August 2022. Photo by Punit Paranjpe / AFP

7/8

IndiGo has lowest pilot ratio
IndiGo has the lowest pilots-to-aircraft ratio in India at 7.6, according to data presented in Parliament by Minister of State for Civil Aviation Murlidhar Mohol. In comparison, SpiceJet has 9.4 pilots per aircraft, followed by Akasa Air with 9.33, Air India with 9.1, and Air India Express with 8.8. IndiGo employs about 5,200 pilots, including 970 women. The government also said Air India Express has the highest number of expatriate pilots at 48, while IndiGo employs 29 foreign pilots. Photo by Amit Dave / Reuters

8/8

Nanded helicopter plant announced
A Rs 4,250 crore helicopter manufacturing plant will be set up in Nanded, Maharashtra, under an agreement between the state government and Retavia Pvt Ltd, BJP Rajya Sabha MP Ashok Chavan announced this week. The facility will include manufacturing, assembly and spare parts operations. The project will also provide engineering services and helicopter maintenance and repair, supporting India’s Make in India aerospace manufacturing push. Photo by Anshuman Poyrekar/Hindustan Times via Getty Images