Ahmedabad: Gujarat’s buoyant charter aviation market is facing severe turbulence. Spiralling aviation turbine fuel (ATF) prices — triggered by escalating tensions in West Asia and the closure of the Strait of Hormuz — have sharply pushed up operating costs, driving fares higher and freezing demand across segments.Left without a cost cushion due to disruptions in global energy supply lines, hourly rates for charter and non-scheduled operations have jumped, and bookings have nosedived as business houses get discretionary on their spending amid the geopolitical turmoil. Across the board, only essential flying continues — including medical evacuations and select political movements. The slowdown in booking numbers is stark. What earlier translated into 12–15 confirmed charter flights daily has now shrunk to barely two a day, operators said.“In Ahmedabad, the impact has been immediate and severe,” said Shaishav Shah, managing director of GSEC Aviation Private Limited. “ATF prices for charter operators have jumped from Rs 69,000 a kilolitre to as high as Rs 1.65–1.71 lakh per kL. As a result, charter rates that earlier ranged from Rs 2 lakh to Rs 10 lakh an hour could climb to Rs 2.75 lakh to Rs 12 lakh, depending on the type of aircraft,” Shah added. The rising ATF costs have also altered demand dynamics. Arun Lohiya, an aviation sector expert, said, “Aircraft that were earlier available at Rs 5 lakh–Rs 5.5 lakh an hour, now cost Rs 7 lakh–Rs 7.5 lakh. Frequent flyers are unable to absorb the additional cost, which has impacted demand in a big way.” Corporate aviation — a key pillar of Gujarat’s business travel ecosystem — has taken the hardest hit. “As costs surge and financial pressures mount, companies that relied on charters to access destinations with limited or no commercial connectivity, such as Aurangabad or Jalgaon, are cutting back on flights. Companies themselves may be under stress and are being discretionary with spending, and charter travel is the first to be cut,” Lohiya said. International charter operations, once a stable revenue stream, are faring even worse. Bookings on routes passing through the Middle East — a critical corridor for flights originating from western India — have virtually dried up due to conflict-linked airspace restrictions, a charter operator said, requesting anonymity, adding, “With Pakistan’s airspace constraints compounding the issue, flights to destinations such as Turkey and Europe have become longer and prohibitively expensive. Inquiries for these routes have nearly vanished.” Even religious tourism, a steady demand driver for helicopters in Gujarat, has been hit by the ATF price surge. “The hourly hiring rate for single-engine choppers, typically used for pilgrimages, has soared from about Rs 1.75 lakh to Rs 2.25 lakh. Double-engine choppers now cost around Rs 4.5 lakh an hour against Rs 3.5 lakh earlier. This will inflate their per-head ticket charges,” said a source.
