India Approves Fuel Import
Tuesday, 29th May 2012 at 03:00am
With the huge tax imposed on aircraft turbine fuels, the government of India, or the Director of General Foreign Trade (DGFT) in particular, has allowed airline companies to import fuel from international market. The airlines that proposed the approval for importation include IndiGo, Kingfisher, and SpiceJet.
SpiceJet declared that they are already discussing this matter with leading oil companies. They hope that their fuel importation with start soon.
AAA found out that negotiations have already begun with the companies who agreed to handle the tasks of importing and selling aircraft fuels in their existing facilities.
Oil companies are expected to do something about this. Most likely, they will bring the oil prices down, as the airlines are very much considering cutting operational costs, which is the reason why they will import much cheaper oil overseas. Neil Mills, the CEO of SpiceJet, was the first one to confirm this.
By: Pete Lee.