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Fuel cost, forex rate variation led to Rs 4,685 cr loss for Air India: Govt

The impact of exchange rate variation led to an increase in expenses from Rs 31 crore in 2017-18 to Rs 772 crore in 2018-19

Air India | Air India loss | Air India sale

Press Trust of India  |  New Delhi 

Air India. Photo: Shutterstock

Increase in fuel costs and impact of foreign exchange rate variation were two major reasons for Air India's operating loss of Rs 4,685 crore in 2018-19, Civil Aviation Minister Hardeep Singh Puri said on Thursday.

"Aviation Turbine Fuel (ATF) costs increased from Rs 7,363 crore in 2017-18 to Rs 10,034 crore in 2018-19 i.e. an increase of almost 28.9 per cent in fuel rates over the previous year," Puri said in a written reply to a question in Lok Sabha.

"The impact of exchange rate variation led to an increase in expenses from Rs 31 crore in 2017-18 to Rs 772 crore in 2018-19," he added.

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First Published: Thu, November 28 2019. 19:50 IST