SpiceJet allowed to directly import ATFApril 18th, 2012 - 4:06 pm ICT by IANS
Mumbai, April 18 (IANS) SpiceJet Ltd has became India’s first low-cost private airline to get government approval for importing aircraft turbine fuel (ATF) directly.
The approval was granted by the Director-General of Foreign Trade under the ministry of commerce & industry, clearing the airline’s application to source ATF directly from overseas suppliers, a top company official said Wednesday.
“We are negotiating with leading oil marketing companies and are hopeful of starting fuel imports in due course,” said Neil Mills, SpiceJet’s chief executive officer.
He said the aviation sector would benefit from fuel imports due to the high price of ATF in India.
“Importing fuel from overseas market at comparatively lower price will help us considerably bring down operational costs,” he said.
SpiceJet runs 270 flights daily to 32 domestic and two international destinations.
The move follows a February decision by the empowered group of ministers (EGoM) to permit domestic airlines to import jet fuel directly from abroad.
Last month, Air India, the national carrier, also announced plans to import ATF directly from international suppliers to save on additional costs by way of state taxes.
The Air India board had also approved hedging of jet fuel up to 20 percent of its international intake and earmarked a specific amount for this in its budget.
- Air India to import jet fuel directly - Jun 07, 2012
- Air India yet to decide on direct ATF import: Ajit Singh - Aug 28, 2012
- Government approves direct jet fuel import, Air India debt plan (Lead) - Feb 07, 2012
- Oil firms increase jet fuel price by 3.70 percent - Nov 30, 2011
- Aviation stocks rally after direct jet fuel import allowed - Feb 07, 2012
- Government allows direct jet fuel import, Air India debt plan - Feb 07, 2012
- Government rolls out plan to help domestic airlines (Roundup) - Feb 07, 2012
- Oil firms cut jet fuel prices by 1.38 percent (Lead) - Dec 15, 2011
- Airlines should tie-up with suppliers to import jet fuel - Feb 16, 2012
- High taxes reason behind rising jet fuel: Ravi - Nov 30, 2011
- SpiceJet applies for direct import of jet fuel - Apr 03, 2012
- FDI in aviation may give flight to domestic airlines - Jan 22, 2012
- Jet fuel price cut by Rs.1,974 a kilolitre - Jan 31, 2012
- RBI to notify proposal allowing airlines to access foreign funds - Apr 19, 2012
- Jet fuel price cut by Rs.622 a kilolitre - Dec 31, 2011
Tags: air india, atf, aviation sector, chief executive officer, director general of foreign trade, domestic airlines, fuel imports, government approval, international destinations, international suppliers, jet fuel, marketing companies, ministry of commerce, national carrier, operational costs, overseas suppliers, private airline, spicejet, state taxes, turbine fuel