India has reduced jet fuel prices for the first half of April by 3pc from the second half of March, citing falling crude values. But resurgent Covid-19 cases in the country at a five-month high and accompanying lockdowns threaten to unravel any demand growth.
Prices of jet fuel in Delhi fell to 58,374 rupees/kilolitre ($805/kl) for first-half April from Rs60,261/kl for the second half of March, according to state-controlled refiner IOC.
Jet fuel demand will be a casualty as domestic travel restrictions are reintroduced, with a return of international travel no further closer.
Jet fuel demand slumped to 122,000 b/d in first-half March from 187,000 b/d a year earlier. India's air passenger traffic in February fell by 37pc from a year earlier and was near flat against January.
