The Russian airline Azimuth has announced serious problems in the aviation fuel market in Russia, which, according to the company, are already making some flights economically unfeasible. The carrier also operates on international routes, including flights to Georgia.

According to the company, in early June, one of the major suppliers reduced deliveries by about a third due to accidents and failures at oil refineries. Other market participants, it is alleged, were unable to compensate for the resulting deficit.

Against the backdrop of reduced supply, a noticeable increase in aviation fuel prices is recorded. On average across Russian airports, the price increase since early June has exceeded 17%, and in some cases, the growth has been significantly higher. For example, in Makhachkala, the cost of kerosene, according to the carrier, rose to 157 thousand rubles per ton without VAT – an increase of about 64%.

At the same time, the company notes that on the world market, aviation fuel prices, on the contrary, have been declining for several months in a row, which increases pressure on the domestic operating costs of air carriers.

As a result, Azimuth states that operating some flights, especially within Russia, is becoming unprofitable, and asks industry associations and regulators to intervene to stabilize supplies and the price situation.