Russian airline Azimuth announced serious problems in the aviation fuel market in Russia, which, according to it, 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 supplies 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 background of reduced supply, a noticeable increase in aviation fuel prices is recorded. On average, across Russian airports, the price increase since early June exceeded 17%, and in some cases, the increase was significantly higher. Thus, in Makhachkala, the cost of kerosene, according to the carrier, increased to 157 thousand rubles per ton without VAT – this is about 64% growth.
At the same time, the company notes that on the world market, aviation fuel prices, on the contrary, have been falling for several months in a row, which increases pressure on the internal operating costs of air carriers.
As a result, Azimuth states that the operation of some flights, especially within Russia, becomes unprofitable, and asks industry associations and regulators to intervene to stabilize supplies and the price situation.