Costs of international flights in Iran rise due to fuel supply limitations
Baku, Azerbaijan, Jan.22
By Fatih Karimov - Trend: Limitations in supply of fuel to Iranian airlines in Europe have increased the cost of their international flights, ISNA quoted the secretary of Iranian airlines Hamid Ghavabesh as saying on Jan. 22.
Considering that the airlines' incomes are rial-based, but their expenses are dollar-based, their operating costs have increased, he noted.
The international sanctions has caused problems for Iranian airlines regarding the sale of tickets, he further said.
Iran plans to supply fuel to foreign airlines at 10 cents [per liter] cheaper than the regional countries in a bid to attract more international flights, the Iranian deputy transport minister said in October 2013, Tehran Times reported.
Ali-Mohammad Nourian added that jet fuel is ordinarily supplied at 9 cents higher than the Persian Gulf FOB rate. We supply foreign airlines with fuel 10 cents below the average price which is supplied by the regional countries in a bid to attract more international flights, he explained.
In September 2013, the Civil Aviation Organization of Iran announced that it will liberalize ticket prices in order to encourage domestic airlines to improve services.
Currently 18 airlines are in operation in Iran.
Edited by C.N.