Indian carriers may soon be able to import fuel directly, according to media reports in the country.
Ajit Singh, India's civil aviation minister, told the local media that the Group of Ministers has passed a proposal to allow the country's carriers to import fuel directly and that the final clearance will soon come from the Cabinet.
India has one of the highest taxes on jet fuel in the world and allowing carriers to import fuel directly is expected to bring down their operating costs significantly.
Fuel costs have long been a major concern of Indian carriers because of the high import and state taxes. However, it is unclear how much the airlines will be able to save with the direct import, or if they will be charged the same level of tax.
In separate news, the debt restructuring plan for Air India has been approved, Singh said.