Jet fuel prices have shot up again in Bangladesh to reach Tk111 after Padma Oil Company, a subsidiary of Bangladesh Petroleum Corporation (BPC), raised it by Tk5 a litre.
Prices of jet fuel have so far been hiked 16 times in the past 19 months.
Earlier in May, the price of jet fuel was set at Tk106 per litre, up from Tk100. In December 2020, the price was Tk46 per litre.
Air travel will inevitably cost more as a consequence as fuel constitutes around 40% of the total running cost of an airline.
Industry insiders warned that the decision would shake the domestic aviation industry unless the government took initiatives to reduce jet fuel prices or have alternative plans in place.
Jet fuel prices are reviewed every month, based on the average price of the international benchmark, especially the Indian (Kolkata) jet fuel market, said officials at the BPC.
The new price list of jet fuel was updated on Sunday, which has been in effect since Friday.