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IATA warned of the disparity between local prices and global oil costs.
Iata, the international association of airlines, is calling for measures from the federal government and the Petrobras (PETR4) to adjust the way aviation fuel is charged in Brazil, due to aviation kerosene prices considered 'excessively high' by the association.
According to the International Air Transport Association (IATA), local airline prices fuel do not match the reality of a country producing fuels, which is one of the main challenges faced by the aviation sector in Brazil. The rise in prices of oil it also has a direct impact on airline costs.
Aviation fuels: Petrobras adjusts prices based on global factors
At the beginning of each month, Petrobras makes adjustments to aviation fuel prices, taking into account variables such as global oil prices and exchange rates.
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Monopoly and administrative costs affect jet fuel prices
The head of IATA in the Americas, Peter Cerda, highlighted that Petrobras' monopoly position and the additional administrative costs charged by the supplier result in fuel prices artificially inflated aviation aircraft.
Airline complaints about fuel prices
Local airlines, including Azul (BLUE4), have complained about high jet fuel prices. Azul's executive president, John Rodgerson, stated that Brazil has 'the most expensive fuel in the world'.
Impact of jet fuel prices on airline costs
Aviation fuel represents around 40% of the total costs of an airline in Brazil, while global average is 30%. According to Iata, at a time of exceptionally high prices around the world, this generates significant impacts on operating costs.
Complaints about taxes charged on kerosene
In addition to the high prices of aviation fuel, airlines complain about the taxes charged on kerosene in Brazil, stating that this negatively impacts the sector's competitiveness.
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Source: InfoMoney
