Airfares aren’t calculated on the current oil price

This content was originally posted in 7DAYS UAE website at: Airfares aren’t calculated on the current oil price In response to the letter ‘Oil prices remain low so why are air fares sky high’ (Dec 28), it’s true about flights from UK to Dubai being cheaper, I believe this is because of the UK subsidises. As for fuel prices, airlines hedge their oil purchases years in advance so most will have bought two or three years of fuel in advance to protect from rising prices. The fact that petrol price has gone the other way has benefitted the oil companies and not airlines. You can expect air lines to be able to make the adjustment in another six months I guess but I wouldn’t bet on it. Saj, UAE Read the original story at: Airfares aren’t calculated on the current oil price