OECD pegs India GDP growth at 7.6% in FY26, sees moderation next fiscal
India’s economy is projected to expand by 7.6% in the current fiscal before moderating to 6.1% in 2026-27, the Organisation for Economic Cooperation and Development (OECD) said in its interim Economic Outlook report, PTI reported.The multilateral body said the evolving conflict in the Middle East has “human and economic costs” for countries directly involved and could test the resilience of the global economy by disrupting energy supplies and raising commodity prices.“The decline in (US) tariffs should support growth in India, though gas rationing will disrupt some production activities and fiscal support is expected to fade, with growth easing from 7.6 per cent in fiscal year (FY) 2025-26 to 6.1 per cent in FY 2026-27 and 6.4 per cent in FY 2027-28,” the OECD said.According to the report, disruption of shipments through the Strait of Hormuz and damage to energy infrastructure have triggered a surge in energy prices and affected the global supply of commodities, including fertilisers.The OECD also warned that inflationary pressures could rise as the deflationary effects of earlier food and energy price shocks recede. It projected inflation to increase from 2% in FY 2025-26 to 5.1% in FY 2026-27 before easing to 4.1% in FY 2027-28.Among emerging-market economies, India may need to raise policy rates temporarily in the second quarter of 2026 to counter stronger inflationary pressures, the report said.The OECD noted that US bilateral tariff rates have declined following a US Supreme Court ruling against levies imposed under the International Emergency Economic Powers Act. While this has resulted in significant tariff reductions for several emerging-market economies, including India, the overall US effective tariff rate remains higher than levels seen before 2025.Globally, growth is expected to soften to 2.9% in 2026 before improving slightly to 3% in 2027.“The energy price surge and the unpredictable nature of the evolving conflict in the Middle East will raise costs and lower demand, offsetting the tailwinds from strong technology-related investment and production, lower effective tariff rates and the momentum carried over from 2025,” the OECD said.
India’s voluntary carbon market gains ground as net-zero goals drive ecosystem buildup
NEW DELHI: With Climate action gaining momentum as part of India’s net-zero commitment by 2070, the country’s carbon market is beginning to take shape and gain momentum. Homegrown institutions such as the Carbon Registry of India (CRI) are emerging as important enablers for the voluntary carbon market offering platforms to register and track carbon projects, even as corporates and developers scale up efforts around offsets, credits, and trading in line with evolving global frameworks. While the regulatory framework is still in the development stage across many industries, India is leading the development of platforms for listing of voluntary carbon projects in South Asia, creating implementation partners, enabling trading of credits and audit process — all to to align the processes with international standards having an end-to-end setup. “The carbon market today is split into two clear paths,” says Priya Bahirwani, co-founder of Terrablu Climate Technologies, a carbon project developer with proprietary carbon accounting, offsetting and trading platform. “The compliance market is regulation-led and has different levers and framework within which it operates. But the voluntary carbon market is where intent shows up, where companies invest for credibility, brand and long-term responsibility.” It is this voluntary market that is now steering the path and driving the momentum in India for a climate-driven economy. This market is driven by corporates looking to go beyond compliance and are committed to demonstrating real climate impact and social impact – Indian Carbon for Global Markets. CRI (a public-private registry) and other such reputed organisations are building the ecosystem in a sustainable manner. Especially companies like Varaha, Terrablu, NextNow Green (NNG), and other entities are slowly but steadily building the momentum for a climate resilient economy in India. From large conglomerates to mid-sized firms, companies are increasingly investing in carbon credits not just to meet regulatory norms, but to build long-term brand credibility and stakeholder trust. The is the just the beginning of new wave of building a climate resilient economy. CRI helps companies register and formalise their carbon projects in a standardised format. For India, this shift represents a strategic move — from being a supply-side participant to shaping the rules of the market itself. “Carbon markets will only scale on the foundation of trust, transparency, and traceability. With its depth in innovation and resilience, India is well placed to lead this evolution.,” says Richard Bright, CEO of CRI. CRI, he adds, is focused on building a credible domestic bridge between Indian climate projects and global demand, while leveraging digital frameworks to improve transparency, traceability and access. Companies listed on the CRI for carbon projects include Sahyadri Farms, Piplantri FPO, L&T Metro and others are in the pipeline, says Bright. Terrablu’s Bahirwani says India should not just generate carbon credits, but also own the platforms that certify them. “CRI is creating that opportunity, and we are already seeing increasing interest from corporates in sourcing credits listed on such platforms.” Companies such as NNG, which is a carbon consultancy and ecosystem implementation partner, believes that as India moves from a voluntary to a rules- and penalties-based setup in carbon, companies will increasingly work on carbon and climate strategies to strengthen their play in the area. “We are already seeing efforts in this regard. There are enquiries about how to go about carbon projects, how to carry out assessment and audit of current work, and how to work out credits and even offset them, or trade them, across diverse sectors including agriculture and industrial decarbonisation,” says NNG’s Archana Raha. This push is also being reinforced by ecosystem players such as legal frameworks to project developers. They see value in strengthening India’s own carbon market architecture. “Global registries will continue to play a role, but India needs trusted domestic platforms as well,” says Vishnu Sudarsan, senior partner at law firm JSA. “Platforms like CRI provide visibility and credibility within the Indian ecosystem, which is critical as the market matures, supported by robust, dual-layer governance structures that reinforce transparency and accountability,” Sudarsan adds. On the ground, this shift is already taking shape through projects that are choosing to align with India’s emerging carbon infrastructure. Take Piplantri as an example. It is a model that goes beyond carbon to integrate afforestation, water conservation and community livelihoods. By listing on CRI, stakeholders are signalling a clear intent to prioritise transparency, traceability and alignment with India’s evolving climate ecosystem. The market is gradually maturing as reputed and credible market players with sophistication and focus are shaping the ecosystem . The decision reflects a broader trend. Project developers and intermediaries are increasingly working with platforms like CRI and CCTS, supported by ecosystem players such as Terrablu and implementation partners like NNG. Alongside them, credible validation and verification bodies — including KBS certification, 4K Earth Science, VKU Certification and others — are empanelled with CRI, strengthening the integrity and credibility of the overall ecosystem, and helping create a more locally anchored yet globally credible carbon market framework. Experts say that India’s emerging carbon ecosystem is beginning to offer answers through creation of stronger platforms, better verification, and tighter integration across the value chain. “The direction is clear: India is not just participating in the global carbon market but it is leading the market for other emerging economies,” says Sudarsan. It is believed that with the foundation for the climate economy coming in place, India is well poised to become a hub for high-integrity carbon solutions.
Nayara Energy hikes petrol prices by Rs 5, diesel by Rs 3 amid Middle East crisis
NEW DELHI: India’s largest private fuel retailer Nayara Energy on Thursday raised its prices by Rs 5 per litre and diesel by Rs 3 a litre amid the ongoing Middle East crisis. Nayara Energy, which operates 6,967 of India’s 102,075 petrol pumps, has decided to pass on part of the increase in input costs to consumers, said PTI sources.The majority-owned by Russia’s Rosneft, has raised the prices but the actual increase varies across states due to differences in local levies such as VAT, with petrol prices in certain regions rising by as much as Rs 5.30 per litre.Fuel marketing companies in India are under increasing financial pressure, as retail petrol and diesel prices have been kept unchanged even though global oil prices have climbed nearly 50 per cent since February 28, when US–Israel strikes on Iran sparked a wider conflict and retaliation from Tehran.Private and state-run fuel retailers in India are taking divergent approaches as pressure mounts from elevated global crude prices and a prolonged freeze in retail rates.Jio-bp, the fuel retail joint venture between Reliance Industries and BP Plc, which operates over 2,100 outlets nationwide, has so far held petrol and diesel prices steady despite absorbing significant losses. In contrast, state-owned oil marketing companies—dominating roughly 90 per cent of the market—have also maintained a price freeze on standard fuels, continuing a strategy in place since April 2022.State-run companies—Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL), and Hindustan Petroleum Corporation Ltd (HPCL)—have been absorbing losses during periods of high crude prices and recovering margins when prices soften. While retail prices for regular petrol and diesel remain unchanged, these companies recently increased the price of premium-grade petrol by Rs 2 per litre and sharply raised bulk diesel rates sold to industrial consumers by about Rs 22 per litre.In Delhi, the price of premium 95-octane petrol now stands at Rs 101.89 per litre, up from Rs 99.89, while bulk diesel rates have jumped to Rs 109.59 per litre from Rs 87.67. Meanwhile, standard petrol and diesel prices remain frozen at Rs 94.77 and Rs 87.67 per litre, respectively.The divergence reflects differences in fuel grades: regular petrol, typically rated at 91–92 octane, caters to standard engines, whereas premium petrol with higher octane levels (95–98) is designed for high-performance vehicles.Globally, crude oil prices surged to as high as $119 per barrel earlier this month amid escalating tensions involving Iran, before easing to around $100 per barrel. India, which imports nearly 88 per cent of its crude oil and about half of its natural gas requirements, remains highly exposed to such volatility—particularly as a significant portion of supplies passes through the strategically sensitive Strait of Hormuz. Recent threats from Iran following US and Israeli strikes, coupled with insurance withdrawals, have disrupted tanker movements through the route.The government has reiterated that petrol and diesel pricing is deregulated and determined by oil marketing companies.Historically, oil firms have navigated sharp price cycles. Crude had previously touched $119 per barrel in June 2022 after Russia’s invasion of Ukraine. While that year saw limited profitability, state-run companies posted record profits of Rs 81,000 crore in FY24, offsetting earlier margin pressures. In the current financial year, the three firms together reported profits of Rs 23,743 crore in the December quarter alone.
Oil & energy price shock: Goldman Sachs sees India’s macro outlook worsening; cuts Nifty target
Strategists at Goldman Sachs now project Brent crude to average about $105 in March and rise to $115 in April. (AI image) As a direct fallout of the US-Iran war and rising crude oil prices, Goldman Sachs has adopted a more cautious view on Indian equities, revising its rating to “marketweight,. The global brokerage has also lowered its target for the Nifty, and cautioned that an earnings downgrade cycle driven by an energy shock is likely to emerge. The bank has reduced its 12-month Nifty target, for end-March 2027, to 25,900 from an earlier 29,300. This suggests expected returns of about 13% in rupee terms and 12% in dollar terms over the next year, which is lower than the 19% upside projected for the MXAPJ index. It expects these returns to be supported partly by earnings growth of 8% and 13% in calendar years 2026 and 2027, respectively, along with a modest re-rating in valuations to a lower fair value multiple of 19.5 times, compared with its earlier estimate of 20.8 times, as earnings downgrades take effect.The firm said persistently high oil prices amid tensions around the Strait of Hormuz have weakened India’s macroeconomic outlook and are expected to lead to downward revisions in profit estimates over the coming quarters, according to an ET report.Earlier this week, Bernstein also trimmed its year-end Nifty target to 26,000 and warned that, in a worst-case scenario, the benchmark index could fall to as low as 19,000.Goldman Sachs further noted that returns are likely to be skewed toward the latter part of the period. “We see risks tilted to the downside in the next 3 to 6 months as we think the market may not be pricing in the full extent of the earnings downgrades, and low earnings visibility in the near-term could demand a higher risk premium,” it said.The firm added that, historically, forward returns tend to remain subdued when valuations are in the 18–20 times range during an earnings downgrade phase. However, it pointed out that equities have typically recovered once earnings stabilise after about two to three quarters, as has been seen during past energy-related shocks.Strategists at Goldman Sachs now project Brent crude to average about $105 in March and rise to $115 in April, before gradually easing to $80 in the fourth quarter and stabilising at that level through 2027. The report highlights that, within Asia, India is particularly exposed to potential energy supply risks due to its relatively lower per capita income and heavy reliance on energy imports.The change in global energy dynamics has led the firm to significantly revise its outlook for India’s macroeconomic indicators. Since the onset of the Iran conflict, Goldman has cut its 2026 GDP growth forecast for India by 1.1 percentage points to 5.9%, increased its inflation projection by 70 basis points, widened the current account deficit estimate to 2% of GDP, lowered its outlook for the rupee, and factored in an additional 50 basis points of rate hikes in 2026.Its latest internal estimates for calendar year 2026 now assume real GDP growth of 5.9%, average CPI inflation of 4.6%, a current account deficit of 2% of GDP, a fiscal deficit of 4.7% of GDP, a year-end repo rate of 5.75%, and an average Brent crude price of $85 per barrel.Goldman also expects the weaker macro environment to eventually reflect in corporate earnings. Its VAR-based analysis indicates that if oil prices remain about $45 per barrel higher on average for three months, India’s full-year earnings growth could decline by roughly 9%, which is a larger impact compared to the estimated 6% hit to earnings for the MXAPJ index.
DGCA seeks corrective action from Air India over wrong plane on Delhi-Vancouver route
In a regulatory intervention following an operational lapse, aviation watchdog Directorate General of Civil Aviation (DGCA) has asked Air India to take corrective measures after the airline operated a Delhi–Vancouver flight with an aircraft that was not approved for the route, a senior official said on Thursday.Action has also been initiated against an airline official over the incident, the official at DGCA told PTI.The Air India Boeing 777-200 LR aircraft, which took off for Vancouver on March 19, was recalled to Delhi after remaining airborne for over seven hours when it was found that the flight was cleared only for operation by a Boeing 777-300 ER.The regulator subsequently sought a report from the airline and has now directed it to put in place safeguards to prevent a recurrence of such lapses. Specific details of the action taken could not be immediately ascertained.There was no immediate response from Air India, as reported PTI.Sources had earlier indicated on March 20 that an apparent lapse in updating operational requirement lists for Canada-bound services may have led to the deployment of the incorrect aircraft.In a statement issued the same day, the airline said, “Air India flight AI185, operating from Delhi to Vancouver on 19 March, returned to Delhi due to an operational issue and in line with established standard operating procedures. The aircraft landed safely, and all passengers and crew had disembarked.”
Government assures strong fuel security: No LPG shortage, crude reserves secured, PNG transition underway
The government, on Thursday, moved to reassure citizens that the country’s fuel supply situation remains fully stable. The ministry of petroleum and natural gas said India’s petroleum and LPG systems are secure and under firm control, with no shortage of petrol, diesel or LPG anywhere in the country. It also warned against what it called a coordinated misinformation campaign intended to create unnecessary panic.This follows the Centre’s earlier clarification dismissing reports that LPG refill booking timelines had been changed. It said the claims were incorrect and misleading, and reaffirmed that the existing timelines “remain unchanged and continue to” operate under the current time limit.Here’s what the government said: ‘Oasis of energy security’: Fuel supply stable across India The ministry reiterated India’s fuel security, saying that the country continues to function as an “oasis of energy security.” In a press release, the government pointed out that “India is the world’s 4th largest refiner and 5th largest exporter of petroleum products, supplying refined fuel to over 150 countries.”Commenting on petrol and diesel availability, the Centre assured that, being a net exporter, India’s petrol and diesel availability is “structurally assured.” It confirmed that all 1 lakh-plus retail fuel outlets across India are operating normally and dispensing petrol and diesel without interruption.The ministry said no outlet has been instructed to ration fuel. It also highlighted that, unlike several countries facing rationing, price shocks, odd-even vehicle restrictions and even station closures, with some declaring a “National Energy Emergency,” India has no requirement for such measures.According to the ministry, reports of shortages at select locations were driven by panic buying triggered by misinformation circulating on social media. It said that despite temporary surges in demand, fuel continued to be supplied to all customers, while oil company depots operated round-the-clock to strengthen distribution. Oil companies have also extended credit limits to petrol pumps to more than three days, up from one day earlier, to ensure smooth working capital flow and uninterrupted supply. Crude tanks — already covered Addressing concerns over global supply routes, the ministry stated that even with disruptions at the Strait of Hormuz, India is currently receiving higher crude volumes from over 41 international suppliers than what previously came through the strait.It added that increased availability in global markets, particularly from the western hemisphere, has fully offset any disruption. All Indian refineries, it said, are operating at over 100% capacity utilisation.The ministry further stated that crude oil requirements for the next 60 days have already been secured, and there is no supply gap in the system. “Crude oil supplies for next 60 days have already been tied up by Indian Oil companies.” LPG Commenting on LPG supply, a major concern for consumers amid the Middle East crisis, the ministry said that there is no shortage anywhere in the country and production has been significantly ramped up following the LPG Control Order.Domestic refinery output has increased by 40 per cent, reaching 50 TMT per day, more than 60 per cent of the country’s total daily requirement of around 80 TMT. As a result, the net import requirement has been reduced to 30 TMT per day.It said 800 TMT of LPG cargoes have already been secured and are currently en route from countries including the United States, Russia and Australia. These supplies are arriving across 22 LPG import terminals, compared to 11 in 2014.The ministry said about one month of LPG supply is fully secured, with further procurement ongoing. Oil companies are currently distributing over 50 lakh cylinders daily. It noted that demand had briefly surged to 89 lakh cylinders due to panic buying but has since returned to normal levels. Commercial cylinder allocation has been increased to 50% in consultation with state governments to prevent hoarding and black marketing. A PNG transition The ministry once again highlighted the push for piped natural gas expansion, stating that it is part of a planned and ongoing transition towards cleaner, cheaper and safer household energy, being implemented in coordination with state governments. It further clarified that this expansion is not linked to any shortage situation and rejected claims that PNG is being pushed due to LPG scarcity. It said LPG supply remains fully secure.India produces 92 MMSCMD of natural gas domestically against a total requirement of 191 MMSCMD, making gas relatively less import-dependent than LPG.Till now, city gas distribution networks have expanded from 57 geographical areas in 2014 to more than 300 at present. Domestic PNG connections have grown from 25 lakh to over 1.5 crore. Strategic reserves — A bigger picture The ministry also dismissed claims circulating online that India has only six days of fuel stock, saying the country has a total reserve capacity of 74 days, with current stock cover at around 60 days.This includes crude stocks, product inventories and strategic storage in underground caverns. The ministry noted that this is the position even as the country is on the 27th day of the ongoing Middle East crisis.It said that almost two months of steady supply is already secured, with additional crude procurement for the next two months also tied up. It asserted that India remains fully secure for the coming months, and stressed that claims of depleted reserves are false. “Nearly two months of steady supply is available for every Indian citizen regardless of what happens globally. Next 2 months of crude procurement has also been secured. India is completely secure for next many months and the quantity in strategic cavern storage becomes secondary in such a supply situation.” Government’s warning Expressing serious concern, the ministry said misleading videos and social media posts are circulating that misuse images of queues, foreign rationing situations and fabricated claims about fuel emergencies in India.It also said certain posts have misinterpreted routine administrative orders such as the Natural Gas Control Order and LPG Control Order as emergency declarations, when they are standard supply management measures.The Ministry said these false narratives are being spread by miscreants and amplified by motivated elements, causing avoidable public anxiety. It urged citizens to
$760m a day: Putin cashes in as US waivers boost Russian oil earnings amid Iran war
Russian President Vladimir Putin. (AP photo) Russia’s energy revenues are surging as the Iran war rattles global oil markets, with Vladimir Putin estimated to be earning at least $760 million a day from oil and gas exports.According to the Kyiv School of Economics (KSE) Institute, monthly revenues could nearly double from about $12 billion to $24 billion, driven by a spike in prices and temporary sanctions relief granted by Donald Trump, as reported by Telegraph UK.Even if the conflict eases in the coming weeks, Russia’s oil and gas income is projected to reach $218.5 billion this year — about 63% higher than pre-war estimates. In a more prolonged conflict, lasting up to six months, revenues could climb as high as $386.5 billion.At a recent Kremlin meeting, Putin urged energy companies to channel these windfall gains into reducing domestic debt, calling it a “mature decision”.The gains come amid upheaval in global energy markets following Iran’s disruption of shipments through the Strait of Hormuz. Benchmark Brent crude has jumped roughly 38% to around $100 per barrel since the conflict began.Russian oil, however, has risen even faster, with prices climbing about 72%, according to KSE analysts.A key factor has been Washington’s decision to temporarily ease sanctions enforcement, allowing buyers to purchase previously restricted Russian oil shipments already at sea — a move that has effectively reduced the risks associated with such trades.As a result, Russia is now selling oil at or near global market prices, narrowing — and in some cases reversing — the discounts it previously offered to major buyers like India and China.Imports of Russian oil by India have surged sharply since the conflict began, reflecting the shifting dynamics of a market analysts describe as highly volatile.
Air India Express art-wraps its B737 jet in Kochi-Biennale colors
MUMBAI: Aircraft liveries were once about identity in its simplest form with logos, stripes, and national colours painted onto the fuselage. Over time, that surface has evolved into something far more expressive as vinyl technology made it comparatively easy to transform fuselage into moving canvases, carrying stories, art, and cultural narratives across continents. From commemorative liveries to full-fuselage artworks, the aircraft skin has quietly become one of aviation’s most visible storytelling tools, an evolution that Air India Express has tapped into with its latest art-wrapped aircraft, making it India’s first full-aircraft contemporary art wrap.On Thursday, the airline unveiled ‘The Flying Canvas’, a special art‐wrapped Boeing 737‐8 aeroplane (VT‐BWV). “The collaboration is a result of Air India Express’ multi-year partnership with the Kochi-Muziris Biennale, India’s first and largest international exhibition of contemporary art,” said AIX in a press statement. “Wrapped in an original artwork created by artist Osheen Siva, whose work reimagines heritage as a living, evolving force, ‘The Flying Canvas’ transforms into the fastest moving cultural installation. The art livery features a Tamil figure carrying memory and heritage into the future, adorned with traditional motifs that symbolise lineage, identity and continuity. As India’s first full‐aircraft contemporary art wrap, this initiative brings a bold new dimension to Air India Express’ long‐standing commitment to celebrating India’s culture across the Skies,” the airline said.Siddhartha Butalia, Chief Marketing Officer, Air India Express, said, “This initiative reflects how we see travel – not just as a journey between destinations, but as an opportunity to experience, interpret, and connect with culture and communities in meaningful ways.” Thomas Varghese, CEO of the Kochi Biennale Foundation, said, “The Kochi-Muziris Biennale has always been a celebration of art transcending boundaries, bringing contemporary practice out of galleries and into the everyday lives of people. As this aeroplane traverses over 60 destinations, it carries with it the soul of indigenous culture and the vibrancy of contemporary art to people far beyond our shores.” Aircraft wrapping itself has a fascinating lineage. One of the earliest widely noted examples of a special livery dates back to the 1960s and 70s, when airlines began commemorating milestones with painted designs, according to industry publications. In the early decades of aviation, liveries were painstakingly painted by hand, layer by layer, with strict weight considerations and long drying times grounding aircraft for days which also meant complex designs were expensive and difficult to execute. The shift began with advances in vinyl decals and adhesive films in the late 20th century. These allowed airlines to apply intricate, high-resolution graphics quickly and remove or replace them without damaging the aircraft’s surface. What once required weeks in a hangar could now be done in days. More importantly, it opened the door to experimentation, limited-edition designs, collaborations, and bold visual narratives.Airlines such as All Nippon Airways became pioneers, famously introducing Pokémon-themed aircraft that turned heads globally. Southwest Airlines used bold state-themed liveries, while Air New Zealand gained attention with its cinematic tie-ins, including aircraft wrapped in imagery from The Lord of the Rings and The Hobbit. “In India, too, airlines have periodically experimented with special liveries, though mostly limited to tail art or branding variations rather than full-fuselage wraps,” said an airline official.What distinguishes full aircraft wrapping from traditional livery is both scale and intent. “While earlier designs were painted directly onto the fuselage, modern wraps use ultra-thin vinyl films engineered to withstand extreme temperatures, UV exposure, and aerodynamic stress. These films add minimal weight and can be removed without affecting the aircraft’s surface, making them ideal for temporary campaigns or artistic collaborations. Decals have also allowed photorealistic detail in the images which is something nearly impossible with paint alone,” the official added. During the previous edition of the Biennale, Air India Express unveiled a bespoke tail art on one of its Boeing aircraft. The airline’s refreshed brand identity in October 2023 marked the launch of the Tales of India initiative under which every new aircraft tail of its expanding fleet features a unique artistic design, inspired by indigenous craft, textiles and traditions, such as Kalamkari, Bandhani, Kanjivaram, and Banarasi.
New flight ticket refund & cancellation fee rules effective today: How will passengers benefit? Explained
Aviation experts are of the view that the new rules address a bulk of complaints from passengers. (AI image) Booked an air ticket but had to cancel it? Effective today, the new Directorate General of Civil Aviation (DGCA) rules for refunds come into force easing passenger pain points on several accounts and also revoking some charges that have otherwise been implemented by airlines in the past.For example, airlines can now not charge you an additional fee for processing refunds. A timeline has been defined for processing the refunds, you will not be forced to keep your refund amount in a credit shell for future use etc.“The issue of refund of tickets by airlines has become a major source of grievance amongst airline passengers. A large number of complaints are regularly received,” said the DGCA in its circular issued late February, which made it clear that the new rules will be effective March 26, 2026.DGCA also held that the volume of complaints with regards to refunds is rising, necessitating action. “The matter has been discussed in several meetings with the airlines with no improvement in the system adopted by airlines for refund of tickets. It is now considered that the onus rests with the Government to fix some minimum bench marks, as far as the refund policy is concerned in order to stem the growing dissatisfaction among the passengers regarding the refund procedures adopted by some airlines,” DGCA explained.What type of complaints is DGCA looking to address? Cases of delays in refunds of unused tickets Complaints around the amount that airlines refund against cancelled tickets. The ongoing policy where airlines do not refund tickets but instead adjust the amount against tickets to be purchased by the passenger for future travel in the same airline which in turn is valid for a limited period of time. The circular is clear that the change in refund rules underlines the ‘minimum requirements for refund of ticket’. This includes tickets for both domestic and international travel, booked with domestic and international airlines operating to and from India. New Airline Refund Rules: Top Points To Know If a passenger has purchased the air-ticket using credit card as a payment system, then the airline is mandated to issue a refund within seven days of the ticket cancellation If the payment for the flight ticket has been done via cash transactions, then the refund has to be immediate at the airline’s office from which the ticket was purchased. If you have used a travel agent or a travel portal to book your flight ticket, then the refund onus lies with the airlines, since agents act as their representatives. In such a case, the airlines have been asked to make sure that the refund is issued within 14 working days. Airlines are also now not allowed to charge any additional amount for processing refunds Not only that, airlines have also been asked to make sure the refund includes all taxes and user development fee (UDF), airport development fee (AFD), and passenger service fee (PSF) in cases of no show, non-utilisation of tickets, and cancellation. What is important to note is that this condition is also applicable for tickets which have special fares, promotional offers or where the basic fare is non-refundable. The window for a ‘look-in option’ has been kept at 48 hours after the ticket is booked. In this time period a passenger can cancel or even amend the ticket without any additional charges, except for the ‘normal prevailing fare’ that is applicable for the new flight. However, an option is not available in case your flight is scheduled to depart in less than 7 days and less than 15 days for domestic and international booking respectively when the ticket is booked directly through the airline website. The facility is not available after the 48 hour window and in such cases the passenger will have to pay whatever is the fee decided by the airline for cancellation or ticket amendment. Yet another important point in the DGCA circular is the insistence on optional credit shells. What this means is that when you cancel your flight ticket, the airline has to mandatorily ask you if you want the refund to be issued or you would prefer to keep the amount in a credit shell for future use. Airlines have also been asked to make the refund amount clearly visible along with a detailed break up. The amount and the break-up can be indicated on the ticket or any separate form for this purpose. The refund policy and amounts are required to be displayed on the airline’s website as well. For the knowledge of passengers and for the sake of transparency, airlines have been asked to prominently display the cancellation charges at the time of the flight ticket booking The DGCA guidelines are unambiguous: Under no circumstances, can the airline or its agent implement a cancellation charge that is more than the basic fare plus fuel surcharge. However, this excludes any charges that are levied by the travel agent, which have been fully disclosed at the time of booking. The airline is responsible for this through their contracts with travel agents/portals. Foreign carriers that operate to and from India have to refund the tickets in accordance with regulations of their country of origin. In case your name is wrongly spelt or incomplete, an airline cannot charge you extra for correction in the name of the same person. This is applicable when the error is pointed out by the passenger within 24 hours of making the booking when the ticket is booked directly through the airline website. If you are cancelling your flight ticket due to a medical emergency, where you or your family member who is listed on the same PNR gets admitted/hospitalized during the travel period, airlines have been asked to provide either a refund or a credit shell. For other situations, refunds will be issued by the airline once an opinion on the passenger’s fitness to travel
Middle East conflict hits rice traders: Basmati exporters left pending payments; funds ranging Rs 2,000 to Rs 25,000 crore in limbo
India’s premium basmati rice trade has come under severe strain as the escalating conflict in West Asia disrupts exports, blocks consignments at ports and leaves payments worth thousands of crores pending, raising concerns for traders and farmers alike.A Bhopal-based businessman told ANI that consignments of Premium 1121 Basmati rice, earlier exported regularly, are now stuck at ports due to the ongoing situation, warning that continued disruption could lead to heavy losses for Indian traders and impact farming communities. “The Premium 1121 Basmati rice, which we used to export, is currently being held at the ports. If this situation continues, Indian traders will face significant losses. Our payments, ranging from Rs 2,000 crores to Rs 25,000 crores, are pending and have not been received, causing difficulties for the traders. The government is currently taking its own measures, and if the situation persists, farmers will also face problems in the future.“In response to the broader crisis, the government held an all-party meeting on Wednesday to assess the situation in West Asia. The meeting was chaired by defence minister Rajnath Singh and saw participation from senior opposition leaders as well as key Union ministers.Union home minister Amit Shah, Parliamentary affairs minister Kiren Rijiju, finance minister Nirmala Sitharaman, external affairs minister S Jaishankar, petroleum and natural gas minister Hardeep Puri and foreign secretary Vikram Misri were among those present.The ripple effects of the conflict are also being felt across the country’s workforce engaged in trade and logistics, with traders, businessmen, contractors and factory labourers facing disruption as transportation routes and payment systems slow down amid rising tensions in West Asia.According to a Crisil Ratings report, prolonged instability in the region could impact several Indian sectors, including basmati rice, fertilisers, diamond polishing, travel operators and airlines, all of which have significant exposure to West Asian markets.The report further cautioned that industries dependent on imported liquefied natural gas (LNG), such as ceramics and fertilisers, may face operational challenges in the near term and will need close monitoring.It also highlighted possible pressure on crude-linked sectors including downstream oil refiners, tyres, paints, speciality chemicals, flexible packaging and synthetic textiles if elevated energy prices persist.India imports around 85 per cent of its crude oil requirement and half of its LNG needs, with nearly 40–50 per cent of crude and 50–60 per cent of LNG shipments passing through the Strait of Hormuz.The report added that most shipping vessels have stopped using this route since March 1, 2026, citing heightened risks. A prolonged disruption, it warned, could tighten global crude and LNG supplies and push prices higher.Meanwhile, geopolitical tensions in West Asia remain elevated. Even as US President Donald Trump has claimed that negotiations with Iran are underway and the conflict may soon de-escalate, the Pentagon is expected to deploy troops from the 82nd Airborne Division to the Middle East as the war enters its fourth week.
