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JAL to Increase International Fare Fuel Surcharge

Travel News Asia Latest Travel News Podcasts Monday, 25 August 2008

The JAL Group has requested approval from the Japanese Ministry of Land, Infrastructure, Transport & Tourism (MLITT), to revise the fuel surcharge placed on all its international passenger tickets issued for the 3 month period starting October 1, 2008.

JAL decided to increase the fuel surcharge for tickets issued between October 1 and December 31 2008, as the price of Singapore kerosene-type jet fuel reached record high levels during the 3 month period May - July, 2008, averaging US$163.54 per barrel.

However, after examining market trends and demand as well as the progress of its own restructuring efforts, JAL decided not to raise fuel surcharges up to its highest level 'K'. Level 'K' would normally have come into effect as the average price of jet fuel for the 3-month benchmark period was in the range of US$160 to under US$170 per barrel.

The airline has opted instead to just increase its fuel surcharges to level 'I' which normally would only be used if the average price of jet fuel during a given 3-month benchmark period is in the range of US$140 to under US$150 per barrel.

Based on a revised fuel surcharge benchmark list for FY2008, the new surcharges per person per sector flown on tickets purchased in Japan, range from 4,000 yen on a Japan - Korea ticket (up from 3,500 yen) to 38,000 yen on a Japan- Brazil ticket (up from 32,000). The surcharge on a Japan-Europe ticket or a Japan- North America ticket will be 33,000 yen, up from 28,000 yen.

Fuel surcharges priced in Japanese yen on Japan - Hong Kong, Malaysia, Singapore, Taiwan and Thailand routes remain unchanged.

The fuel surcharge charged for tickets issued from January to March 2009 will be reviewed based on the average price of fuel for August through to October, 2008.

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