Rising jet fuel prices hit African airlines as supply tightens

Cape Town. Airlines across Africa are grappling with sharply rising jet fuel prices as global supply disruptions linked to the conflict involving the United States, Israel and Iran continue to ripple through energy markets.

The crisis has exposed Africa’s heavy reliance on imported fuel, with about 70 percent of jet fuel and kerosene supplies passing through the Strait of Hormuz.

Since the conflict escalated in late February, shipments through the key route have slowed significantly, tightening availability and pushing prices higher.

Operators say the volatility is making planning increasingly difficult.

In South Africa, aviation firms report that fuel prices can change within hours, forcing airlines to adjust quotes and absorb unexpected costs.

In some cases, prices have risen sharply between outbound and return flights, eroding profit margins.

Jet fuel already accounts for between 30 percent and 40 percent of operating costs for African airlines, well above the global average, making the sector particularly vulnerable to price shocks.

Low-cost carriers say fuel can make up more than half of direct operating costs, placing further strain on budgets.

At the same time, fuel reserves across parts of the continent are declining.

Industry estimates suggest some countries have only a few weeks of supply, while others hold slightly larger but still limited reserves.

This has raised concerns about potential shortages if supply disruptions persist.

Airlines are now taking defensive measures, including introducing temporary fuel surcharges, adjusting ticket prices and reviewing flight capacity.

Some operators have also added clauses to contracts allowing them to pass on sudden fuel cost increases.

Experts warn that Africa’s limited refining capacity worsens the situation.

Many refineries are small and unable to meet domestic demand, leaving countries heavily dependent on imports.

In South Africa, for instance, only a few refineries remain operational following recent closures.

Globally, the situation remains uncertain. Rising crude oil prices and reduced refinery output in key regions are expected to keep jet fuel costs elevated.

Analysts caution that if the conflict continues, both supply shortages and higher airfares could persist, placing further pressure on airlines and travellers alike.