Aviation stocks rose despite aviation turbine fuel (ATF) prices being hiked by 7.2% hike this month compared to 6.2 percent hike last month.

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The ATF prices currently stand at Rs 70,028 per kilolitre in New Delhi.

Forty percent of operation costs for the aviation companies come from AFT prices, and the price hike would be a burden but most have been able to pass it on in several ways.

However, the aviation stocks have surged because there is expectation that ATF could be included under GST, as it could cut the costs for airlines.

There could be savings on input tax credit of almost Rs 5000 crore for the entire industry.