Petrobras announced a new adjustment in aviation kerosene (QAV) this Sunday, of 6.7% compared to the previous month, the Brazilian Association of Airlines (Abear) said in a note. According to data from the oil company compiled by the entity, from January 1st to May 1st the accumulated increase reached 48.7%.
Last year, the cumulative increase in QAV was 92%. “Once again the readjustment announced by Petrobras proves how airlines face a daily increase in structural costs, especially with the current scenario of war in Ukraine, which brings a lot of pressure on the price of a barrel of oil and on the price of the dollar” , says in a statement the president of Abear, Eduardo Sanovicz. “The sector remains resilient, but the current situation makes it very difficult for us to obtain a vigorous recovery in the face of the crisis generated by the pandemic of the new coronavirus”, he adds.
According to Abear, historically, the QAV is the item of greatest economic inefficiency for Brazilian airlines and accounts for more than a third of the sector’s costs.
“Brazil is the only country in the world that has a regional tax on QAV, the ICMS. Foreign companies, on the other hand, do not pay this tax to supply in national territory. That’s why an international trip is often cheaper than than a domestic flight, considering similar distances”, highlights the association.