Jet fuel prices moved higher for a second consecutive month, averaging around $80 a barrel in February, IATA said and noted the oil price outlook “remains uncertain” on geopolitics.
The government has largely refused to cut taxes, drawing criticism from the main opposition Congress party for the "fuel loot".
Jet Airways slid 8.04% in morning trade, a day after it told the Bombay Stock Exchange that it was delaying releasing its first-quarter results.
Jet Airways had told pilots it had enough cash left to keep operating for just 60 days and would need to put in place cost-cutting measures including pay cuts.
IATA director general and CEO Alexandre de Juniac has again urged all concerned to ensure that air connectivity be maintained between Qatar and rest of the world.
Airlines including Singapore Airlines, Australia's Qantas Airways Ltd and US-based United Continental Holdings Inc are adding ultra-long haul flights.
Brazil's President Michel Temer, under pressure from a week-long national truckers' strike which led to fuel and food shortages, ceded to protesters' demands Sunday and slashed the cost of diesel.
India is looking at ways to keep rising fuel prices in check, its oil minister said on Monday, with retail rates for diesel and petrol touching record highs in capital city New Delhi and financial hub Mumbai.