WILLEMSTAD – Airfares between the islands are expected to increase as regional airlines face a sharp rise in aviation fuel costs, raising concerns about the financial sustainability of inter-island connectivity.
Small carriers operating in the Dutch Caribbean, including Divi Divi Air, Z Air, and Winair, are under growing pressure as the price of jet fuel and aviation gasoline continues to surge. The increase is linked to global market developments, particularly the ongoing conflict in the Middle East, which has driven up fuel prices worldwide.
State-owned fuel supplier Curoil has been adjusting its prices weekly since the escalation of the conflict, with increases now estimated at around 50 percent. The company supplies jet fuel in Curaçao and Bonaire, while sources indicate that price hikes in Aruba and Sint Maarten may be even higher.
Although exact pricing details are not publicly disclosed due to contractual agreements with clients, Curoil has pointed to international benchmarks, such as those tracked by S&P Global Platts, as the basis for its pricing structure.
For airlines operating short inter-island routes, the impact is immediate and significant. These carriers rely heavily on frequent flights between Curaçao, Aruba, Bonaire, and Sint Maarten, making fuel one of their largest operating expenses.
Industry insiders warn that without fare adjustments, airlines could face serious financial strain. Some have suggested that governments may need to intervene to avoid steep surcharges for passengers or potential disruptions in service.
Jet fuel prices on the international market have reportedly risen from approximately $2.50 to around $4.00 per gallon in a matter of weeks. Aviation gasoline, which is less commonly used and therefore less readily available, has seen even sharper increases locally.
The situation highlights the vulnerability of regional aviation to global economic shocks. For island communities that depend on air travel for mobility, commerce, and tourism, rising ticket prices could have broader economic consequences.
As fuel costs continue to climb, both airlines and governments face difficult decisions on how to balance affordability, connectivity, and financial viability in the Caribbean aviation sector.