A local airline industry expert says Canadian airlines are in good shape for the time-being, but carriers and passengers may start feeling the sting of higher fuel prices in the next month or two.

John Gradek, who is currently visiting St. John’s, is a lecturer who specializes in aviation management and supply chain management.

There are serious concerns about the impact rising fuel prices, caused by supply chain issues in the Middle East, are having on budget airlines and less profitable routes.

Gradek says Canadian carriers are in good shape for the time-being.

“The large carriers, Air Canada, has hedging in fuel that will take them through at least this month, if not in early June. I’m not sure about WestJet or Porter, but I think that we do have a fairly robust aviation community here in Canada that is able to at least bridge this storm that we’re having now for at least the next month or so.”

He says in Canada the issue is not shortages, but price.

Gradek says fuel hedging has helped keep rising costs down, however, once that hedging contract is up, carriers will move to spot pricing, which will result in a “significant hit” to their bottom line.

“Therefore we’re talking about routes that are marginal that may, or may not be operating come June or July.”