Airlines are not able to continue “absorbing the cost” of disruption stemming from the closure of the Strait of Hormuz, according to the head of the International Air Transport Association ( IATA ). Willie Walsh , IATA's director general, told the BBC that while there is no immediate cause for alarm over potential jet fuel shortages , an inevitable consequence of rising fuel prices will be an increase in air ticket costs. “There’s just no way airlines can absorb the additional costs they’re experiencing,” he said. “There may be some instances where airlines will discount to stimulate some traffic flow… but over time it’s inevitable that the high price of oil will be reflected in higher ticket prices.” While Mr Walsh did not think there would be widespread cancellations, he added: “I think the concern will be that if sufficient alternative supply isn’t sourced, there may be some shortages when we get into the peak summer period.” Last week, British Airways ’ parent company IAG warned its profits will be hit…