Indian airlines are poised to dominate the country’s international air passenger traffic, with Credit Rating Information Services of India (CRISIL) forecasting their share to surge to 50% by the fiscal year 2027-28. This is up from 43% in the previous fiscal.
This significant increase is attributed to Indian carriers’ expansion plans, including deploying more aircraft, opening new routes, and leveraging their strong domestic connectivity compared to foreign competitors.
CRISIL predicts that the business profiles of Indian airlines will strengthen as they capture a larger share of the more profitable international traffic. The shift towards international leisure travel post-pandemic, driven by increasing disposable incomes and eased visa requirements, has contributed to this growth. Additionally, government initiatives to boost tourism are expected to further stimulate inbound traffic.
International passenger traffic in India has rebounded strongly, reaching around 70 million in fiscal year 2024 from a low of 10 million during the pandemic-hit fiscal year 2021. This resurgence has accelerated the upward trajectory of Indian carriers’ market share.
Indian airlines have strategically added 55 new international routes in the past 15 months, surpassing 300 routes in total. These expansions include direct flights from additional cities to popular destinations in the United States, Europe, and Australia, reducing travel time and layovers.
Furthermore, Indian carriers are enhancing short- and medium-haul international routes and forming codeshare agreements with global airlines to offer seamless connectivity to passengers. (www.editorji.com)
