Indian Airlines Target 50% Share in International Market by 2025

Indian airlines, including IndiGo, Air India, and Akasa Air, are aiming to significantly increase their share in the international aviation market, with plans to surpass 50% of the market by 2025. Senior executives from these airlines shared their growth strategies with Moneycontrol, highlighting expansion efforts in the international sector.

IndiGo, India’s largest airline, has set an ambitious target of selling 15 million international tickets in 2025, while Air India is aiming for 20 million international passengers. Air India, which carried approximately 17.5 million international passengers in 2024, expects to see growth in the high teens to reach its 20 million goal. The airline is also preparing for the delivery of nearly 60 new planes in 2025 to support its international expansion, especially to destinations in Southeast Asia, Europe, and the Americas.

IndiGo is also poised for rapid international expansion, having signed a lease for a Boeing 787-9 Dreamliner with Norway’s Norse Atlantic Airways to add more long-haul routes. The airline plans to launch flights to 20 new international destinations in 2025, and has already launched or restarted 24 international routes in 2024. With its fleet expansion, including the upcoming delivery of the Airbus A321XLR in June 2025, IndiGo will be able to offer direct flights to long-haul destinations like London, Amsterdam, Paris, and Tokyo.

The airlines’ push for international growth is driven by the increasing demand for air travel, particularly from Tier-II and Tier-III cities, and India’s growing infrastructure in airports and transportation. Additionally, the favorable exchange rate of the Indian Rupee provides a competitive advantage for Indian carriers.

Data from the Directorate General of Civil Aviation (DGCA) reveals that Indian carriers have already made significant strides in the international market, accounting for 45.6% of international passenger traffic in the first three quarters of 2024, a record high. This marks a substantial increase from the previous year’s figures, reinforcing the optimism of industry leaders.

According to CRISIL, the share of Indian airlines in international passenger traffic is expected to grow to 50% by FY2027-28, driven by fleet expansion, new international routes, and enhanced domestic connectivity. As disposable incomes rise and government policies focus on positioning India as a tourism hub, the international air travel market is expected to continue its robust growth.

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