Competition Intensifies in India’s Civil Aviation Market as Two New Airlines Move Forward
India’s Ministry of Civil Aviation has granted initial approvals to two new airlines to begin their operational processes, following recent flight cancellations and debates over market concentration. The ministry issued No Objection Certificates to regional carrier Al Hind Air and startup venture FlyExpress.
This move comes after IndiGo, which holds around 65 percent of the market, cancelled approximately 4,500 flights in recent weeks due to crew duty time planning issues. Combined with Air India’s 27 percent market share, the high level of concentration in the sector has once again raised calls for increased competition following the recent disruptions.
India’s Minister of Civil Aviation, Ram Mohan Naidu, stated that the government is encouraging the entry of new players into the market and confirmed that the processes for Al Hind Air and FlyExpress are progressing, alongside previously approved Shankh Air. Kerala-based Al Hind Air is expected to focus on southern India with turboprop aircraft, while Shankh Air is projected to begin operations in 2026.
