India Grants Initial Approval to Two New Airlines
India has granted initial approval to two new airlines, alHind Air and FlyExpress, allowing them to move ahead with preparations to begin commercial operations. The clearances were issued in the form of No Objection Certificates, enabling the carriers to proceed with regulatory requirements such as securing Air Operator Certificates and finalising fleet and route plans.
Push to Increase Competition
The approvals come weeks after widespread flight disruptions by a major domestic carrier brought renewed focus on the need for greater competition in India’s aviation sector. The government has indicated that expanding the number of operators will help reduce over-dependence on a few airlines and improve service reliability for passengers.
Plans of the New Airlines
alHind Air has indicated that it plans to focus on regional connectivity, particularly in southern India, with an initial fleet expected to include turboprop aircraft. FlyExpress is also preparing to enter the domestic market, though details of its network and aircraft are still being finalised. Both airlines will be required to complete safety audits and regulatory approvals before launching flights.
Market Structure and Impact
India’s domestic aviation market is currently dominated by a small number of carriers, leading to concerns about limited competition. The entry of new airlines is expected to provide travellers with more choices, improve connectivity to underserved routes and potentially lead to more competitive fares.
Sector Outlook
Aviation officials said additional proposals for new airlines are under review, reflecting growing interest in India’s expanding air travel market. Passenger demand continues to rise, and authorities have stressed that infrastructure development and regulatory oversight will remain key priorities as new carriers enter the sector.
