The dominance of foreign airlines on international routes presents a significant growth opportunity for Indian carriers, according to a recent report by rating agency ICRA. The report highlights that Indian airlines currently have a lower share of the international passenger traffic market, leaving substantial room for expansion. With increasing demand for international travel, particularly from India’s growing middle class, domestic carriers are well-positioned to capture a larger share by expanding their fleets and enhancing international connectivity.
ICRA’s analysis suggests that foreign airlines currently account for a major portion of international traffic to and from India, creating a potential market for Indian carriers to tap into. The report emphasizes that Indian airlines can benefit from increasing long-haul services, leveraging partnerships, and optimizing fleet utilization. Additionally, the government’s push for infrastructure development, including airport expansion and improved regulatory frameworks, is expected to facilitate this growth.
Indian carriers are already making strategic moves to strengthen their international presence. Major airlines are increasing capacity on popular routes and introducing new destinations to meet rising passenger demand. The report also notes that the introduction of wide-body aircraft by Indian airlines is a positive step, allowing them to compete effectively with established global players.
ICRA projects robust growth for Indian airlines in the coming years as they capitalize on this opportunity. The report concludes that with the right strategies, Indian carriers can significantly increase their market share, reduce reliance on foreign airlines, and establish themselves as key players in the global aviation landscape.
