In a significant projection for the Indian aviation industry, leading research and ratings agency CRISIL has forecasted that Indian airlines are poised to capture a commanding 50% market share in international passenger traffic by the fiscal year 2028. This optimistic outlook signals a major milestone for Indian carriers and underscores the sector’s robust growth trajectory in the coming years.
CRISIL’s forecast is based on several key factors that are expected to drive the expansion of Indian airlines in the international market. Chief among these factors is the steady recovery of air travel demand following the disruptions caused by the COVID-19 pandemic. As global travel restrictions continue to ease and passenger confidence rebounds, Indian carriers are well-positioned to capitalize on the pent-up demand for international travel.
Furthermore, the report highlights the increasing competitiveness and efficiency of Indian airlines, fueled by strategic investments in fleet expansion, route optimization, and operational efficiency. With a growing fleet of modern aircraft and a focus on enhancing passenger experience and connectivity, Indian carriers are gaining traction in key international markets, attracting both leisure and business travelers alike.
Another crucial factor driving the projected growth of Indian airlines in the international arena is the country’s burgeoning middle class and rising disposable incomes. As more Indians aspire to explore international destinations for leisure, business, and education, airlines are witnessing a surge in demand for outbound travel, further bolstering their market presence on the global stage.
CRISIL’s forecast comes on the heels of several initiatives undertaken by the Indian government to liberalize and stimulate growth in the aviation sector. Measures such as the implementation of the National Civil Aviation Policy (NCAP), the introduction of the Regional Connectivity Scheme (UDAN), and the privatization of airports have created a conducive environment for the expansion of Indian carriers, paving the way for increased market share in international passenger traffic.
The anticipated rise of Indian airlines to command 50% of international passenger traffic by FY28 signifies a significant shift in the global aviation landscape, with Indian carriers emerging as key players in the increasingly competitive market. As they continue to expand their route networks, enhance service offerings, and leverage technological advancements, Indian airlines are poised to play a pivotal role in shaping the future of air travel, both regionally and globally.
