The Indian aviation sector is flying high, with October 2024 marking a remarkable milestone in domestic air traffic growth. Despite the ongoing challenges faced by the global and local aviation industries, India’s domestic passenger traffic has soared, reaching an estimated 138.5 lakh passengers for the month. This figure represents a solid 6.3 percent increase over September 2024, which saw 130.3 lakh domestic flyers. More impressively, when compared to October 2023, the increase is even more striking—reflecting a year-over-year growth of 9.6 percent. The growth in passenger numbers is also noteworthy when contrasted with the pre-Covid era, with October 2024 traffic showing a 12.8 percent increase over October 2019, the last “normal” year for air travel.
The surge in air passenger traffic is a strong indicator that India’s aviation sector is on a robust recovery path, with no signs of slowing down despite global challenges like fuel price volatility, regulatory hurdles, and the ongoing recalibration of airline operations post-pandemic. The growth also demonstrates the rising demand for both domestic and international air travel as the country’s economic and tourism activities pick up pace, especially in the lead-up to the holiday season.
Looking at the cumulative picture for the fiscal year so far, the period from April to October 2024 (7M FY2025) has seen a total of 932 lakh domestic passengers, marking a 5.9 percent growth from the same period in the previous year. More impressively, this figure represents a 12.6 percent increase over pre-Covid levels, underscoring the sector’s ongoing expansion and the increasing preference for air travel within the country.
The domestic traffic numbers highlight the resilience of the Indian aviation industry, which has been steadily growing, even as the sector deals with various operational and financial challenges. Airlines have worked hard to rebuild their fleets, streamline operations, and cater to the burgeoning demand for air travel. Many carriers have responded by expanding routes, increasing frequencies on popular sectors, and improving customer service, all of which are contributing to the rise in domestic air traffic.
While the domestic market has seen impressive growth, international travel is also enjoying a robust recovery. Indian carriers have reported 162.6 lakh international passengers in the first half of FY2025, marking a 16 percent year-over-year increase. When compared to the pre-Covid period in H1 FY2020, international traffic has surged by an incredible 46.5 percent, highlighting not just the recovery of international travel but also the growing prominence of Indian airlines in the global aviation market.
Several factors are contributing to the strong resurgence in international travel, including increased connectivity, improved travel options, and the rising affluence of India’s middle class, which has led to greater demand for international travel. Additionally, India’s geopolitical importance and the expanding tourism and business exchanges between India and the world have played a role in increasing outbound and inbound air traffic.
The growth in both domestic and international sectors is particularly impressive given the global headwinds. Airlines are still navigating through issues such as high fuel costs, regulatory changes, and labor shortages, but the sustained growth trajectory of Indian aviation indicates a sector that is regaining momentum. Moreover, the Indian government’s continued focus on expanding the country’s airport infrastructure, improving regional connectivity, and fostering competition through policy reforms is expected to further support the growth of air travel.
Despite the sector’s remarkable growth, challenges remain. Rising jet fuel prices continue to put pressure on airline profitability, and the ongoing global supply chain disruptions have affected aircraft delivery timelines and spare parts availability. Moreover, while demand is high, airports and airlines must continue to address congestion issues, with many key airports in India operating close to capacity during peak travel periods.
Nevertheless, the outlook for the Indian aviation industry remains positive. The growth in both domestic and international air passenger traffic, along with the consistent rise in new routes and increased seat capacity, signals a continued recovery and expansion of air travel in the country. The government’s push for infrastructure development, the emergence of new low-cost carriers, and improved aviation technology are expected to further fuel this upward trajectory.
Looking ahead, the industry is poised for a strong holiday season, with airlines set to operate at higher capacities to accommodate increased demand. Given the ongoing upward trend, there is optimism that the Indian aviation sector will continue to thrive well into 2025 and beyond, positioning itself as one of the most dynamic and rapidly growing aviation markets globally.
In summary, October 2024 marks a key milestone in the Indian aviation industry’s recovery, with a significant jump in both domestic and international passenger numbers. With the sector’s strong growth prospects, infrastructure improvements, and continued government support, Indian aviation is firmly on track to emerge as a global aviation powerhouse in the coming years. The industry’s resilience in the face of challenges and its ability to adapt to changing market dynamics bode well for its future success.
