India’s domestic aviation market recorded a 1.89% year-on-year increase in May 2025, with 14.05 million passengers compared to 13.79 million during the same month last year, according to data released by the Directorate General of Civil Aviation (DGCA).
The uptick reflects a steady recovery in consumer demand and travel confidence amid growing economic activity and improving connectivity across the country.
IndiGo retained its dominant position, transporting 9.30 million passengers and capturing a commanding 64% share of the domestic air travel market.
The airline’s consistent performance is attributed to its extensive domestic network, efficient operations, and competitive pricing.
The Air India Group—which includes full-service carrier Air India along with its low-cost subsidiaries Vistara and AirAsia India—held the second position with 3.72 million passengers, translating to a 26.5% market share.
The Group’s unified strategy under Tata ownership has contributed to its expanding footprint and enhanced service integration.
Among the smaller carriers, Akasa Air continued its steady rise, flying 0.74 million passengers in May, thereby accounting for 5.3% of the domestic aviation market.
The airline, which began operations in August 2022, has seen consistent growth through new route additions and a modern fleet.
SpiceJet, despite ongoing operational and financial challenges, managed to carry 0.34 million passengers during the same period, holding a 2.4% market share.
The airline’s ability to remain competitive in a highly dynamic environment indicates resilience and operational optimisation.
IndiGo also led the sector in on-time performance (OTP), achieving an 84% score across six key airports: Delhi, Mumbai, Bengaluru, Hyderabad, Chennai, and Kolkata.
The airline’s focus on fleet reliability and operational efficiency continues to set a high benchmark.
Air India followed closely with an OTP of 79.7%, reflecting the Group’s ongoing efforts to improve service standards under its new management.
The improvements are part of a larger transformation plan that includes digital upgrades, customer service enhancements, and staff training.
The modest yet consistent growth in passenger numbers, combined with improved operational metrics, signals a stable and maturing domestic aviation market.
Industry analysts suggest that the current momentum will likely continue, driven by increasing tier-2 and tier-3 city connectivity, new airport infrastructure, and rising disposable incomes.
Furthermore, the seasonal travel surge during summer holidays and religious pilgrimages has contributed to passenger volumes, with airlines adjusting schedules and deploying additional capacity to meet demand.
As competition intensifies and airlines innovate to meet evolving consumer expectations, India’s aviation sector is further expected to witness sustained expansion.
The government’s continued focus on the UDAN regional connectivity scheme, airport modernisation, and policy reforms are also likely to play a pivotal role in driving long-term growth across the ecosystem.
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