Why Indian carriers struggle to survive despite airport boom and record footfall
FirstpostThe Indian aviation industry may seem to be soaring, but it has a history of airline shutdowns due to money troubles, intense competition and management issues. While Air India merged with Indian Airlines in 2007 to become the largest full-service airline, other major players like Kingfisher, Jet Airways and Air Sahara all eventually collapsed. Boeing’s 2023 outlook estimates that over the next 20 years, South Asia will add more than 2,700 new planes, with India alone receiving 90 per cent of these. Indian airlines are projected to represent 18 per cent of the Asia-Pacific region’s fleet by then, up from 8 per cent today, with an order book expected to reach 2,000 planes by March 2025. Over the next two decades, India’s fleet is expected to grow at 8.7 per cent annually, boosting its global share from 3 per cent to 8 per cent.