The State of India’s Aviation Market – July 2025
18 Nov 2025
Highlights:
Growth, Shifts, and Opportunities in One of the World’s Fastest-Moving Air Travel Sectors
India’s aviation market continues to evolve at remarkable speed, with a dynamic mix of domestic resilience and international expansion. As of July 2025, the market features 85 airlines and 117 airports, reflecting the country’s pivotal role in connecting millions of passengers both domestically and globally.
Market Composition: Domestic vs International
The domestic market currently accounts for 68% of India’s total air capacity, while international traffic makes up the remaining 32%. Notably, domestic capacity contracted slightly by 0.3% compared to last year, while the international market grew by 8.1%—signaling increasing outbound and inbound travel demand.
Low-Cost vs Full-Service Airlines
India’s skies are dominated by low-cost carriers (LCCs), which hold 65% of total capacity with 16.6 million seats—a 7% year-on-year increase. Full-service carriers, however, represent 32% of capacity with 7.7 million seats, having declined by 7% in the same period. This trend underscores India’s price-sensitive market and the growing appetite for affordable travel options.
Leading Airlines
- IndiGo (6E): The market leader with 48% share and 11.7 million seats, up 3% from July 2024.
- Air India (AI): Holds 16% market share with 3.9 million seats, growing capacity by 39% year-on-year.
- Air India Express (IX): The fastest-growing airline, expanding by 132% to 2.8 million seats, now the third largest carrier.
- SpiceJet (SG): Facing headwinds with a 24% drop in capacity, now the fifth largest carrier.
Key State Markets
- Delhi remains the busiest state with 3.6 million seats (14.9% market share), though capacity is down 4.9% year-on-year.
- Maharashtra follows closely with 3.5 million seats (14.6% share).
- Karnataka is third, holding 9% market share, with capacity up 4.5% year-on-year.
International Connectivity
- United Arab Emirates tops the list with 1.2 million seats (29% share), up 8% from last year.
- Thailand has seen impressive 28% growth, reaching 318,000 seats.
- Saudi Arabia climbed into third place, with 299,000 seats, up 18% year-on-year.
Domestic Airport Leaders
- Delhi (DEL) remains India’s busiest domestic airport with 2.6 million seats, despite an 8% drop.
- Mumbai (BOM) and Bengaluru (BLR) follow with 1.9 million and 1.7 million seats respectively.
- Guwahati (GAU) leads in growth (+9%), followed by Hyderabad (HYD) (+8%).
Top Domestic Routes
- 1. Mumbai–Delhi: 620,200 seats (-9% year-on-year)
- 2. Bengaluru–Delhi: 432,000 seats (-4%)
- 3. Bengaluru–Mumbai: 393,000 seats (-5%)
- Fastest-growing: Bengaluru–Hyderabad, up 10% to 232,000 seats.
Top International Routes
- 1. Mumbai–Dubai (DXB): 241,000 seats (-1%)
- 2. Delhi–Dubai (DXB): 204,000 seats
- 3. Delhi–London Heathrow (LHR): 133,000 seats
- Fastest growth: Mumbai–Jeddah (JED), up 74% year-on-year.
Opportunities and Outlook
The data shows a market increasingly shaped by low-cost growth, aggressive international expansion, and strategic state-level capacity shifts. As India’s middle class expands and international tourism rebounds, there is strong potential for further route development, fleet expansion, and airport infrastructure investment.
How AviaPro Can Support
At AviaPro, we partner with airlines, airports, and aviation stakeholders to:
- Identify profitable route opportunities through in-depth market analysis.
- Develop fleet and leasing strategies tailored to demand growth patterns.
- Advise on network optimization for both LCC and full-service models.
- Support infrastructure planning for emerging airport hubs.
With decades of global expertise and a track record across high-growth markets, AviaPro helps clients turn data into actionable, revenue-generating strategies.
Sources
• OAG Aviation Worldwide Ltd., “India Air Capacity – July 2025” data report.
• Directorate General of Civil Aviation (DGCA), India – Traffic Statistics 2025.
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