Indian Aviation Achieves Record Half-Year Passenger Numbers Amid Challenges

This year the domestic air traffic in India reaches an all-time high record, driven by major airline players, despite shortages of aircraft.

The first half of 2024 observed a record-breaking 79.3 million passengers, indicating the highest half-year traffic ever recorded—an incredible accomplishment for India's aviation sector. This number highlights the sector's remarkable recovery and growth trajectory. It is increased 4% from the same period the previous year and a noteworthy 12.3% from prior to the pandemic in the year 2019.

June saw 13.6 million passengers, an increase of 15% from 12.4 million in June 2023, leading to the month with the highest passenger count ever, according to data from the Directorate General of Civil Aviation (DGCA). Passenger numbers have slightly decreased from May, however overall the trend is still strong, showcasing sustained demand in the post-pandemic era.

In terms of gaining market share, IndiGo and airlines owned by the Tata group—such as Air India, AirAsia India (formerly AIX Connect), and Vistara—have emerged as leaders. Before the pandemic, these airlines' combined market share was 24.1%; today, it is 28.7%. In spite of operational difficulties brought on by engine availability and aircraft grounding issues, IndiGo, in particular, continues to have a commanding market share, stable at roughly 60%.

But there are substantial challenges facing the sector, chief among them being a lack of operational aircraft. Due to unresolved lessor conflicts and budgetary restrictions, SpiceJet has experienced a significant drop in its market share, falling to 4.2%. Due to the shortage, fares have gone up; travelers report paying much more than they did before the outbreak.

In spite of these obstacles, India's aviation industry is resilient and still draws travelers.