India's aviation sector sees 11.04% passenger traffic growth

India's aviation sector shows a promising outlook as domestic air travel continues to grow. In February, the number of passengers increased by 11.04% compared to last year. Official data reveals that domestic air traffic reached about 1.55 billion passengers in the current financial year, representing a 7.7% rise from the previous year and a 12.9% increase over pre-COVID levels. International passenger traffic for Indian carriers also surged, with 28.09 million travelers in the first ten months of the financial year. This marks a 14.8% year-on-year growth and is 41.3% higher than pre-pandemic numbers. IndiGo remains the largest airline in the country, with a market share of 63.7%, flying 8.94 million passengers in February. The Air India Group follows, holding 27.3% of the market with 3.83 million passengers. Newly launched Akasa Air holds a 4.7% share, flying 659,000 passengers, while SpiceJet captures 3.2% with 454,000 passengers. The outlook for the Indian aviation industry is stable, with expectations of continued growth in domestic traffic and moderate pricing power. Forecasts suggest domestic air traffic will grow by 7-10% in the next two financial years, and international traffic for Indian carriers is expected to expand by 15-20%. IndiGo has been recognized as the world’s second fastest-growing airline by seat capacity. However, it faces challenges with about 80 of its aircraft inactive due to maintenance supply chain issues. Despite this, it remains a key player in the industry, holding one of the largest aircraft orders globally.