SOUTH ASIA
India
One of the world's fastest-growing aviation markets, with record aircraft orders, new airports, a fast-expanding MRO sector and private space launches.
Market overview
India's airlines carried 167.7 million domestic passengers in FY2025–26, only 1.4% more than the year before. Jet fuel prices rose with the West Asian conflict and the airlines cut capacity. Growth has slowed, but the build-out continues. India has about 160 operational airports and aims for 350 to 400 by 2047, with more than ₹1 trillion of airport investment planned over the next four to five years. Navi Mumbai opened to airlines on 25 December 2025, and Noida International (Jewar), near Delhi, was inaugurated on 28 March 2026 with a first phase for 12 million passengers a year. The order book is among the world's largest: IndiGo has 500 A320-family aircraft on order and Air India 470 aircraft. The government wants MRO done at home. Aircraft parts and MRO items have carried a single 5% tax rate since July 2024, and the minister expects MRO to be worth US$4 billion by 2030. Supplier openings: MRO, parts, airport systems and training.
At a glance
- Main hubs
- Delhi Indira Gandhi International; Mumbai Chhatrapati Shivaji Maharaj International; Bengaluru Kempegowda International
- Flag carrier
- Air India / IndiGo (largest airlines)
- Airport operator
- Airports Authority of India and private operators ↗
- Industry body
- Society of Indian Aerospace Technologies & Industries (SIATI)
- Training body
- Indira Gandhi Rashtriya Uran Akademi (IGRUA)
Fast-growing domestic marketlarge aircraft ordersMRO growthspace start-upsdrones
Key facts
- 167.74 million domestic passengers in FY2025–26, up 1.4% (ICRA, April 2026).
- About 160 operational airports, with a target of 350 to 400 by 2047 (2026).
- Noida International (Jewar) was inaugurated on 28 March 2026. Its first phase cost about ₹11,200 crore and is sized for 12 million passengers a year; six runways are planned at full build.
- Orders: IndiGo 500 A320-family aircraft and Air India 470 aircraft (as reported July 2024).
- A single 5% tax rate on aircraft parts and MRO items since 15 July 2024. MRO is forecast to reach US$4 billion by 2030 (Civil Aviation Minister).
Key figures
Passengers carried (2023)
180,415,784
2023 · rank 2 of 52
2019–2023
Air freight, million tonne-km (2023)
1,807
2023 · rank 10 of 52
2019–2023
Source: World Bank, World Development Indicators (CC BY 4.0).
Did you know
India is the world's third-largest domestic air market.
Latest news
- IndiGo upgrades to Skywise Core X3 data platform to power its AI plans
- BPCL commits to SAF co-processing at Mumbai refinery
- Sarla Aviation and Prestige assess vertiport sites
- Pixxel raises US$100m, India's largest space-tech round
- Airbound raises US$37m for ultralight cargo drones
- India expects more than eight private commercial rocket launches by 2028
Typical bottlenecks in India
- Qualifying as a supplier to global aerospace programmes — Quality, safety & compliance · Regulation & certification
- Expanding MRO capacity for very large incoming fleets — Airworthiness & CAMO · Fleet & asset management
- Launching a commercial drone or space-services venture — Advanced air mobility · Airline strategy & business plans
Free every Friday
Aerospace Garage Weekly
Market Pulse, the nine regions and a course of the week — one email, free every Friday.
Your email address is used only to send you the free weekly edition and is never sold or shared. You can unsubscribe from any edition.