IndiGo And Tata Group Airlines Now Control More Than 80% Of Indian Market

The early 2000s marked the beginning of a significant churn in Indian aviation. The dominance of a handful of full-service carriers (out of reach for most Indians) was about to be challenged by budget air travel.

Airlines, such as IndiGo, SpiceJet, and Go First (it was called GoAir back then), burst onto the scene, opening the floodgates for millions of first-time flyers nationwide. Even Jet Airways and Kingfisher Airlines were forced to launch low-cost brands such as Kingfisher Red and Jet Konnect.

The overwhelming sense prevailing in that era in India was that of democratization of air travel (to a great extent, if not entirely), where no single airline dominated the market, and airfares were kept competitive for passengers. But the latest data by the Indian regulator, the DGCA, suggests new dominant forces in an ever-evolving sector.

By now, the DGCA figures every month follow a predictable pattern, at least as far as airlines’ market share is concerned. Nobody is surprised by IndiGo commanding a presence of more than 50%, while other airlines remain primarily in the single digits.

But a close examination of these figures reveals an interesting trend. IndiGo is now in the region of the late 50s and inching towards the 60% mark, with a 57.5% market share in April. On the other hand, Air India, Vistara, and AirAsia India individually come nowhere close to IndiGo but collectively command a quarter of the Indian domestic market.

Currently, India’s domestic aviation is controlled by two forces – IndiGo on one side and the Tata Group airlines on the other. Together, they have a grasp over an eye-watering 82.4% of the Indian market.

Many are now wondering whether the aviation sector in the country is headed towards a duopoly. The term is being loosely thrown around for now because Vistara and Air India are technically still different airlines until their merger, and AirAsia India will eventually merge with Air India Express. But there’s little doubt that two power blocks dominate the Indian aviation space currently.

24/05/2023 Gaurav Joshi/Simple Flying

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AirAsia India launches summer sale with fares starting at Rs 1,648

AIX Connect, operating as AirAsia India, has kicked off its summer sale, offering affordable fares starting at just Rs 1,648 for popular routes like Delhi-Jaipur. Additionally, passengers can take advantage of discounted sale fares across the airline's network, including the Mumbai-Goa route, with fares as low as Rs 1,817.

The promotion aims to attract travellers looking for affordable options for their summer vacations. The sale is valid for bookings made until May 31, 2023, with travel dates available after July 1.

AirAsia India, the country's second-largest low-cost carrier based on market share, according to the latest DGCA reports, is extending this offer across multiple booking channels.

Travellers can make bookings through the new consolidated website, the AirAsia India iOS and Android mobile apps, and other major booking platforms.

As part of the promotion, NeuPass members can also benefit from a Rs 350 waiver of the convenience fee when booking on the AirAsia website and the AirAsia India mobile app. Additionally, NeuPass members can earn up to 8 percent NeuCoins while travelling.

AirAsia India is encouraging travellers to explore popular destinations such as Bagdogra, Guwahati, Imphal, Goa, Jaipur, and Kochi, which are known for their scenic landscapes and leisure opportunities.

With a wide network of over 50 direct and 100 connecting flights to 19 destinations, the airline promises quick bookings, attractive deals, and great value for its passengers.

23/05/2023 Anand Singha/CNBC TV18

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AIX Connect to operate its first flight using SAF: AI CEO Wilson

New Delhi: Air India Chief Executive Officer Campbell Wilson said Air Asia India, named AIX Connect, will operate its first flight using a blend of Indian-produced Sustainable Aviation Fuel (SAF) between Pune and Delhi on Friday. 

 In addition, he said there were also sessions on yoga, meditation, webinars, and in-person activities at several locations. "As well as raising awareness, we want to reduce any stigma around seeking help, as all of us need support now and then," he added. In a letter to the airline employees, the CEO said, "On the sustainability front, our colleagues at Air Asia India will operate the first flight using a blend of Indian-produced Sustainable Aviation Fuel (SAF) between Pune and Delhi today." 

 AirAsia India currently operates 19 domestic destinations. It became a fully owned subsidiary of Tata Group last November. He added, "It's a small but important step, together with our fleet modernisation, efficiency improvement and other initiatives, toward realising our (and our industry's) goal of net-zero emissions by 2050." 

 The CEO also lauded the recruitment and training teams for the tremendous effort in hiring more than 500 pilots, 2,400 cabin crew and 1,000 other staff across Air India and AIX Connect since the start of the year. He also wrote in the letter, "We also saw our 1,000th new cabin crew of the year commence operational duties. Our teams have done a great job ramping up our recruitment and training capabilities, travelling the country and grooming the new Air Indians we need to take us higher. They've done, and continue to do, a great job! And, of course, a very warm welcome to our new colleagues!" Campbell also wrote about awareness of mental health, saying, "You may also have seen items on workplace or around the offices raising awareness of mental health as part of Wellness Week." 

 19/05/2023 ANI/Infra.com

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Tata's AirAsia India successfully operates country’s first commercial flight on India-made sustainable fuel

Air India’s low-cost subsidiary AirAsia India, successfully operated the country’s first commercial flight on the Pune-Mumbai sectors using an indigenously produced sustainable aviation fuel (SAF) blend early Friday morning.

Flight I5767 flew from Pune to Delhi powered by SAF blended aviation turbine fuel (ATF) supplied by Indian Oil Corporation Ltd (IOCL) in partnership with Praj Industries, which provided the technology for the blend.

Receiving the flight at Delhi’s Indira Gandi International Airport the minister for petroleum and natural gas, Hardeep Singh Puri said, “This would be the first domestic commercial passenger flight with SAF blending of up to 1 per cent in demonstration mode. By 2025, if we target to blend 1 per cent SAF blending in jet fuel, India would require around 14 crore litres of SAF per annum. More ambitiously, if we target for 5 per cent SAF blend, India required around 70 crore litres of SAF per annum.”

Informing the country could become a surplus SAF producer, Puri observed, “India has feedstock for potential production of 19 to 24 million tons of SAF per year, whereas the estimated maximum requirement of SAF in India, considering 50 per cent blend, is around 8 to 10 million tonnes per year by 2030.”

Commending AirAsia India, IOCL and Praj Industries on the achievement, the minister observed that the development of indigenous solutions would not only go a long way in mitigating the environmental impact of aviation and but also pave the way for the widespread adoption of SAF in the country. Sharing pre-Covid-19 data, he said the Indian aviation sector consumed around 8 million tons of ATF and emitted around 20 million tons of greenhouse gases in 2019.

19/05/2023 Manish Pant/Business Today

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