Alhind Air and Fly Express Cleared to Enter Indian Skies as Government Moves to Curb Airline Duopoly

Greater Noida News (27/12/2025): In a significant policy move aimed at strengthening India’s aviation sector, the central government has approved two new airlines—Alhind Air and Fly Express—to commence operations in the country. The decision comes in the wake of a major disruption faced by IndiGo, India’s largest airline, which recently cancelled more than 4,000 flights due to an acute crew shortage, highlighting the vulnerabilities of a highly concentrated aviation market.

The Ministry of Civil Aviation has granted No Objection Certificates (NOCs) to both airlines, marking the first formal step toward their entry into the domestic aviation space. The move is intended to reduce India’s heavy dependence on a limited number of carriers and to introduce greater competition, stability, and choice for air travelers.

At present, India’s domestic aviation market is largely dominated by two players—IndiGo and Air India—which together control nearly 90 percent of total market share. IndiGo alone accounts for over 60 percent, while Air India holds close to 30 percent. Such market concentration has repeatedly resulted in widespread disruption whenever one major airline faces operational challenges, whether due to staffing shortages, technical issues, or adverse weather conditions such as dense fog.

Government officials believe that India requires at least five strong domestic airlines to ensure resilience in the aviation network. The approval of Alhind Air and Fly Express is seen as a step toward breaking the existing duopoly and creating a more balanced and competitive ecosystem.

While the green signal is a positive development, significant hurdles remain before the new airlines can take to the skies. Both carriers must now complete multiple regulatory and operational requirements, including recruitment of trained flight and ground crew, acquisition of aircraft, establishment of maintenance systems, and compliance with safety standards. They will also need to secure an Air Operator Certificate (AOC) from the Directorate General of Civil Aviation (DGCA), a rigorous process involving audits, inspections, and test flights that can take several months or longer.

The government’s push for new entrants is also linked to India’s long-term aviation growth strategy. With rising passenger demand, expanding regional connectivity, and increasing international travel, India is projected to become the world’s third-largest aviation market in the coming years. Authorities believe that expanding airline capacity now is essential to meet future demand and prevent systemic disruptions.

However, industry experts caution that operating an airline in India remains a high-risk venture. The sector has witnessed several high-profile failures in recent years, including Jet Airways and Go First, while even newer carriers have struggled with rising fuel costs, lease expenses, and infrastructure constraints. For Alhind Air and Fly Express to succeed, sustained policy support, cost control measures, and improvements in airport infrastructure will be crucial.

If implemented effectively, the entry of these new airlines could mark a turning point for Indian aviation—offering passengers greater choice, improving service reliability, and reducing the impact of disruptions caused by over-reliance on a few dominant carriers.

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