IndiGo Faces A Sharp Decline In Market Share To Sixty-Three Point Six Percent In November, While Air India And Competitors Surge With Strong Growth

Published on December 29, 2025

In November, IndiGo experienced a significant decline in its market share, dropping to 63.6%, while Air India and other competitors surged with strong growth, benefiting from rising demand across both domestic and international routes. This shift reflects the strategic expansions, improved customer services, and competitive offerings from other airlines, which have allowed them to capture a larger share of the market and challenge IndiGo’s dominance in the Indian aviation sector.

India’s leading low-cost airline, IndiGo, has been facing significant operational challenges in recent weeks, which have resulted in a notable decline in its market share. According to the latest data from the Directorate General of Civil Aviation (DGCA), the airline’s domestic market share fell to 63.6% in November, down from 65.6% in October. This drop in market share marks a substantial shift in the domestic aviation landscape, highlighting the airline’s struggles amid an ongoing crisis that has affected thousands of passengers.

In contrast, other domestic carriers have managed to increase their market presence. The Air India Group, which includes both Air India and Air India Express, saw its market share rise to 26.7% in November, up from 25.7% in October. This upward trend reflects the carrier’s growing position in the Indian aviation market, especially as competition in the domestic sector heats up. However, not all airlines have been so fortunate, with another low-cost carrier experiencing a decrease in its market share, which fell to 4.7% in November, down from 5.2% in the previous month.

The data from DGCA also revealed that domestic airlines in India carried a total of 1.53 crore passengers during the first eleven months of 2025. This figure marks a notable increase from the 1.46 crore passengers during the same period in 2024, representing an annual growth of 4.26%. Additionally, the data indicated a month-on-month growth of 6.92% in passenger numbers, further showcasing the rising demand for air travel within India. Despite this overall growth, the domestic airline industry faces challenges in meeting passenger demands, particularly as airlines like IndiGo grapple with operational issues.

In November 2025, the overall cancellation rate for scheduled domestic airlines stood at 1.33%, a figure that might appear modest but nonetheless reflects the growing turbulence within the sector. IndiGo’s operational issues, which led to a massive number of flight cancellations, have put a spotlight on the airline’s ability to manage its network effectively. Passengers were stranded across various airports, particularly in major travel hubs such as Delhi, Mumbai, Hyderabad, and Bengaluru, as the airline struggled to maintain its schedule.

The situation reached a crisis point earlier this month when IndiGo was forced to cancel over 4,000 flights across key destinations in India. This crisis was primarily caused by a severe crew shortage, which was exacerbated by the implementation of the second phase of flight duty time limitations (FDTL). These new regulations limited the hours that flight crews could work, thereby contributing to the shortage and forcing the airline to ground a significant number of flights. As a result, thousands of passengers were left stranded, and travel plans were severely disrupted. The consequences of this crisis have extended beyond IndiGo’s immediate operations, as it has affected the reputation of India’s largest airline and raised concerns about the management of flight schedules and crew resources.

In the wake of this chaos, the government has taken action to ensure that such disruptions are addressed and that the aviation industry as a whole remains competitive and reliable. The Civil Aviation Ministry has granted approval for three new regional airlines to begin operations in India. These airlines—Shankh Air, Al Hind Air, and FlyExpress—have received a “no-objection certificate” from the Ministry, allowing them to start their services and provide passengers with more options in the competitive Indian aviation market. The approval of these new airlines is seen as a response to the ongoing crisis and is intended to increase competition, thus driving improvements in service quality and reliability across the industry.

The decision to introduce these new airlines also comes amid growing concerns about the dominance of IndiGo in the Indian aviation market. As the country’s largest airline, IndiGo has come under scrutiny for its failure to manage its operational challenges effectively. The airline’s poor handling of flight cancellations and passenger inconvenience has prompted an inquiry by the government. This investigation aims to examine the underlying causes of the crisis, particularly IndiGo’s crew shortage and its ability to comply with the new FDTL norms. The inquiry also seeks to address concerns regarding the airline’s market dominance, particularly in light of the significant disruptions it caused to travelers across the country.

While the government works to investigate and address these issues, passengers have voiced frustration over the inconvenience caused by the flight cancellations. Many travelers who were affected by the cancellations faced long delays, missed connections, and the stress of having to find alternate arrangements at the last minute. The airline industry’s poor handling of this crisis has underscored the need for better contingency planning, more effective crew management, and improved communication with passengers, especially during times of operational disruptions.

Looking ahead, the Indian aviation sector faces a critical period in which it must recover from the recent disruptions and rebuild consumer trust. With the holiday season approaching and domestic travel demand set to increase, it is crucial for airlines to address their operational shortcomings to meet passenger expectations. For IndiGo, this will involve addressing its crew shortages, ensuring compliance with flight duty regulations, and working to minimize cancellations and delays. For other airlines, it will be an opportunity to step up their service offerings and attract new customers in a highly competitive market.

In November, IndiGo’s market share declined to 63.6%, while Air India and other competitors saw strong growth, driven by expanded routes and enhanced services that attracted more passengers.

As the situation unfolds, the government’s approval of new regional airlines will likely have a long-term impact on the dynamics of the Indian aviation market. By promoting competition, the government hopes to ensure that airlines are held to higher standards and that the industry as a whole improves its service levels. However, for now, the focus remains on resolving the immediate operational issues faced by IndiGo and ensuring that passengers are not left stranded in the future.