India Clears Two New Airlines to Boost Competition

NEW DELHI — India’s Ministry of Civil Aviation (Naagar Vimaan Mantraalay) has granted initial clearance to two startup carriers, alHind Air and FlyExpress, as the government looks to strengthen competition in the world’s fastest-growing aviation market following mass flight cancellations at IndiGo (6E) earlier this month.

Civil Aviation Minister Ram Mohan Naidu said the airlines received no-objection certificates (NOCs) this week, allowing them to proceed toward securing full Air Operator Certificates (AOC). The move comes after 6E cancelled about 4,500 flights due to staffing disruptions, stranding tens of thousands of travelers and renewing calls for more market diversity.

IndiGo controls roughly 65% of the domestic market, with Air India Group (AI) at 27%. Smaller airlines account for the remainder. alHind Air plans to launch regional services in southern India with ATR turboprops and is seeking its AOC to start flights connecting cities like Kochi, Bengaluru, and Chennai, with plans for broader reach. FlyExpress also lists operations as “coming soon.”

In the last five years, India has cleared six new operators, including regional airlines, as part of efforts to expand connectivity and resilience across the Indian aviation sector. 2025 was to be a pivotal year for Indian aviation, but the tragic AI Flight 171 crash in Ahmedabad in June, which killed hundreds and led to intensified safety scrutiny along with the 6E operational crisis were major setbacks.