Two new carriers, Al Hind and FlyExpress set to enter Indian aviation market

India has granted initial regulatory clearance to two new airlines, Al Hind Air and FlyExpress, in a move aimed at widening competition in the country’s fast-growing aviation sector. The civil aviation ministry issued no-objection certificates to both carriers this week, Civil Aviation Minister Ram Mohan Naidu stated in a post on X on Tuesday.

The approvals come amid renewed scrutiny of competition in Indian aviation following widespread flight disruptions earlier this month, when IndiGo cancelled thousands of services. The cancellations reignited concerns around market concentration, with IndiGo accounting for around 65 per cent of India’s domestic aviation market and the Air India Group holding about 27 per cent, leaving limited space for smaller players, according to a Reuters report.

Al Hind Air, promoted by the Kerala-based Alhind Group, plans to begin operations primarily in southern India and intends to operate ATR turboprop aircraft, the report stated. The airline is currently in the process of securing its Air Operator Certificate, a mandatory regulatory approval before starting commercial services. Information published on Al Hind Air’s website stated that the airline is preparing to enter the aviation sector as a regional commuter carrier, with operations expected to commence later this year. It further stated that the airline plans to start with a fleet of ATR 72-600 aircraft, focusing initially on efficient and reliable domestic air travel.

The airline is expected to be based at Kochi and is working with Cochin International Airport Limited to set up its operational hub, according to details shared on its website.

FlyExpress, the second carrier to receive an NOC, has indicated that it is preparing to launch operations in the near future, although details regarding its fleet composition and route network have not yet been formally disclosed, the Reuters report noted.

Naidu stated that he held meetings over the past week with teams from Al Hind Air, FlyExpress and Shankh Air, another proposed airline that had already secured an NOC earlier, according to an ANI news agency report. He informed that the government is actively encouraging new airlines to enter the Indian market, describing India as one of the world’s fastest-growing aviation markets due to policy support and initiatives such as the UDAN regional connectivity scheme.

Under the UDAN programme, smaller airlines including Star Air, IndiaOne Air and Fly91 have expanded regional air connectivity, demonstrating the scope for further growth by new entrants such as Al Hind Air and FlyExpress, the minister stated. The push to attract more airlines has gained urgency after the recent IndiGo disruptions were linked to crew management issues and the implementation of revised flight duty time limitation norms. Naidu stated that other airlines had adjusted to the new duty regulations and that the disruption highlighted issues specific to IndiGo’s internal management rather than broader regulatory shortcomings, according to ANI.