Air India to Cut Approximately 800 Domestic Flights Per Week: IndiGo Also Set to Reduce Flights by 7%—Impact of Rising Fuel and Operational Costs
Tata Group-owned airline Air India is cutting approximately 800 domestic flights per week. This adjustment is scheduled to remain in effect from June through August 2026. The company has taken this decision in response to the rising prices of jet fuel. Meanwhile, a news report claims that IndiGo may also reduce its domestic flight operations by 5% to 7%.
Air India currently operates approximately 4,400 flights per week. This includes around 3,600 domestic and 800 international flights. The company has announced a reduction of up to 22% in its domestic flight schedule.
Air India states that it will closely monitor market demand and operating conditions. As soon as conditions return to normal and stabilize, the airline will consider reinstating the flight schedule to its previous levels.
Iran Conflict and Rising Fuel Prices: The Primary Causes
The primary reason behind these flight reductions is the ongoing conflict in the Middle East following the attacks on Iran on February 28. This situation has led to a surge in jet fuel prices.
Furthermore, the inability to utilize Iranian airspace has resulted in longer international flight routes, while restrictions on Pakistani airspace have also contributed to increased operational costs.
Airlines’ Fuel Expenditure Rises from 40% to 60%
According to the International Automobile Federation (FIA), the significant disparity in fuel prices between the international and domestic sectors has rendered airline networks financially unstable. Previously, fuel accounted for 40% of an airline’s total operational expenditure; this share has now surged to reach 60%. Flight Numbers Remained Low in March and April
According to data from the aviation analytics firm ‘Cirium’, operations across India’s four largest airlines witnessed a 6% decline in March and April compared to the previous year.
During this period, IndiGo operated 4.5% fewer flights, while Air India operated 7.5% fewer. Air India’s budget carrier, ‘Air India Express’, recorded the steepest decline at 17.1%.
Rising Fares Impact Passenger Numbers
Due to escalating operating costs, airlines have passed the burden on to passengers, resulting in higher airfares. The rise in fares has, in turn, led to a decline in demand for domestic air travel.
Currently, IndiGo and Air India dominate the Indian aviation landscape, collectively holding a domestic market share of approximately 90%. Meanwhile, Akasa Air is striving to expand rapidly, despite operating with a smaller fleet.
