IndiGo soars to highest-ever market share as Air India cuts capacity

IndiGo soars to highest-ever market share as Air India cuts capacity

IndiGo has further consolidated the market, touching a 66.3% share in June this year, followed by Air India at 23.9%

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IndiGo carried 89.2 lakh passengers in June, compared to 9.9 million in May and 8.97 million in April this year IndiGo carried 89.2 lakh passengers in June, compared to 9.9 million in May and 8.97 million in April this year
Richa Sharma
  • Jul 21, 2026,
  • Updated Jul 21, 2026 1:59 PM IST

IndiGo recorded its best-ever market share, touching 66.3% in June, as Air India announced capacity cuts in both the domestic and international sectors, according to the latest DGCA data.  

IndiGo carried 89.2 lakh passengers in June, compared to 9.9 million in May and 8.97 million in April this year. The biggest hit has come for Air India, which carried 3.2 million passengers in June, the lowest this year. The highest peak for the Tata-run airline was 4 million in January this year.

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Must Watch: IndiGo Signs Historic 1,000+ Engine Deal: What It Means For Expansion, Fleet & Stock Outlook

Air India reported over Rs 26,000 crore revenue loss in FY25 and has announced downsizing of its operations as part of the network rationalisation till the end of August. Air India plans to restore its suspended domestic and international capacity from September, said Nipun Aggarwal, Chief Commercial and Transformation Officer, Air India.

On the international front, the deployment to Chicago and Washington is expected to remain suspended owing to aircraft availability issues.

Akasa Air also improved its market share to 6.4% in June, the best this year. The airline is growing the fastest and looks to infuse Rs 10,000 crore for operations amidst challenges posed by the West Asia conflict. The country’s youngest airline reported the highest passenger load factor of 92.2%.

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Don't Miss: Blame it on the IndiGo fiasco? Air ticket refund complaints up 233% in 2025

Domestic carriers have been facing headwinds due to the adverse geopolitical situation, with Middle East capacity cut drastically in March and April this year. Middle East sector contributes a big pie of revenue for the domestic carriers, with Air India Express and SpiceJet having over 90% of their international capacity deployed to the Gulf region.

IndiGo recorded its best-ever market share, touching 66.3% in June, as Air India announced capacity cuts in both the domestic and international sectors, according to the latest DGCA data.  

IndiGo carried 89.2 lakh passengers in June, compared to 9.9 million in May and 8.97 million in April this year. The biggest hit has come for Air India, which carried 3.2 million passengers in June, the lowest this year. The highest peak for the Tata-run airline was 4 million in January this year.

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Must Watch: IndiGo Signs Historic 1,000+ Engine Deal: What It Means For Expansion, Fleet & Stock Outlook

Air India reported over Rs 26,000 crore revenue loss in FY25 and has announced downsizing of its operations as part of the network rationalisation till the end of August. Air India plans to restore its suspended domestic and international capacity from September, said Nipun Aggarwal, Chief Commercial and Transformation Officer, Air India.

On the international front, the deployment to Chicago and Washington is expected to remain suspended owing to aircraft availability issues.

Akasa Air also improved its market share to 6.4% in June, the best this year. The airline is growing the fastest and looks to infuse Rs 10,000 crore for operations amidst challenges posed by the West Asia conflict. The country’s youngest airline reported the highest passenger load factor of 92.2%.

Advertisement

Don't Miss: Blame it on the IndiGo fiasco? Air ticket refund complaints up 233% in 2025

Domestic carriers have been facing headwinds due to the adverse geopolitical situation, with Middle East capacity cut drastically in March and April this year. Middle East sector contributes a big pie of revenue for the domestic carriers, with Air India Express and SpiceJet having over 90% of their international capacity deployed to the Gulf region.

ABOUT THE AUTHOR

Richa Sharma

A journalist with over two decades of reporting experience in infrastructure, environment, policy, and politics. My media journey took me to various newsrooms — wire services, newspapers, and digital platforms — covering the intersection of different sectors in India's sustainable growth story. Covering India's infrastructure boom as it walks towards becoming a developed economy by 2047, with Highways, Aviation, Railways and Power sector being key building blocks in this growth story. Closely tracking the net-zero journey of India Inc. from regulatory, energy transition, circularity, and ESG perspectives. For feedback and ideas, connect on X at @richajourno.

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