The Ministry of Civil Aviation has given the green light to two new airlines, Al Hind Air and FlyExpress, following the recent IndiGo crisis that exposed the lack of competition in India’s aviation sector. The move aims to give flyers more options and prevent a monopoly in the industry. Union Aviation Minister Ram Mohan Naidu confirmed on X that these approvals are part of the government’s effort to encourage more operators in the fast-growing Indian aviation market.
'Over the past week, we met teams from airlines like Shankh Air, Al Hind Air and FlyExpress. Shankh Air has already received its NOC, while Al Hind Air and FlyExpress got theirs this week. Our goal is to support more airlines and improve regional connectivity, as schemes like UDAN have done for smaller carriers such as Star Air, India One Air, and Fly91,' the minister said.
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Challenges in Indian aviation
Despite these new approvals, the aviation industry faces serious challenges. Operating costs in India are among the highest in the world, mainly due to expensive jet fuel and high taxes. Experts say it is one thing to start a new airline, but keeping it running is another challenge because of high costs, limited funding and management issues. 'Flying is no longer a luxury and making it affordable requires cost and tax reforms,' said a senior airline official.
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The urgency for new airlines became clear after IndiGo cancelled around 4500 flights in 10 days in December 2025, affecting nearly 11 lakh passengers. The worst day was December 5, with over 1600 flights cancelled. The airline struggled to comply with new Flight Duty Time Limitation (FDTL) rules introduced by the DGCA to prevent pilot fatigue.
By approving Al Hind Air and FlyExpress, the government hopes to boost competition, provide better choices for passengers and strengthen India’s aviation sector against future disruptions.