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India clears three new airlines to boost competition after IndiGo disruptions

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India’s aviation regulator has approved three new domestic airlines—Shankh Air, Al Hind Air and FlyExpress—in a move aimed at strengthening competition and resilience following recent large-scale operational disruptions at IndiGo.

The decision comes after widespread cancellations and schedule chaos at the country’s largest carrier exposed risks associated with India’s highly concentrated airline market.

The new entrants target different segments: Shankh Air plans regional services from northern India, Al Hind Air will focus on intra-regional connectivity from Kochi using turboprops, and FlyExpress aims to operate as a low-cost passenger and cargo carrier from Telangana.

While further regulatory steps remain before launch, the approvals signal a policy push to diversify capacity, support regional airports and reduce reliance on dominant incumbents such as IndiGo and the Air India Group.