India’s aviation sector experienced a robust 12% year-on-year (YoY) growth in domestic air passenger traffic during November 2024, according to a report by brokerage firm Jefferies. The sector achieved a significant milestone on November 17, with over 5.05 lakh passengers flying domestically in a single day, highlighting the country’s growing prominence in global aviation. Over 3,100 planes operated to accommodate this surge.
IndiGo’s Dominance IndiGo solidified its leadership in the sector, carrying 86.40 lakh passengers in November, achieving a market share of 63.6%—its highest ever. The airline also reported a passenger load factor (PLF) of 90%, marking its second-best November performance in five years. Jefferies predicts continued growth for IndiGo due to its operational efficiency and strong domestic presence.
Tata Group Airlines Performance Tata Group-run Air India and Vistara accounted for 28.5% of domestic traffic in October 2024, but Air India’s market share dropped to an 11-month low of 27.3% in November. Vistara, along with Air India, flew 26.48 lakh and 12.43 lakh passengers, respectively.
Other Highlights
- SpiceJet and Akasa Air reported modest market share gains of 60 basis points and 20 basis points, respectively.
- Aviation turbine fuel (ATF) prices remained range-bound, providing cost stability for airlines.
- DGCA data showed domestic air traffic grew 5.3% in October 2024 to 1.36 crore passengers.
Jefferies remains optimistic about the Indian aviation sector, particularly IndiGo, citing its strong operational metrics and growing market dominance as key drivers for future growth.
