With two major cities set to get twin airports by the end of the year, 2025 is slated to be a landmark year for India’s aviation infrastructure. The Navi Mumbai International Airport and the Noida International Airport are both expected to become operational, aligning with a global pattern where large cities operate multiple airports to handle rising passenger numbers, higher service frequency, and efficient cargo movement. Similar examples include New York with JFK, LaGuardia, and Newark; London with Heathrow and Gatwick; Paris with Charles de Gaulle and Orly; Tokyo with Narita and Haneda; and Chicago with O’Hare and Midway.
In India, this expansion is particularly significant. The Chhatrapati Shivaji Maharaj International Airport in Mumbai is already overburdened, handling more passengers than its capacity. Similarly, while the Indira Gandhi International Airport in Delhi continues to expand, the upcoming Noida International Airport will play a key role in easing capacity constraints. What makes this even more relevant is the timing. The new airports are opening just as demand is surging.
According to the International Air Transport Association (IATA), India now ranks as the world’s third-largest air transport market in terms of departing Origin-Destination passenger traffic, behind only the United States and China. Nearly 174 million passengers flew to and within India in 2024, representing about 4.2 per cent of global air travel. At the same time, as reported in the news, Indian airlines placed orders for 1,359 new aircraft (divided between Airbus and Boeing), over the last two years, both to modernise fleets and meet the soaring demand.
Infrastructural upgradation
Given this pace of growth and aggressive fleet expansion, upgrading airport infrastructure is no longer optional. More airports directly translate to stronger connectivity, which is why I see the opening of Navi Mumbai and Noida airports as both timely and strategic. It also fits into the Government’s vision of adding 50 new airports in the next five years, linking 120 new destinations within the next decade, and ultimately building a network of 350 airports across the country. Ambitious? Absolutely. Achievable? Very much so. With technological advancements rapidly unfolding, we are on the right track.
Additionally, one of the most transformative steps is the Protection of Interests in Aircraft Objects Bill. Previously, India’s legal and regulatory framework limited access to international financiers, as domestic laws were unable to fully implement or enforce the Cape Town Convention, even though India had signed it back in 2008.
Approved by both houses of Parliament earlier this year, the Bill is designed to finalise India’s aviation growth framework by granting the Convention precedence over domestic legislation. It builds on earlier steps, such as establishing GIFT City as a hub for aircraft finance. The global aviation community has widely welcomed it for strengthening investor confidence in India.
This reform carries particular importance given the backdrop of repeated airline insolvencies, where the provisions of the Convention could not be effectively implemented due to the absence of the Act, resulting in significant losses for lessors. Although a subsequent ruling brought domestic law closer to Convention standards, the Act is still essential for comprehensive compliance. By explicitly giving Convention rights primacy, the legislation has already improved India’s global standing, earning it a positive compliance notice on the AWG index.
The importance of the MRO sector Aviation growth cannot be sustained without a strong Maintenance, Repair, and Overhaul (MRO) segment. Right now, only about 14 per cent of total MRO spending by Indian carriers is managed by domestic operators. High-value maintenance and engine checks are still routed to overseas facilities. That is why developing a capable MRO sector within the country is essential. In the MRO ecosystem, too, there have been notable policy measures. There is for instance, the introduction of a uniform five per cent Integrated Goods and Services Tax (IGST) on imports of aircraft parts, components, tools, and toolkits, subject to certain conditions.
India’s aviation market is also offering opportunities for both independent MRO providers and OEMs. However, the challenge lies in the fact that expanding into advanced engine maintenance, particularly for new-generation aircraft, will demand heavy investments in infrastructure and skilled manpower. This means building more hangars, boosting local production of spare parts, and enhancing technical capabilities to cut down dependence on imports. To make it possible, coordinated efforts are required from the Government, the Civil Aviation Ministry, airlines, MRO providers, OEMs, private manufacturers, suppliers, and training institutions.
The Government’s call to global OEMs to ‘Design in India’ is ambitious, but the country’s aerospace manufacturing ecosystem still has critical gaps. Supply chains remain underdeveloped, and large-scale production facilities are yet to take shape. While major aerospace players are expanding operations, India continues to rely heavily on imports for essential components. To achieve its aviation hub aspirations by 2047, India will need to build clusters of aerospace excellence, comparable to Toulouse in France, which anchors Airbus operations, or Dubai, which has established itself as a global MRO hub.
Criticality of Regional Connectivity
As far as the domestic sector is concerned, expanding air connectivity to more Tier-II and Tier-III cities will be a key factor. In this context, the Regional Connectivity Scheme (RCS-UDAN) is expected to play the most significant role. Launched in 2016, UDAN has so far operationalised 619 routes, covering 88 airports across the country. In the past year alone, 102 new routes were added, 20 of which were in the Northeastern states. Looking ahead, the Government has set a target of adding 120 new destinations over the next decade, with a focus on remote, hilly, and aspirational districts that currently lack air connectivity.
That said, challenges remain for both airlines and policymakers. Some regional airports under UDAN struggle with low passenger traffic due to limited awareness, fewer flight options, or simply because demand has not matured enough to sustain operations. For airlines, especially newer players in the domestic market, operating on thin margins makes it challenging to maintain routes with low load factors, even with subsidies. This is one reason why some carriers have given up UDAN routes, calling them commercially unviable. To address this, more thorough feasibility assessments and a closer look at demand-supply dynamics will be crucial when allocating new routes under the scheme.
To sum up, India’s aviation sector is entering a decisive phase of growth. The focus now must be on sustaining this momentum and taking it to cruising altitude. The Government has laid a strong foundation, but the next decade will decide whether India simply expands its aviation footprint or emerges as a truly global hub. Industry leaders, together with policymakers, will need to align safety, regulation, manufacturing, and environmental responsibility with the rapid build-out of infrastructure. If this balance is achieved, India will be transformed by 2030, and within the following decade, it could stand shoulder to shoulder with the world’s leading aviation powers.
