Air India-Vistara Merger To Record Passenger Traffic: Indian Aviation's Top Moments In 2024

In 2024, the Indian aviation sector witnessed significant moments: two airlines flew into the sunset, with one now on a liquidation taxiway. Despite these setbacks, aircraft orders surged, and single-day domestic air passenger traffic soared past the record 5 lakh mark on at least two occasions.

However, airfare movements raised concerns, adding complexity to the market. Additionally, the sector dealt with 999 hoax bomb calls received by airlines till Nov. 14.

Accidents, such as a few trainer aircraft crashes and a roof collapse incident at Terminal 1 of the Delhi airport that tragically killed one person, marked a somber chapter for the industry.

Looking ahead, 2025 promises to bring a wave of mega mergers, the expansion of fleets, flights, and airports across the country. However, challenges like ongoing supply-chain woes are expected to persist.

New airline takeoffs, revisions to norms aimed at tackling pilot fatigue, and initiatives to reduce carbon emissions will be key topics of focus. With India’s domestic air traffic projected to reach 164-170 million by the end of the fiscal year in March 2025, the broader long-term goal remains clear: to increase the number of wide-body aircraft, expand direct overseas flight connectivity, and position the country as a global aviation hub.

In the words of Akasa Air's chief Vinay Dube, prospects are exceptional for the Indian aviation market, and IATA chief Willie Walsh is of the view that there is a massive opportunity for Indian airlines.

The fleet of Indian carriers is more than 800 planes, including over 60 wide-body aircraft, and there are 157 airports.

In a landmark development on Nov. 12, Air India completed the Vistara merger to create an integrated airline, partly owned by Singapore Airlines, which will be flying over 1,20,000 passengers daily and connecting more than 90 destinations.

The completion of the much-awaited amalgamation announced back in November 2022, came within six weeks of the integration of Air India Express and AIX Connect (formerly AirAsia India).

The two mergers have created a full-service carrier and a low-cost carrier of scale for the Tata Group, which is seeking to establish a 'world-class global aviation company with an Indian heart'.

With the mergers, two flight codes have bid adieu to the Indian skies -- Vistara's 'UK' and AIX Connect's 'I5'.

Putting an end to speculations about the future of the iconic 'Maharaja', once synonymous with Air India, Tata Group has chosen to rename Air India's flying returns programme as 'Maharaja Club'.

As it expands, Air India, on Dec. 9, announced placing an order to purchase 100 more Airbus aircraft, comprising 10 wide-body A350s and 90 narrow-body A320 family planes.

This is in addition to the orders for 470 aircraft that Air India had placed with Airbus and Boeing last year.

Air India has started retrofitting its narrow-body planes, and those of legacy wide-body aircraft are anticipated to start in mid-2025.

The country's largest airline IndiGo turned 18 this year and has also introduced business class seats in select flights. While the carrier is expected to take its first A321 XLR next year, it is already expanding its international connectivity with new routes and codeshare partnerships.

In plans for a larger play, the airline, in May, unveiled an order for 30 wide-body A350-900 aircraft, and it now has a total outstanding plane orders of nearly 1,000.

All said, supply-chain disruptions are impacting aircraft deliveries. Besides, issues at Boeing and engine problems have compounded the woes for airlines.

Air India MD and CEO Campbell Wilson, on Nov. 28, said the airline will see most of the air traffic growth coming from domestic and short-haul international operations in 2025.

After grounding operations five years ago in April, the fate of once-storied Jet Airways was sealed, with the Supreme Court, on Nov. 7, ordering the airline's liquidation.

Meanwhile, flight operations were significantly disrupted in late 2024 due to hoax bomb calls to airlines. In October alone, airlines received 666 hoax bomb threats, while the total number of such threats stood at 999 this year till November 14, as per official data.

Come 2025, two new airports -- Noida in the National Capital Region and Navi Mumbai in Maharashtra -- are expected to be operational. Both airports, set to ease the congestion at Delhi and Mumbai airports, have completed the validation flights.

In a significant development, on Dec. 5, Parliament passed the Bharatiya Vayuyan Vidheyak 2024 to replace the 90-year-old Aircraft Act to further improve the ease of doing business in aviation as well as encourage manufacturing of aircraft in India.

While concerns persist on the virtual duopoly of IndiGo and Air India Group as they together have over 90% domestic market share, SpiceJet grappled with financial and lessor headwinds before managing to raise Rs 3,000 crore.

Akasa Air, which is on a steady albeit slow climb, is facing allegations related to safety issues, which the airline has termed "baseless and untrue". On Jan. 18, the airline placed an order for 150 more Boeing 737 MAX aircraft.

Among other notable happenings, many airlines faced DGCA action for various lapses, and regional airline FLY91 took to the skies in March this year. Also, key regulators Directorate General of Civil Aviation and Bureau of Civil Aviation Security are without a full-time head, while the Airports Authority of India has a new chairperson.

Besides, the ministry is helmed by TDP's K Rammohan Naidu, with BJP's Murlidhar Mohol as his deputy.

Last month, Air India's Campbell Wilson described its transformation as a 'Test match and not a T20'.

Similarly, Indian aviation too is in for the long haul.

(With inputs from PTI)