New airlines Shankh Air, AI Hind are likely to delay their commercial launches by at least a year, due to aircraft leasing disruptions as per industry sources. The disruptions were brought on by aircraft availability being adversely affected by the West Asia conflict.
The new airlines Shankh Air, AI Hind and FlyExpress were granted NOCs (no objection certiifcates) in late 2025.
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The airlines have three years from receiving an NOC to commence operations.
The Uttar Pradesh-based airline Shankh Air now targeting the fourth quarter of fiscal 2027 for its commercial launch. It had earlier planned to commence operations in September 2026.
Shankh Air is currently in talks with multiple aircraft lessors. Al Hind stated that it was unable to secure aircrafts due to disruptions. The company's investors remain determined, according to sources. The company is monitoring market conditions before launching.
The Kerala-based regional airline had also faced headwinds earlier in setting itself up due to delays in aircraft acquisition and financing according to reports in January 2026.
Al Hind Air has been scouting for aircrafts with an initial plan to start operations with three ATR 72 turboprop aircraft and eventually scale up its fleet to seven.
The airline has been exploring the purchase of pre-owned ATRs that are four to five years old, a strategy aimed at lowering acquisition costs compared to new aircraft deliveries. It preferred purchasing aircrafts in lieu of leasing them in order to drive down long-term costs. The airline was unable to pull this off at the time due to a dearth in upfront lending and lender confidence.
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Shankh Airlines was also set to begin flight operations in the first half of January with an initial fleet of three Airbus aircraft, focusing on connecting Lucknow with Delhi, Mumbai and other metro cities, but could not do so due to the aforementioned disruptions.
Air India and IndiGo control nearly 90% of India's domestic aviation market, a space that AI Hind Air and Shankh Airlines are trying to break into.
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