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    IndiGo chaos exposes risks of duopoly

    December 18, 2025
    SeaNews
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    IndiGo chaos exposes risks of duopoly
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    India's largest airline cancelled nearly 3,000 flights in a single week amid a severe pilot shortage, reports Hong Kong's South China Morning Post.

    India's largest airline cancelled nearly 3,000 flights in a single week amid a severe pilot shortage, reports Hong Kong's South China Morning Post.

    IndiGo, which controls about 65 per cent of the domestic market, struggled to meet new pilot duty rules extending weekly rest periods and capping late-night flying. The Directorate General of Civil Aviation (DGCA) granted temporary exemptions but ordered the carrier to cut five per cent of scheduled flights.

    The cancellations caused widespread disruption, with more than 1,000 flights grounded on one day alone. Aviation Minister Kinjarapu Rammohan Naidu vowed strict action, while IndiGo's chief executive Peter Elbers was summoned to explain the crisis. Analysts said the airline failed to adjust crew planning despite being notified of the rule changes a year earlier.

    IndiGo's share price fell 13.7 per cent over five trading sessions, closing near INR4,899.50 (US$54.50). Rival Air India also faced scrutiny after a Boeing 787 crash in Ahmedabad in June forced it to suspend 83 flights for safety checks.

    Experts warned the turmoil exposed structural weaknesses in India's aviation market, dominated by IndiGo and Air India, which together control more than 90 per cent of capacity. Both carriers are expanding fleets with hundreds of new Airbus and Boeing jets, leaving limited room for smaller rivals such as SpiceJet and Akasa.

    Moody's said IndiGo's fundamentals remain intact but profitability may be pressured through March 2026. Consultants argued India needs a "third front" airline with investment of up to $2 billion to break the duopoly. Others stressed that resilience, better forecasting and stronger crew rosters are essential to prevent future crises.

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