Ahead of Diwali, Aviation Body Asks Airlines to Lower Airfares

The Directorate General of Civil Aviation (DGCA) has intervened to stop steep pricing spikes ahead of the Diwali season as the airline industry prepares for one of its busiest travel times of the year. Amid a spike in passenger demand, the regulator has instructed domestic airlines to maintain fair pricing and expand flying capacity.

The DGCA said in a statement released on Saturday that it had "proactively taken up the issue with airlines" to make sure travellers aren't hit with exorbitant ticket costs over the holiday season. It further stated that the action comes after a study of airfare patterns on important routes.

Airlines Responded to Aviation Body

Major carriers have announced the deployment of hundreds more flights through October and November in response to the regulator's advisory. IndiGo, which currently has the most market share in India (64.2%), announced that it would add about 730 flights in 42 sectors.

Together, Air India and Air India Express will expand their travel schedule by about 486 flights to 20 destinations. SpiceJet plans to roll out 546 more services in 38 sectors. In order to safeguard passengers' interests throughout the holiday season, the DGCA will continue to exercise strict monitoring over airline pricing and flight capacities, according to a DGCA representative.

Passengers' criticism of the DGCA has grown in recent years because to the sharp changes in fares during popular times like Diwali, Christmas, and summer vacations. According to officials, the government has the authority to step in if rates increase significantly, even though airlines are allowed to set their own prices under India's open skies policy.

DGCA’s Recent Flights Data

Domestic airlines carried 1,107.26 lakh passengers between January and August 2025, a 4.99% increase over the same period the previous year, according to DGCA data.

However, due primarily to monsoon-related interruptions, traffic in August saw a slight decline of 1.4% from July. With a market share of almost 64%, IndiGo remains the market leader in India.

The Air India Group, which consists of Vistara, Air India Express, and Air India, comes in second with 27.3%. SpiceJet's market share has decreased to barely 2%, while Akasa Air, the nation's newest entry, has maintained consistent growth with a 5.4% stake. The combined market share of smaller regional airlines like Fly Big, Fly91, and Star Air is less than 1%.