Air India Group’s international passenger traffic falls 36% in April–June

Air India Group carried 27.6 lakh international passengers in the April–June quarter, down from 43.3 lakh a year earlier, amid overseas flight disruptions, Pakistan airspace restrictions and geopolitical conflict. Emirates grew its India traffic 7% during the period.

— Source published Fri, 21 Aug, 2026, 08:29 IST · First seen Fri, 21 Aug, 2026, 08:37 IST · Source ET Small Business

What happened

Air India Group’s international passenger traffic fell 36% in the April-June quarter as the US-Iran war, Pakistan airspace closure and post-crash overseas

Key facts

  • Air India Group international passengers fell 36% to 27.6 lakh from 43.3 lakh year-on-year
  • Indian carriers' international passenger traffic fell 26%
  • Total international passengers to and from India fell 10.5% to about 1.7 crore from 1.9 crore
  • IndiGo international passengers fell 15% to 33.4 lakh from 39.5 lakh
  • Emirates India traffic rose 7% to 14.8 lakh from 13.8 lakh
  • Etihad carried about 8.5 lakh passengers
  • Pakistan airspace has been closed for 14 months

Why this matters

Air India’s disruption-driven weakness may increase the strategic value of airline partnerships, alternate-route capacity and network agreements that reduce geopolitical and airspace exposure.

What to watch

  • Air India monthly international passenger data and load factors
  • Pakistan airspace policy changes and geopolitical escalation or de-escalation
  • Air India flight cancellations, route suspensions and aircraft delivery/maintenance updates
  • Emirates, Qatar Airways, Etihad and IndiGo international capacity announcements
  • International airfare trends from major Indian metros
  • Indian airport international passenger throughput and duty-free sales commentary
  • Track Air India international schedule restoration, cancellation rates and aircraft utilization by region.
  • Monitor Gulf-carrier India capacity additions and fare spreads versus Air India on Europe, North America and Middle East routes.
  • Adjust airport retail, duty-free and travel-accessory inventory toward resilient domestic and foreign-carrier passenger flows.
  • Watch for higher outbound package-tour cancellations and weaker demand for forex, luggage and premium travel goods.
  • Assess exposure of Indian airport concessions to lower Air India international footfall versus offsetting foreign-airline traffic.