India targets 100 new airports by 2036, widening airport-retail opportunity
India’s proposed Rs 30,000 crore Modified UDAN programme targets 100 new airports from FY27 to FY36. The expansion could create new passenger-footfall catchments for airport retail, F&B, travel services and duty-free operators, while hub-and-spoke upgrades improve international-transfer potential.
What happened
Government of India / UDAN · India plans to build 100 airports over the next decade under Modified UDAN, backed by about Rs 30,000 crore. Ahmedabad became the
Key facts
- Rs 30,000 crore planned spending
- 100 new airports
- 10 years
- 74 airports in 2014
- 166 airports currently
- Rs 28,840 crore UDAN outlay
- FY 2026-27 to FY 2035-36
- new airport or terminal roughly every 40 days over 12 years
Why this matters
Pursue early partnerships with airport developers, concessionaires and local F&B operators to secure preferred access to new-airport tenders and international-transfer retail opportunities.
What to watch
- Formal Modified UDAN budget approval, annual allocation releases and airport-by-airport project list.
- Airport construction milestones, terminal commissioning dates and operating-concession awards.
- Airline route launches, frequency commitments, load factors and seat-capacity growth at new airports.
- Passenger mix indicators: business versus leisure, international share, transfer volumes and average dwell time.
- Retail tender terms, especially minimum annual guarantees, revenue-share rates, exclusivity clauses and fit-out obligations.
- Evidence of sustained passenger throughput above commercial break-even thresholds at newly opened regional airports.
- Prioritize a two-format strategy: modular value-led outlets for regional airports and premium multi-category formats for hubs.
- Map the proposed airport pipeline against airline route commitments, catchment income, tourism demand and projected terminal passenger capacity before committing capital.
- Build concession bids around flexible footprints, phased store openings and revenue-share structures rather than high fixed minimum guarantees.
- Develop local assortment partnerships for regional food, crafts, packaged snacks and destination merchandise to improve relevance and margins.
- Secure airport-wide digital capabilities including pre-order, click-and-collect, loyalty integration and gate-delivery for short dwell-time passengers.
- Expand supply-chain hubs in high-connectivity regions to support small airports with frequent replenishment and lower wastage.