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IndiGo leads, Air India gains, Akasa & SpiceJet hold ground as India's domestic aviation grows despite Aug dip: DGCA report

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India's domestic aviation sector continued to expand in 2025, though passenger traffic in August showed a slight dip compared to July.

According to the Directorate General of Civil Aviation (DGCA) report, airlines carried 1107.26 lakh passengers between January and August 2025, up 4.99% year-on-year from 1054.66 lakh in the same period last year. However, August traffic decreased by 1.40% month-over-month.

"Passengers carried by domestic airlines during January-August 2025 were 1107.26 lakhs as against 1054.66 lakhs during the corresponding period of the previous year, thereby registering an annual growth of 4.99 % and a monthly growth of -1.40 %," the DGCA said in its monthly traffic report for August.

According to the DGCA, IndiGo carried 83.14 lakh passengers in August, accounting for a 64.2% market share, slightly down from 65.2% in July. Despite the dip, the airline has consistently held more than 63% of the market every month this year, peaking at 65.2% in January and July.

In contrast, the Air India Group (Air India and Air India Express) gained ground, carrying 35.39 lakh passengers and achieving a 27.3% share in August. This marks its highest market share of 2025, matching its February performance, and up from 26.2% in July.

Akasa Air, a relatively new entrant, continued to build momentum with 7.03 lakh passengers and a 5.4% market share in August, maintaining its position as the third-largest domestic carrier.

SpiceJet carried 2.60 lakh passengers, translating into a 2% share, continuing its struggle to regain lost ground in the highly competitive market. Airlines reported strong passenger load factors, with Akasa Air (91%), IndiGo (84.6%), SpiceJet (87%) and Air India Group (81.8%) leading the pack.

The overall cancellation rate stood at 1.09%, with most disruptions attributed to weather (30%), technical issues (31.3%), and operational reasons (24.5%), as per DGCA data.

According to the DGCA report, "Passenger grievances also reflected service challenges. A total of 1,407 complaints were filed in August- about 1.09 complaints per 10,000 passengers. The majority related to flight problems (45.2%), followed by refund issues (19.4%) and baggage concerns (15.1%). Nearly 99.8% of complaints were resolved by airlines."

IndiGo topped the charts with a 90.6% on time performance (OTP) across six metro airports, followed by Akasa Air at 87% and Air India Group at 84.5%. SpiceJet (68.2%) and Alliance Air (55.2%) lagged behind.

Among Airports, Bengaluru (93%) & Chennai (92.5%) posted the highest OTP, while Mumbai and Delhi were lower at 80.7% and 84.7% respectively.

In compliance with Civil Aviation norms, airlines reported 70,000+ cases of delays and 36,000+ cancellations impacting passengers in August. Carriers spend over 200 lakh rupees on refunds, alternate arrangements, and other compensations.

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