Union Civil Aviation Minister Ram Mohan Naidu said on Tuesday that the aviation ministry has engaged with teams from three aspiring airlines over the past week. While Shankh Air had already received its No Objection Certificate (NOC) earlier, Al Hind Air and FlyExpress were granted their NOCs this week.
The approvals come at a time when the domestic aviation market is dominated by two large players — IndiGo and the Air India Group — which together account for close to 90% of passenger traffic.
The recent IndiGo disruptions led to widespread delays and cancellations across its network, underlining how operational stress at a single airline can quickly trigger system-wide disruption.
Over
the last one week, pleased to have met teams from new airlines aspiring to take wings in Indian skies—Shankh Air, Al Hind Air and FlyExpress.
While Shankh Air has already got the NOC from Ministry, Al Hind Air and FlyExpress have received their NOCs in this week.
It has… pic.twitter.com/oLWXqBfSFU
— Ram Mohan Naidu Kinjarapu (@RamMNK) December 23, 2025
In a post on X, Naidu said encouraging new airline entrants remains a key priority, particularly as India ranks among the fastest-growing aviation markets globally. He added that policy initiatives under the Modi government aim to expand capacity and competition across both metro and regional routes.
The grant of an NOC allows airlines to formally begin setting up operations but does not permit them to fly commercially. The next and more demanding step is securing an Air Operator Certificate (AOC) from the Directorate General of Civil Aviation. This involves demonstrating financial strength, acquiring aircraft, hiring trained crew, establishing safety systems and completing regulatory proving flights.
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Government officials point to the success of regional connectivity initiatives such as UDAN as evidence that a broader airline ecosystem can function effectively. Smaller carriers, including Star Air, IndiaOne Air and Fly91, have expanded air links to underserved cities, easing pressure on major trunk routes.
Industry experts, however, caution that many airlines that receive NOCs never reach the operational stage. High fuel costs, intense fare competition and thin margins have historically made airline sustainability challenging in India.
Even so, the timing of the latest approvals sends a clear signal. In the wake of the IndiGo crisis, the government appears keen to address duopoly risk and build greater resilience into India’s aviation system. The real test will be how many of these new entrants successfully clear regulatory hurdles and take to the skies.
