India’s two largest airlines, Air India and IndiGo, are reportedly preparing to reduce domestic flight operations for nearly three months starting June 1. Reports suggest the move is aimed at managing rising aviation turbine fuel costs and weaker travel demand following the summer holiday season.

According to reports, Air India may reduce domestic capacity by up to 15%, while IndiGo could cut services by around 5% to 7%. Industry observers say the aviation sector is facing pressure from surging fuel prices linked to geopolitical tensions and disruptions in West Asia.
Higher jet fuel prices have become a major challenge for airlines globally, especially after the recent Iran conflict increased volatility in energy markets. Fuel expenses remain one of the largest operational costs for carriers, significantly impacting profitability and route planning.
The capacity reductions could affect flight frequencies on several domestic routes and may lead to higher ticket prices in certain markets due to tighter seat availability. Analysts say airlines are increasingly adjusting operations to balance costs, fleet utilization, and demand patterns amid uncertain market conditions.
