‘Adani Group explores launching its own airline in India’:Govt doesn’t allow airport operators to own airlines, say reports

Billionaire Gautam Adani’s conglomerate Adani Group is considering launching a new passenger airline, a move that could significantly alter competition in India’s rapidly growing aviation industry, Reuters said citing sources. Adani Group operates 8 major airports Adani Group company, Adani Airport Holdings Limited (AAHL), already operates eight major airports across India, including those in Mumbai, Jaipur, and Thiruvananthapuram. Starting an airline would allow the group to connect its airport infrastructure directly with flight operations.
Govt doesn’t allow airport operators to own airline companies According to Reuters sources, no final decision has been taken yet. The airline industry is known for low profit margins and high risk, which the group is currently weighing. Additionally, the government of India’s rules and regulations currently restrict airport operators from holding significant stakes in scheduled airlines. Reuters noted that Adani has approached government officials to request potential changes to these restrictions. Adani Group has not yet offered an official response to the report yet. Which Adani Group company manages airports in India? The Adani Group subsidiary that manages and operates airports is Adani Airport Holdings Limited (AAHL). It operates as a subsidiary of the group’s flagship firm, Adani Enterprises Ltd. AAHL manages a portfolio of eight airports, including major hubs like Mumbai (Chhatrapati Shivaji Maharaj International Airport), Ahmedabad, Jaipur, and Lucknow Which airline dominates India’s sky? India’s airline sector is largely controlled by two dominant carriers: IndiGo (holding over 65% market share) and Air India (holding around 25% market share).