West Asia crisis redraws India's aviation map as Asia-Pacific traffic rises, India-US' slips

The West Asia crisis is altering India's international aviation landscape, as airlines and airports focus on expanding Asia-Pacific routes while traffic to traditional Middle Eastern hubs declines. According to Delhi International Airport Ltd (DIAL), international passenger traffic to Delhi increased by 0.8% year-on-year to 8.62 million passengers between April and August 2023, despite a shift in where those passengers are traveling.

Asia-Pacific traffic surged by 11.4% to 3.57 million passengers, compensating for declines in Middle East, North America, and African traffic.

Middle Eastern traffic saw a 4.1% drop, while North American traffic fell by 26.2% and African traffic decreased by 10.9%. Europe experienced only modest growth, with a 0.9% increase. The shift in traffic patterns suggests that geopolitical factors are transforming the composition of air traffic, with Asia-Pacific markets emerging as a critical growth engine for Delhi and Indian carriers.

DIAL CEO Pradeep Panicker noted that despite recent increases in fuel charges, Indian airlines continue to view Delhi as a significant market due to the geopolitical situation and the closure of the Pakistan airspace. Airlines are adding or considering services to various Asian destinations, including Manila, Taipei, Mongolia, and Russia. These new routes are expected to commence operations during the winter schedule starting October 25, 2023.

DIAL is actively working with airlines to expand long-haul capabilities, exploring potential services to Japan, Australia, and New Zealand. The airport operator anticipates that these new routes could emerge within the next 12-18 months, further diversifying Delhi's international aviation network and potentially benefiting Indian carriers as a whole.