India's domestic airline market has risen to become the third-largest, with capacity increasing twofold within a decade.

Analysis based on Official Airline Guide data shows that India has risen to become the world's third-largest domestic airline market, moving up from the fifth spot it held ten years ago.

The data indicates that India's internal air travel capacity increased twofold over ten years, from 7.9 million in April 2014 to 15.5 million in April 2024. India now holds the third position after overtaking Brazil (now in fourth place with 9.7 million) and Indonesia (dropped to fifth with 9.2 million). The United States and China continue to lead the way in the game, with 86.1 million and 67.8 million respectively, maintaining the top two positions.

Among the top five countries, India has the highest seat capacity growth rate over a 10-year average, increasing by 6.9 % per year. Following closely behind is China at 6.3 %, the US at 2.4 %, Indonesia at 1.1 %, and Brazil seeing a yearly decrease of 0.8 %.

OAG reports that India has seen the most rapid shift to low-cost carriers (LCCs) compared to the top five countries. As of April 2024, Low-Cost Carriers (LCCs) held the majority of domestic capacity in India (78.4%), with Indonesia following closely at 68.4%, Brazil at 62.4%, the US at 36.7%, and China at 13.2%.

IndiGo has been the main driver of the growth of LCC, with its market share almost doubling from 32% to 62 % in the past decade. In the past ten years, while most of the market has experienced a 0.7 % average annual increase in seating capacity, IndiGo has seen a 13.9 % annual growth in domestic capacity.