Cost breakdown for the Indian aviation industry FY 2023

Air fuel and oil accounted for the most significant expense in the aviation industry in the financial year 2023, followed by flights equipment maintenance and overhaul with around 14 percent of the total expenditure. Additionally, flight crew salary and expenses accounted for 4.9 percent of the total expenditure. 

Aviation industry in India

Despite the long history of the air transportation industry in India, the real growth of the sector came after market liberalization in the ‘90s. After three decades of development, it has become one of the biggest aviation markets in the world. In the passenger aviation sector, it was dominated by private low-cost carriers, including IndiGo and SpiceJet. An industry estimate suggests that by 2033, the Indian aviation industry will boast a fleet of nearly 1.4 thousand aircraft to meet its increasing demand.

Airports

There were 135 operational airports in India, the majority of which fall under the administration of the Airport Authority of India. This government-owned entity is responsible for developing and managing the nation's civil aviation infrastructure. While the sector has been gradually opening to private players since 2013, several major airports have ventured into joint ownership with private businesses, including the busiest airport in the country, the Indira Gandhi International Airport in Delhi.