India's airport network underused, with only a fraction reaching high capacity

At a GE Aerospace India panel, Air India's chief commercial and transformation officer, Nipun Aggarwal, warned that 120 of India's 160 airports see very low traffic, with only 40 operating at 70-80% capacity. He attributed this underutilisation to insufficient regional links and suggested that deploying regional jets could open routes to smaller cities. Aggarwal stressed that while airport infrastructure has expanded, its potential remains untapped without better connectivity.

He also pointed to heavy taxation as a barrier that makes flying a luxury, curbing broader passenger growth. By lowering costs, he believes the aviation market could experience disruptive expansion beyond one outlet 8-10% steady-state growth forecast.