New Delhi: India’s domestic air passenger traffic declined 6.49% year-on-year to 1.18 crore in September 2026, as the latest data from the Directorate General of Civil Aviation (DGCA) pointed to a continued slowdown in the aviation market. IndiGo retained its dominant position, carrying 77.30 lakh passengers and securing a 65.4% market share during the month.
The September figures indicate that passenger numbers remain under pressure compared with the previous year. Traffic also declined from August, when domestic airlines carried around 1.21 crore passengers. The latest data suggest that the slowdown is extending beyond a single month, with passenger numbers for the first nine months of 2026 also lower than in the corresponding period last year.
IndiGo retains its lead in the domestic aviation market
IndiGo remained India’s largest domestic airline in September, carrying 77.30 lakh passengers and accounting for 65.4% of the market, according to DGCA figures. Its share increased from 65% in August, reinforcing its lead over other domestic carriers.
The airline’s passenger numbers were substantially higher than those of its nearest competitor. IndiGo’s market position means that changes in its operations and passenger volumes can have a significant bearing on overall domestic aviation figures.
The latest figures also showed that IndiGo performed strongly on punctuality. Its on-time performance stood at 91.1% in September across the 10 major airports monitored by the regulator. Akasa Air followed closely at 90.8%, while the Air India Group recorded 81.7%.
Air India Group remains the second-largest carrier
The Air India Group ranked second in September, carrying 31.65 lakh passengers and recording a market share of 26.8%. Its share edged up from 26.7% in August, according to the reported DGCA figures.
Together, IndiGo and the Air India Group accounted for more than 92% of domestic passenger traffic during the month. The concentration of passenger volumes among the two largest airline groups highlights their importance to India’s aviation sector.
The Air India Group’s on-time performance was 81.7% in September, below the figures reported by IndiGo and Akasa Air. These operational indicators provide a snapshot of airline punctuality, although they do not by themselves explain the broader decline in passenger traffic.
Akasa Air holds third position as SpiceJet’s share falls
Akasa Air retained third position in September, carrying 6.64 lakh passengers and holding a 5.6% market share. Both figures were broadly consistent with its position in August, when it carried 6.68 lakh passengers and held a 5.5% share.
SpiceJet, meanwhile, saw its market share fall sharply to 0.6% in September from 1.2% in August. The airline carried around 73,000 passengers during the month, compared with approximately 1.40 lakh in August.
SpiceJet also recorded an on-time performance of 16.6% in September, considerably below the figures reported by the other major carriers cited in the DGCA data. The airline’s reduced market share and passenger numbers mark a notable change in its position in the domestic market.
Domestic passenger traffic has weakened in 2026
The September decline comes against a broader moderation in India’s domestic aviation growth. Passenger traffic rose 13% to 153.6 million in financial year 2024 and increased 7.7% to 165.5 million in financial year 2025. Growth slowed to 1.2% in financial year 2026, when traffic reached 167.5 million
The trend has been weaker in the current financial year. Monthly passenger traffic showed year-on-year declines in April, June, July, August and September, although May recorded an increase. The September figures therefore form part of a wider period of subdued growth rather than an isolated fall.
For January to September 2026, domestic airlines carried 1,223.53 lakh passengers, compared with 1,233.70 lakh in the corresponding period of 2025. This represented a year-on-year decline of 0.82%, according to the DGCA’s reported figures.
The data indicate that the sector has yet to return to sustained growth in passenger volumes. However, the figures alone do not establish a single cause for the slowdown. Seasonal travel patterns, fares, airline capacity and wider demand conditions may all influence passenger numbers, and their individual effects would require further evidence.
Flight delays and cancellations remain important indicators
Alongside passenger volumes and market share, operational performance remains an important measure of the domestic aviation sector. DGCA data reported that 1,08,783 passengers were affected by flight delays in September, while cancellations affected 78,207 passengers. Airlines spent more than ₹2.86 crore on facilitation for passengers affected by delays and ₹42.79 lakh on compensation and facilities associated with cancellations.
The overall cancellation rate for scheduled domestic airlines stood at 1.15% in September. The regulator also reported that around 1.19% of flights were delayed by more than two hours.
These indicators provide additional context for understanding the passenger experience, but they should be considered separately from the decline in overall traffic. Lower passenger numbers do not, on their own, demonstrate that delays or cancellations caused the slowdown.
Outlook for India’s domestic aviation sector
September’s figures present a mixed picture for India’s domestic aviation market. Overall passenger traffic declined, but IndiGo strengthened its market share while the Air India Group remained the second-largest carrier. Akasa Air maintained its third-place position, whereas SpiceJet’s share fell considerably.
The decline in passenger numbers during the first nine months of 2026 also suggests that the sector is facing a period of weaker growth compared with recent financial years. Future monthly traffic data will help show whether the September contraction continues or whether passenger volumes begin to recover.
For now, the DGCA figures underline two key developments: India’s domestic passenger market has weakened compared with the previous year, and market share remains concentrated among the country’s two largest airline groups.