IndiGo eyes global expansion with new routes, cargo growth by 2030
IndiGo airlines (Photo: Shutterstock)
IndiGo is set to expand its international network and bolster its cargo operations over the next few years as part of a broader goal to establish itself as a major global airline by 2030, reported The Economic Times, citing CEO Pieter Elbers.
Elbers revealed plans to double the airline’s international destinations to 40 by March 2025, with a focus on untapped markets for Indian travellers.
Additionally, IndiGo intends to enhance its cargo capabilities and introduce wide-body aircraft from 2027.
Elbers, who has now completed two years with the airline, highlighted that alongside international expansion, IndiGo’s strategy rests on two key initiatives: launching a business class offering called ‘Stretch’ on major domestic routes by the end of the fiscal year and implementing a frequent flyer programme, which has garnered significant interest from thousands of passengers, the business-daily noted.
The international push also involves forging codeshare agreements with airlines such as Virgin Atlantic, Air France, KLM, and Qantas.
Surge in foreign travel searches by Indians
A recent report from MakeMyTrip indicated a 70 per cent increase in searches for emerging destinations, with significant spikes in interest for Almaty and Baku, areas that IndiGo has already entered.
Elbers noted the substantial interest from Indian travellers in exploring new destinations, reinforcing IndiGo’s motivation to open new routes.
Meanwhile, a Jefferies report highlighted that Indian airlines hold a 44 per cent share of international routes, with IndiGo accounting for 18 per cent.
Elbers added that IndiGo’s domestic expansion has driven economic growth in regions like Guwahati, where new routes have stimulated business activity. The airline aims to replicate this model internationally.
IndiGo’s vision to extend aircraft
While the introduction of wide-body aircraft in 2027 marks a key milestone, IndiGo’s vision extends to 2030, with ambitions to double in size and compete with major global players like Ryanair and Chinese carriers.
According to its FY24 annual report, IndiGo ranked seventh globally in terms of daily flights and was the fifth largest by passengers carried. It was also recognised for its on-time performance in 2023, ranking fifth.
Elbers further emphasised that after 2027, cargo will play a more prominent role, with the airline’s current freighters helping lay the foundation for future growth in this area, ET said. The wide-body aircraft will offer increased cargo capacity, positioning IndiGo to handle a larger volume of goods as it enters its next phase.
IndiGo’s cargo tonnage grew by 20.2 per cent in FY24, and the airline expects the arrival of its long-range A321 XLR aircraft by 2025 and wide-bodied A350s from 2027 to support its global expansion, enabling direct flights to North America, Europe, and Australia.
First Published: Sep 09 2024 | 1:04 PM IST