Domestic airlines lose 1.2 mn international passengers as April traffic falls 39%

According to the latest aviation sector report by Equirus, international passenger traffic carried by Indian airlines fell 39% year-on-year to 1.8 million in April, compared with 3.0 million in the same month last year—marking one of the steepest declines in recent years. On a month-on-month basis, traffic was down 1% from March.

By contrast, domestic passenger traffic declined a relatively modest 3% year-on-year to 13.9 million in April from 14.4 million a year earlier, underscoring the disproportionate impact of the West Asia conflict on international operations. The weakness in overseas travel also weighed on the broader performance of Indian carriers, with total passenger traffic, including domestic and international services, falling 10% year-on-year to 15.7 million passengers from 17.4 million a year ago.

The downturn in international travel was mirrored by a sharp contraction in flight operations. International departures by Indian carriers dropped 37% year-on-year to 11,700 in April, compared with 18,400 in the same month last year. However, international passenger traffic still recorded a modest 2% month-on-month increase.

Domestic operations remained relatively stable, with flight departures slipping just 1% year-on-year to 97,600 from 98,700 in April 2025, while registering a 2% month-on-month decline.

The disruption was reflected across key operating metrics. Revenue Passenger Kilometres (RPK), a measure of passenger demand, dropped 33% year-on-year to 7.2 billion, while Available Seat Kilometres (ASK), a measure of capacity, fell 28% to 9.5 billion.

Despite airlines reducing capacity, demand weakened at a faster pace, resulting in lower seat occupancy. Passenger Load Factor (PLF) for international operations fell to 75.5% in April from 81.7% a year ago, a decline of 617 basis points. Compared with March, PLF dropped 735 basis points from 82.9%.

“The data indicates that the adverse impact of the West Asia conflict continued through April, affecting both traffic volumes and network efficiency,” Equirus said in the report.

The weakness was not limited to Indian carriers. According to the latest data from the International Air Transport Association (IATA), global passenger demand, measured in RPKs, declined 3.4% year-on-year in April, while total capacity fell 2.9%. Global load factor stood at 83.1%, down 0.4 percentage points from a year earlier.

The decline was largely driven by international travel. International demand fell 5.3% year-on-year, while capacity was down 5.1%. Excluding the Middle East region, however, international demand grew 1.9%, underlining the impact of the ongoing regional conflict on global aviation activity.

On the competitive front, IndiGo regained market share on international routes as network disruptions eased. The airline’s share of international passengers rose to 47.5% in April from 44.1% a year ago and 43.9% in March. In contrast, Air India Group’s share declined to 46.6% from 50.8% a year earlier and 51.3% in the previous month.

However, load factors weakened across major carriers. IndiGo’s international PLF stood at 77.2% down from 82.9% in April last year, while Air India Group reported a PLF of 74.4% down from 81.4%. At industry level the PLF has declined to 75.5% in April from 81.7% a year ago.

While international operations remained under pressure, airlines also continued to grapple with elevated operating costs. Brent crude averaged about $92 per barrel in May, up 44% year-on-year, while Singapore jet fuel prices were 65% higher than a year ago.  The rupee also remained weak at around 95 against the US dollar, adding to lease and maintenance expenses for carriers.