India is reportedly discussing a policy change that would allow airport operators to own and run airlines, according to people familiar with the matter cited by multiple outlets. The proposal is aimed at addressing competition concerns in India’s airline sector, where a duopoly has been described as limiting market participation and choice.
Under the potential change, companies that operate airports could also be permitted to run airline services. Sources indicate this could create a pathway for major airport operators to establish or sponsor their own carriers. In particular, the discussions are said to potentially benefit the Adani Group and GMR Airports Ltd., both of which have airport operations and would be positioned to consider airline ventures if the policy is finalized.
The outlets note that the move is currently in the discussion stage and would require policy formulation and approvals. The reports do not provide additional details on timing, regulatory conditions, or how the government would manage conflicts of interest, though they frame the initiative as a way to broaden the competitive landscape by enabling more entrants linked to airport ownership.