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Market: Air India seeks collaborations with airlines

Fiinews by Fiinews
November 13, 2026
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600 aircraft ordered as part of growth-focused strategy include  

Air India is expanding access to new markets through airline partnerships including Singapore Airlines, Azerbaijan Airlines, Saudia, Thai Airways and Riyadh Air as part of its growth-focused strategy.

Air India has ordered 600 aircraft – including 30 Boeing 737 MAX since Jan 2026, said Goh Chong Phong, CEO of Singapore Airlines (SIA) which is a 25.1 per cent joint venture partner with Tata Group in Air India.

Goh noted that the Indian carrier is making a tangible progress under its multi-year transformation programme.

Air India is set to complete retrofit of 26 787-8 and 13 777-300EF aircraft by 2028, said Choon Phong on 12 Nov in a presentation to analyst/media briefing for the first half 2026-27 results.

Sharing details in the presentation, Goh also noted that newly appointed Air India CEO Tewolde Gebremariam has started work in Sept 2026 with clear priorities.

As part of its network growth, Air India is rationalising non-cash-contributing routes and launch new services to underserved markets

It is improving fleet serviceability and reliability through the development of in-house Maintenance, Repair and Overhaul (MRO) capabilities, added Goh in comments on Air India’s operation and customer metrics.

On revenue generation, Goh said in the presentation that Air India is rebalancing services between Mumbai and Delhi, and establishing a third hub in Bengaluru, to mitigate impact of Pakistani airspace restrictions.

The airliner is diversifying traffic profile and increasing sales contributions from global markets to mitigate exposure to Indian Rupee depreciation. It is also growing cargo business including plans to convert passenger aircraft into dedicated freighters.

On cost management, Goh noted one of the group’s initiatives is to integrate corporate services and resources across Air India and Air India Express to reduce duplication and strengthen coordination.

Another initiative is a dedicated, cross-functional cost savings team to review expenditures and identify savings opportunities, said Goh.

The Indian group has launched “Prabhav” – the value creator award to solicit employee ideas to reduce costs, improve productivity, and identify additional revenue opportunities.

He underlined that the Air India Group has valuable international traffic rights and airport slots, as well as an extensive domestic network.

The SIA investment in Air India enables direct participation in a fast-growing air transport market, underscored Goh, citing the Indian Civil Aviation Ministry data that India’s GDP growth is expected to average 7.9 per cent through 2035.

Infrastructure investments are expected to increase the number of airports from 163 in 2025 to 350-400 by 2047, and the country’s commercial aircraft fleet is expected to almost triple in size to 2,250 aircraft by 2035.

Goh expressed confidence and highlighted the long-term prospects in the Indian aviation market which is expected to grow at a CAGR of 11.38 per cent over 2027-2032. Fiinews.com

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