Air India plans to expand its fleet; aims to capture second place in market after Indigo: Report

Tata owned Air India Express has prepared an aggressive expansion drive deploying 50 Boeing 737 Max planes by the end of 2024, reported Economic Times. As per the report the airline is aiming to corner a firm second place, behind market leader IndiGo, in the cut-throat Indian domestic market.

Air India Express which is in the process of being merged with Air Asia India, currently has 25 aircraft, while Air Asia India has 28 Airbus A320neo planes. As per Economic Times, with the addition of 50 more aircraft, the combined entity will become the second largest low-cost airline in the Indian market.

The report also mentioned that the combined entity will expand the fleet in two phases. While the first aircraft will join by this october, 25 planes will be added by June next year. The second phase will happen from August to December 2024.

An airline executive has told Economic Times that the airline will first strengthen its network in existing routes in both domestic and international space. The airline is also planning to expand to 30 international destinations including Bangladesh, Cambodia, China, Indonesia, the Philippines, Turkey and Vietnam.

"The airline will initially strengthen its network in existing routes in both domestic and international rather than spreading too thin. We have a strong product position in the India-Gulf market, which has some of the busiest routes in India. After network densification, the second phase of expansion will be done in multiple domestic destinations," an airline executive told Economic Times.

The Tata Group's plan to create two airlines by merging four entities is under process now. The group is planning to merge AirAsia India and Air India Express to create a low-cost airline and merge Air India and Vistara to make a full-service carrier