Air India tips

Indian carriers accounted for more than 45% of the international traffic to and from India during the April-June quarter. As compared to pre-pandemic figures, the share of Indian carriers in international traffic increased by over 10 points. 

For all the buzz around India tourism, arrivals from foreigners in the first six months of 2024 were underwhelming: just under 4.78 million. That’s nearly 10% less than arrivals of 5.3 million in the same period in 2019.

We’re getting closer to the completion of Vistara’s merger with Air India, which will combine fleets, routes, and — most importantly for frequent flyers — loyalty programs.

Tourism accounts for nearly a quarter of Thailand’s economy and a tenth of Turkey’s. For India, the contribution is just 5%. But the plan is now to double that contribution.

In this episode of the Skift India Travel Podcast, Asia Editor Peden Doma Bhutia and India Reporter Bulbul Dhawan dive into the top travel stories from India this month. They explore Leela Hotels’ move toward an IPO, South Africa’s new visa reforms, and Oyo’s acquisition of Motel 6. The discussion also covers key trends in Indian aviation and how Indian millennials are driving a surge in travel spending.  

Goa is developing a new cruise terminal at the Mormugao Port, a response to a 40% increase in cruise passengers during the 2024 fiscal year and a 15% increase in calls by cruise vessels.

Two major names in Indian aviation — Air India and Vistara — are set to become one. On November 11, Vistara will officially merge into Air India. Join Asia Editor Peden Doma Bhutia and Skift Research Analyst Ashab Rizvi as they dive into the merger, weighing whether it’s a strategic win or a potential misstep for the Tata Group. 

The Indian hospitality sector is set to grow at an annual rate of 10.5% over the next three years, according to the latest projections by trading services firm Axis Securities. The growth is expected to be driven by domestic travelers, foreign visitors, and the MICE (meetings, incentives, conferences and exhibitions) segment. 

The Air India and Vistara merger has been ongoing for over 20 months and is now in its final phase with an expected completion date of November 12, the airlines announced Friday.  

Branded hotel room signings in India during the April to June quarter surged by nearly 40% from the same period in 2023, according to data by real estate services company JLL. During the quarter, over 9,700 new keys across 82 branded hotels were signed, while another 50 hotels opened during this period. 

India’s tourism industry is undergoing a significant transformation. The Federation of Indian Chambers of Commerce and Industry (FICCI) projects the outbound travel market to reach $55.4 billion by 2034. At the core of this boom is India’s expanding middle class, driving both domestic and international travel as disposable incomes rise.

The revenue of Indian tour and travel operators is expected to increase by 15-17% during the 2025 fiscal year, according to projections by credit ratings agency CRISIL. The growth is driven by rising domestic tourism and increasing propensity to travel overseas, the agency said. 

India now allows nationals from Japan, South Korea, and the United Arab Emirates to get a visa-on-arrival for tourism, business, conferences, and medical purposes. The visa will be valid for 60 days, and travelers will be able to visit India up to two times during that period. 

The Indian government has advised airlines to self-regulate and exercise moderation in pricing air tickets, the civil aviation ministry has said. The move has come amid concerns over high airfares, especially during peak periods and festivals. 

The Indian government is exploring adventure tourism as an avenue of promoting destinations across the country. For instance, earlier this month, the newly appointed minister of tourism Gajendra Singh Shekhawat went skydiving in Haryana on World Skydiving Day. 

Two years ago, Gatwick had no flights to India, and today the airport connects around 24 weekly Air India flights to four cities — Kochi, Amritsar, Ahmedabad, and Goa. Next month, Air India will be connecting Bengaluru to London Gatwick. Catch Stephanie Wear, the vice president of aviation development, at London Gatwick Airport in conversation with Skift Asia Editor Peden Doma Bhutia on Gatwick’s ambitious plans for expanding its connectivity with India.

India’s foreign exchange earnings through tourism in 2023 was INR 2.3 trillion ($27.5 billion), according to the government’s latest Economic Survey for 2023-24 – a 66% gain over 2022.

The Indian aviation industry has recorded its highest-ever half yearly domestic passenger traffic. Between January and June 2024, Indian airlines carried 79.35 million passengers. This was an increase of over 4% from the previous year, as per data from Indian aviation watchdog Directorate General of Civil Aviation. 

Paytm started as a financial services company in India, but is now diversifying its revenue streams, with a special focus on travel. The fintech company often refers to itself as an online travel agency and is looking at travel as a core business segment.

India’s largest online travel agency MakeMyTrip and budget airline Air India Express have partnered to launch ‘Xpress Holidays’ – a platform that would allow travelers to book end-to-end holiday packages. 

The Tata group is likely to retain the senior management of full-service airline Air India post its merger with Vistara, an Economic Times report said. While Campbell Wilson will continue as the CEO of Air India, the merged entity will have Nipun Aggarwal as the chief commercial and transformation officer, while Sanjay Sharma will continue as CFO.