Air India Eyes Global Expansion With 10 New Codeshare Agreements With International Airlines This Fiscal Year

In a bid for international expansion, Air India is poised to enter into over 10 new codeshare agreements in the current fiscal year. According to senior officials quoted by the Economic Times, this would notably broaden the airline's presence in North America, Europe, and Africa.

At the time of its acquisition by the Tata Group approximately two years ago, the airline had no codeshares, but it now has 19. In comparison, IndiGo, which is the largest airline in India, currently has about 10 codeshares.

An official stated that Air India is aiming for an annual growth of 25 per cent in its international business for the next three years. This objective is already evident with a comparable growth observed in FY25.

These international partnerships allow Air India to offer wider connectivity in markets where they don't yet have a direct presence, especially in North America, Europe, and parts of Africa, an official explained.

"They also help drive feeder traffic to our long-haul flights and improve aircraft utilisation," he added.

Officials have stated that the airline's international strategy employs a dual approach - expanding its presence in lesser-known cities within major markets and branching out into new territories via partner airlines.

Air India has established codeshare agreements with several airlines, including Lufthansa, Singapore Airlines, United Airlines, and Air Canada, thereby covering more than 80 locations. In addition, the airline also holds interline agreements with 109 different carriers, which provides a reach to over 800 destinations worldwide.

According to a presentation examined by ET, these collaborations now cater to over 25,000 travelers weekly, leading to a double increase in passenger flow and a triple rise in booking income.

According to data from the DGCA, domestic airlines transported 48.5 per cent of international passengers to and from India in 2024. The Tata Group's airlines - Air India, Vistara (which has since been incorporated into Air India), and Air India Express - accounted for 26.1 per cent of this percentage.