Key Takeaways
• India and Dubai’s bilateral air service agreement limits airlines to 65,000 weekly seats each way since over 11 years.
• IndiGo CEO argues policy protects Indian airlines’ growth; Emirates demands more flights due to rapidly rising demand.
• India aims to develop aviation hubs and support national carriers before easing foreign flight restrictions.
India’s aviation sector is in the spotlight as a major debate unfolds over the country’s bilateral air service agreements. The discussion reached a peak at the International Air Transport Association (IATA) annual general meeting in New Delhi in June 2025. Here, IndiGo CEO Pieter Elbers defended India’s approach to international flying rights, responding to strong criticism from Emirates President Sir Tim Clark. This debate is not just about business competition—it has real consequences for travelers, airlines, and the future of international air travel to and from India.
What’s Happening: The Heart of the Dispute
The main issue centers on bilateral air service agreements (ASAs). These are official deals between two countries that decide how many flights and seats airlines from each country can operate between their cities. The current agreement between India 🇮🇳 and Dubai allows airlines from both sides—like Emirates and Flydubai from the UAE, and Indian carriers such as IndiGo and Air India—to operate up to 65,000 weekly seats in each direction. This number has not changed for over 11 years, even as demand for flights has grown rapidly.
Emirates President Sir Tim Clark has been especially vocal, saying that the current limits are far too low. At the IATA meeting, he explained, “For every seat we sell, there are probably 10 takers.” He pointed out that Dubai’s population has grown from about 2.5 million to over 8 million in the past 15 years, and that 40% of Dubai’s residents are of Indian origin. Clark believes this growth justifies more flights between Dubai and India.
On the other side, IndiGo CEO Pieter Elbers pushed back. He said, “First of all, it’s called a bilateral agreement, right? That means two sides have to agree on something. If one side makes more and more noise, it doesn’t mean you’re more and more right.” Elbers did not name Emirates directly, but his comments clearly responded to the airline’s public campaign for more flying rights.
Why India’s Policy Matters
India’s government has chosen to be careful about expanding these flying rights, especially with Gulf carriers like Emirates. The main reason is to help Indian airlines grow stronger internationally. In the past, foreign airlines had many more flights into India than Indian airlines had going out. This made it hard for Indian carriers to compete.
Elbers explained, “There were a massive number of flights into India and no operations by Indian operators. So, for a government to say, ‘first let’s use the existing pool of traffic rights, and then look at new ones,’ I think that’s a completely fair and balanced approach.” He also pointed out that India has signed new air service agreements with other countries in recent years, showing that the government is not against all negotiations.
This approach is part of a bigger plan to develop Indian aviation hubs in cities like Delhi, Mumbai, and Bengaluru. By giving Indian airlines time to grow, the government hopes these cities will become major international travel centers, not just stopover points for foreign airlines.
How the Policy Affects Travelers and Airlines
The current limits mean that flights between India and Dubai are often full, and ticket prices can be higher because demand is so strong. Travelers may find it hard to get seats, especially during busy times like holidays or festival seasons. Some people have to book months in advance or pay much more for last-minute tickets.
For airlines, the policy creates both challenges and opportunities:
- Foreign airlines like Emirates and Flydubai want to add more flights to meet demand, but they are held back by the current agreement.
- Indian airlines like IndiGo and Air India are using this time to expand their fleets and international routes. They hope to capture more of the growing market for travel between India and the rest of the world.
Air India CEO Campbell Wilson has said that giving more flying rights to foreign airlines now would be like “pulling the rug out” from under Indian carriers that have invested heavily in new planes and routes. This view matches the government’s goal of helping Indian airlines become strong global players before opening the market further.
The Bigger Picture: India’s Aviation Boom
India’s aviation sector is growing faster than almost any other in the world. Prime Minister Narendra Modi spoke at the IATA World Air Transport Summit, saying, “Today’s India is more confident. We are not only a huge market in the global aviation ecosystem, but we are also an example of policy leadership and inclusive development.” He highlighted that India has a large market, skilled workers, and supportive policies for aviation.
Hosting the IATA meeting in India for the first time in 40 years shows how much the country’s aviation industry has changed. In the past, India was mostly a destination for foreign airlines. Now, Indian carriers are expanding quickly, ordering hundreds of new planes and planning new international routes.
IndiGo, for example, will start long-haul flights to Europe in July 2025. Air India, now owned by Tata Group, is also growing its fleet and network. These moves are part of a larger trend: Indian airlines want to compete directly with global giants like Emirates.
Why Bilateral Agreements Are Important
Bilateral air service agreements are not just about business—they affect millions of people who travel for work, family, or tourism. These agreements decide:
- How many flights can operate between two countries
- Which airlines can fly those routes
- How many seats are available for passengers
When demand grows but the number of flights stays the same, it can lead to higher prices and fewer choices for travelers. On the other hand, if a country opens its skies too quickly, its own airlines might struggle to compete with bigger, richer foreign carriers.
According to analysis by VisaVerge.com, countries often use these agreements to protect their own airlines while also trying to meet the needs of travelers and the economy. The challenge is finding the right balance.
What Emirates Wants—and Why
Emirates is one of the world’s largest international airlines, and India is a key market. Many people living in Dubai are from India, and there is strong demand for flights between the two places. Emirates argues that:
- The current seat limits are outdated and do not match today’s demand
- More flights would benefit travelers by giving them more choices and possibly lower prices
- Increased connectivity could boost India’s economy, as more people and goods move between the countries
Sir Tim Clark has said that more flights would be a “wealth multiplier” for India, helping businesses, tourism, and families who travel often.
India’s Response: Protecting Its Own Growth
India’s government and airline leaders see things differently. They believe that opening up too soon could hurt Indian airlines, which are still building their international networks. By keeping the current limits, they hope to:
- Give Indian airlines time to grow and compete
- Build strong aviation hubs in Indian cities
- Make sure Indian carriers can offer more international flights in the future
Elbers pointed out that India is not against all negotiations. The country has signed new agreements with other countries, and as Indian airlines expand, there may be more room for talks in the future.
The Role of IATA and Industry Leaders
The IATA meeting in New Delhi brought together leaders from airlines, governments, and the aviation industry. IATA Director General Willie Walsh said, “As we see the expansion of Indian carriers into new markets, there will have to be a corresponding change to the approach for access.” This means that as Indian airlines grow, the government may need to rethink its policy on flying rights.
Industry experts agree that the situation is likely to change over time. As Indian airlines use up their own flying rights and look for new markets, they may want more access to other countries. At that point, India may be more willing to allow foreign airlines like Emirates to add more flights.
What This Means for Travelers, Airlines, and the Economy
The outcome of this debate will affect many groups:
For Travelers
- More flights could mean lower prices and more choices
- Current limits may make it harder to find seats, especially during busy times
- Future changes could open up new routes and destinations
For Indian Airlines
- Current policy gives them a chance to grow and compete
- They have time to build international networks and buy new planes
- In the future, they may want more access to other countries’ markets
For Foreign Airlines Like Emirates
- They face limits on how many flights they can operate to India
- They must wait for India to agree to new terms
- They may need to work with Indian partners or find other ways to serve the market
For India’s Economy
- More flights could boost tourism, business, and trade
- Protecting Indian airlines could help create jobs and build local industry
- Finding the right balance is key to long-term growth
Looking Ahead: What Could Change?
Several factors could shape India’s future policy on bilateral flying rights:
- Continued growth in India’s aviation market: As more people travel, the need for more flights will increase.
- Expansion of Indian airlines: As they grow, they may want more access to other countries, leading to new negotiations.
- Economic benefits of increased connectivity: More flights could help India’s economy, but only if Indian airlines are strong enough to compete.
For now, India’s official position is clear: support Indian airlines first, then consider opening up more. This approach may change as the market grows and Indian carriers become global players.
Practical Information for Readers
If you are planning to travel between India and Dubai, it’s important to:
- Book tickets early, especially during busy seasons
- Compare prices across airlines to find the best deal
- Watch for new routes and announcements from Indian carriers like IndiGo and Air India
For those interested in the official rules and agreements, you can find more information on the Ministry of Civil Aviation, Government of India website. This site provides updates on air service agreements and aviation policy.
Conclusion: A Balancing Act
The debate between the IndiGo CEO and Emirates President shows how complex international aviation can be. India’s policy aims to protect its own airlines while meeting the needs of travelers and the economy. As Indian carriers grow and the market changes, the government may revisit its approach. For now, the focus remains on building a strong, competitive aviation sector in India.
As reported by VisaVerge.com, the outcome of these talks will shape the future of air travel between India and the rest of the world, affecting everyone from business travelers to families visiting loved ones. Travelers, airlines, and policymakers will all need to watch closely as this important story continues to unfold.
Learn Today
Bilateral Air Service Agreements → Official deals between countries setting flight and seat limits for their airlines on routes.
IndiGo → India’s largest low-cost airline, expanding internationally and advocating policy to protect domestic growth.
Emirates → A major UAE-based airline demanding increased flight rights between Dubai and India due to high demand.
IATA → International Air Transport Association; industry body hosting meetings shaping global aviation policies.
Aviation Hubs → Strategic airports where airlines connect international flights, supporting national carrier expansion.
This Article in a Nutshell
India’s aviation debate focuses on bilateral agreements limiting flights with Dubai to 65,000 weekly seats, affecting costs. IndiGo defends protecting Indian airlines, while Emirates urges expansion. India seeks balanced growth, aiming for stronger airlines and hubs before opening skies further, impacting travelers, airlines, and future international connectivity.
— By VisaVerge.com
