IndiGo Crisis Exposes India's Aviation Duopoly Risks

• IndiGo, India's largest airline, faced a crisis of flight cancellations due to a pilot shortage and inadequate planning for new work hour rules.
• The crisis exposed risks of a duopoly-like situation in Indian aviation, with IndiGo holding a 65% market share and Air India 27%.
• Tens of thousands of passengers were grounded, leading to chaos and raising concerns about over-reliance on a single carrier.
• The government intervened by relaxing pilot fatigue management rules to ease disruptions.
• IndiGo's reputation for punctuality and its brand image have been significantly damaged, with customer refunds already reaching $68 million.

Why It Matters: IndiGo's crisis exposes systemic risks and vulnerabilities in India's aviation market.