Indian carriers have cancelled over 10,000 flights since the onset of the West Asia war, as airspace restrictions disrupted international operations, a senior government official said on Tuesday.
The aviation sector is passing through a serious operational and financial situation amid Iran war, said the government official.
The widespread closures of key transit corridors forced airlines to suspend or reroute services, particularly on long-haul routes to Europe and North America.
"On an average, Indian carriers used to fly about 300 to 350 flights daily to the Middle East (both ways put together). Today that number has come down to 80-90. That takes the total (flights cancelled by Indian carriers) since the beginning of the situation, that is from February 28, to over 10,000," Asangba Chuba Ao, joint secretary in the ministry of civil aviation, said at a news briefing on West Asia developments.
The conflict, which started with the US and Israel attacking Iran and Tehran's sweeping retaliation, has led to airspace closure or severe restrictions in several countries across West Asia, including Israel, Jordan, Lebanon, Kuwait, Qatar, Bahrain, and the UAE.
Nearly 20 per cent of global jet fuel supply is linked to the Middle East, making the region a critical driver of aviation economics.
This, Ao said, has led to "unprecedented disruption in global aviation networks and international connectivity".
"Flights, especially to Europe and North America by Indian carriers, have to take longer routes, which has increased travel time and associated cost," he said.
Airspace restrictions are forcing rerouted flights, increasing travel distances by 10–15 per cent on major international corridors. This results in higher fuel consumption, elevated crew costs, and added operational complexity.
The Directorate General of Civil Aviation (DGCA) on Tuesday granted a temporary relaxation in Flight Duty Time Limitations (FDTL) for pilots operating long-haul flights, primarily to address operational disruptions and pilot shortages.
Under this relaxation, permissible flight time and duty periods have been extended (for example, flight time increased to around 11.5 hours), enabling airlines to manage longer routes caused by airspace restrictions and geopolitical tensions.
The move aims to ensure smoother flight operations and maintain schedule reliability, especially for international routes affected by rerouting.
The relaxation, which is valid till April 30, is to help prevent acute crew shortages, he said, adding that the deadline will be reviewed closer to its expiry.
"It will be revisited. We still have some time. It is an evolving situation and taking into consideration what happens in coming days, this dispensation will be relooked at. If required, we will take the necessary call at that point of time," Ao said.
Talking about operational challenges that the conflict has posed for the sector, the joint secretary said the aviation turbine fuel - the fuel that helps aircraft fly - has shot up internationally.
But in India, the rates have been calibrated, passing on only a portion of the required increase to domestic airlines.
"Government intervention on the price of ATF, which constitutes around 40 per cent of an airline's operating cost, has ensured that domestic airfares remain stable," he added. "Government response has been focused on ensuring passenger safety and convenience."
The ministry of civil aviation "is actively engaged in working on significant measures to support the industry during this time", he said without elaborating.
Other measures taken in view of the war included granting special dispensation to foreign carriers such as Emirates, Kuwait Airways, and Jazeera to operate passenger aircraft for all cargo services to maintain the supply chain.
"This has ensured seamless continuity of critical cargo movement despite the ongoing disruptions," he said.
"While the situation remains dynamic, the government remains firmly committed to ensuring passenger safety and convenience, uninterrupted cargo movement and overall sectoral stability."
Acknowledging pressure on airlines operations, he said 50 per cent of all international operations by Indian operators was to West Asia and international flights are a good source of revenue.
"So that has definitely impacted their revenue income which obviously affects the financials of an airline," he said.
Second, the rise in operational cost due to increase in ATF price.
He said the government intervention ensured that the ATF price increase for domestic carriers was moderated despite international oil prices doubling since the outbreak of war.
This calibrated price increase has been taken into consideration by the airlines, who have now started imposing distance based surcharge in airfares, he said, adding that the surcharge is to cover rise in operational cost due to ATF price surge.
"The ministry is actively working with all stakeholders... exploring all means of who we can support the industry, especially the airlines and to bring down the cost which eventually will be passed on to consumers," he said. "To ensure that the sector remains buoyant, all measures are being explored."
Airports, too, are seeing uneven passenger flows and pressures on transit connectivity, affecting aeronautical and non-aeronautical revenues, which constitute 40–60 per cent of total income at large airports.
While the sector is likely to manage short-term disruptions, an EY India analysis warned that prolonged geopolitical instability over six months could raise structural costs, including fuel, insurance, and regulatory compliance.
The EY report, as cited by Economic Times, recommended scenario-based planning, revenue diversification through cargo operations, and investment in digital and operational resilience.
“Geopolitics is evolving into a core design constraint for the aviation sector and could also serve as a source of competitive advantage for resilient operators,” EY noted, underscoring the need for India’s aviation ecosystem to proactively adapt to uncertainty while balancing efficiency and strategic preparedness.