Private company

Indian Airlines

Logo: Original: Indian Airlines Derived work: Soumya-8974, Public domain, via Wikimedia Commons3

Airline of India (1953–2011)

Indian Airlines was a state-owned airline in India that later became a division of Air India Limited before ultimately ceasing operations. It was based in Delhi and focused primarily on domestic routes, along with several international services to neighbouring countries in Asia and limited flights to the Middle East and Southeast Asia. It was a division of Air India Limited after the merger of eight pre-Independence domestic airlines.2 Wikipedia text CC BY-SA 4.0

Last updated Oct 21, 2026.

Overview

1953Founded1
Airbus A320-231, Indian Airlines AN1279022
Photo: Konstantin von Wedelstaedt, GFDL 1.2, via Wikimedia Commons5

Indian Airlines was a state-owned airline in India that later became a division of Air India Limited before ultimately ceasing operations. It was based in Delhi and focused primarily on domestic routes, along with several international services to neighbouring countries in Asia and limited flights to the Middle East and Southeast Asia. It was a division of Air India Limited after the merger of eight pre-Independence domestic airlines.2

The story

Merger of regional airlines

The airline was set up under the Air Corporations Act, 1953 with an initial capital of ₹32 million and started operations on 1 August 1953. It was established after legislation came into force to nationalise the entire airline industry in India. Two new national airlines were to be formed along the same lines as happened in the United Kingdom with British Overseas Airways Corporation (BOAC) and British European Airways (BEA). Air India took over international routes and Indian Airlines Corporation (IAC) took over the domestic and regional routes.

Eight pre-Independence domestic airlines, Deccan Airways, Airways India, Bharat Airways, Himalayan Aviation, Kalinga Airlines, Indian National Airways, Air Services of India and the domestic wing of Air India, were merged to form the new domestic national carrier Indian Airlines Corporation. International operations of Air India Ltd. was taken over by the newly formed Air India International. Indian Airlines Corporation inherited a fleet of 99 aircraft including 74 Douglas DC-3 Dakotas, 12 Vickers Vikings, 3 Douglas DC-4s and various smaller types from the seven airlines that made it up.

Early fleet

Vickers Viscounts were introduced in 1957 with Fokker F27 Friendships being delivered from 1961. The 1960s also saw Hawker Siddeley HS 748s, manufactured in India by Hindustan Aeronautics Limited, join the fleet. The jet age began for IAC with the introduction of the pure-jet Sud Aviation Caravelle airliner in 1964, followed by Boeing 737-200s in the early 1970s. April 1976 saw the first three Airbus A300 wide-body jets being introduced. The regional airline, Vayudoot, which had been established in 1981, was later reintegrated. By 1988, Airbus A320-200s were introduced. The economic liberalisation process initiated by the Government of India in the early 1990s ended Indian Airlines' dominance of India's domestic air transport industry.

Post liberalisation

The Indian Government liberalised the private sector in Early 90s and with the emergence of new competitors, Indian Airlines faced tough competition from Jet Airways, Air Sahara, East-West Airlines, Skyline NEPC and ModiLuft. Yet, until 2005, Indian Airlines was the second-largest airline in India after Jet Airways while Air Sahara controlled 17% of the Indian aviation industry. During that time few other domestic carriers like East-West Airlines, Skyline NEPC and ModiLuft discontinued their flight operations.

Also, during 1993, another government-established regional feeder airline called Vayudoot was merged with Indian Airlines, but still operated as a standalone division until 1997 after which its entire flight operations were transferred to Indian Airlines and its employees absorbed into Indian Airlines and Air India.

Low-cost carrier era

Since 2003, the rise of low-cost domestic competitors Air Deccan, SpiceJet, IndiGo, GoAir and Kingfisher Airlines along with its low-cost arm Kingfisher Red led Indian Airlines to reduce airfares. However, as of 2006, Indian Airlines was still a profit-making airline; in fact during 2004–2005 it made a record profit of ₹656.1 million. Indian Airlines Limited was partly owned by the Government of India (51% of share capital) through a holding company and had 19,300 employees as of March 2007. Its annual turnover, together with that of its subsidiary Alliance Air, was well over ₹40 billions (around US$1 billion). Together with its subsidiary, Alliance Air, Indian Airlines carried a total of over 7.5 million passengers annually.

Air India merger

In 2007, the Government of India announced the merger of Air India and Indian Airlines. While Indian Airlines’ own branding was replaced with the Air India branding in the public eye by then, the "IC" and "IAC" codes of IATA and ICAO, respectively, and callsign "INDAIR" continued to be used on flights that were operated by the Airbus A320 family aircraft until 26 February 2011, when Indian Airlines ceased operating under its own codes and completed its merger with Air India.

The last plane to bear the final Indian Airlines livery, an Airbus A319 registered as VT-SCF was repainted in the Air India livery in 2018.

From Wikipedia’s article on Indian Airlines, shared under CC BY-SA 4.0.4

Products and brands

Destinations

Codeshare agreements

Indian Airlines had codeshare agreements with the following airlines:

Alliance Air

GMG Airlines

Gulf Air

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Uzbekistan Airways

Fleet

As of 2007, Indian Airlines operated an all-Airbus A320 family fleet.

Service

Indian Airlines operated short-haul Airbus A320 family aircraft. It offered 2 classes on most sectors: Economy Class and Executive Class. Economy Class had the typical 3-3 seating of a narrow-body Airbus aircraft. Passengers were offered complimentary meals. The Executive Class seat configuration was 2–2 with a generous recline. Meals were more lavish.

From Wikipedia’s article on Indian Airlines, shared under CC BY-SA 4.0.4

Timeline

  1. Feb 27, 2011Dissolved Dissolved1
  2. 1953Founded Founded1