A new study has found that air travel demand between India and the United Arab Emirates is set to outpace existing flight and seat capacity, potentially leaving more than a quarter of forecast passenger journeys unserved over the next decade.According to the analysis, 27 per cent of projected demand could go unmet by 2035 if bilateral capacity restrictions remain unchanged. As a result, air travel demand is forecast to rise by 7.2 per cent annually through 2035, generating an additional 22 million journeys each year.Matthew Dass, Director of Consulting at Tourism Economics, said: “India–UAE air travel demand is growing rapidly, underpinned by rising incomes, expanding international trade, and increasing outbound and inbound tourism. Load factors exceed 80 per cent on major routes, indicating limited spare capacity under current schedules. In our baseline outlook, available capacity is expected to be exhausted by 2026.”The study further estimates that easing capacity constraints could significantly enhance economic performance. The report concludes that aviation policy choices will be pivotal in determining whether India realises the full economic and consumer advantages of rising international air travel demand.

Source: Economic Times January 24, 2026 08:43 UTC