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IndiGo nears deal with Norse Atlantic Airways for six Boeing Dreamliners

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IndiGo nears deal with Norse Atlantic Airways for six Boeing Dreamliners
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IndiGo, India's largest airline, is reportedly nearing a significant agreement with Norse Atlantic Airways to wet-lease six Boeing 787-9 Dreamliners. This deal, as reported by The Economic Times and other industry sources, is expected to be finalized soon. It aims to support IndiGo's plans to launch long-haul international services by 2025 to major European cities such as London and Paris.

The wet-lease arrangement aligns with IndiGo’s strategy to expand its international network and increase its share of long-haul travel. Under the agreement, Norse Atlantic will lease its Boeing 787-9 aircraft to IndiGo starting in 2025. The airline expects to receive two Dreamliners by February 2025, with the remaining four joining the fleet by September 2025.

India's Directorate General of Civil Aviation (DGCA) recently cleared airlines for wet-leasing aircraft to enhance operational flexibility and facilitate network expansion, according to India TV news. This allows IndiGo to quickly increase capacity on international routes without waiting for new aircraft deliveries.

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Currently focused on short- and medium-haul flights, IndiGo operates a fleet of over 400 aircraft, primarily Airbus models. The potential addition of Boeing 787-9s marks a strategic shift towards long-haul capabilities. This move enables the airline to expand into European markets cost-effectively without immediate investment in new widebody aircraft.

While most of IndiGo's fleet consists of narrow-body planes, this will be its first major venture into wide-body operations. Previously leasing Boeing 777-300ERs for India-Turkey routes, IndiGo will now have the flexibility to use the 787-9s on various international routes through this new agreement.

The timing is crucial as IndiGo seeks to compete with Air India, which is expanding its long-haul operations with a large order of wide-body aircraft like the Boeing 787 and Airbus A350. Entering the long-haul market would allow IndiGo to tap into growing demand for direct flights from India to Europe.

IndiGo also announced plans earlier this month to wet-lease six B737 aircraft from Corendon Airlines during the upcoming northern winter season from December 14, 2024, until March 29, 2025. This forms part of a broader strategy to expand globally and diversify its fleet.

In addition, IndiGo has ordered 30 Airbus A350 wide-body aircraft in 2024 with deliveries set for 2027. Until then, the leased Boeing 787-9s will help bridge the gap and enable entry into long-haul markets sooner. The airline also plans to add Airbus A321XLRs in 2025 for direct flights to secondary European destinations due to their extended range.

India remains one of the fastest-growing civil aviation markets globally. As previously reported by India Express, IndiGo leads with a domestic market share of 63.6%. According to The Economic Times, CEO Pieter Elbers stated that "An airline so young expects to welcome over 112 million customers in 2024 after crossing the 100 million annual customers bar last year."

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