Restrictive Flight Policies Hit Indian Airlines Hard in Dubai

Dubai has prolonged its limitations on foreign airlines, permitting only a single daily flight to its airports until May 31, against the backdrop of the ongoing Iranian crisis. This decision is poised to heavily affect international airlines, with Indian carriers operating the largest number of flights to Dubai.

Documents obtained by Reuters reveal that the Federation of Indian Airlines (FIA) has articulated worries to the Indian government. This body encompasses major airlines including IndiGo, Air India, and SpiceJet.

In a correspondence dated March 31, the FIA appealed for diplomatic efforts to eliminate the flight restrictions. The group also hinted at potential retaliatory measures against UAE airlines such as Emirates and flydubai if the constraints persist.

These restrictions impact both Dubai International Airport (DXB)—one of the busiest global aviation hubs—and Al Maktoum International Airport (DWC). Airlines are limited to one round trip each day from April 20 to May 31, coinciding with the summer schedule.

Dubai Airports mentioned that additional flight slots might be provided, dependent on capacity. However, Indian airlines contend that the current strategy establishes an unlevel playing field, as UAE carriers can still run multiple flights daily.

The repercussions for Indian airlines are pronounced. Air India and Air India Express once scheduled over 750 flights to Dubai for April and May, while IndiGo planned 481. The cap of one flight each day drastically diminishes their operational volume.

IndiGo has indicated that the constraints have significantly hindered its operations, with aircraft and available capacity left underutilized. Similarly, Air India Express pointed out that options are limited for travelers, particularly those departing from smaller Indian cities.

The dilemma is further exacerbated by existing difficulties faced by Indian airlines, including soaring fuel prices and lengthier flight paths caused by restricted access to Pakistani airspace.

In the meantime, several international airlines like Lufthansa, Singapore Airlines, and British Airways have temporarily halted their Dubai operations until at least May 31, redirecting their focus to other routes, especially those between Asia and Europe, where demand remains robust.

With India being the largest passenger market for Dubai, accounting for nearly 11.9 million travelers in 2025, these enduring restrictions are anticipated to have a marked commercial effect on Indian aviation enterprises.

Experts in the industry warn that if a balanced resolution is not achieved soon, these limitations could lead to significant revenue losses and put additional strain on the aviation relations between India and the UAE.