NEW DELHI: An Indian airline has decided to terminate its leasing agreement with Turkish Airlines by Aug 31 after India’s aviation regulator said on Friday it would only extend the deal for three months, a move that will push the carrier to seek alternatives.

The agreement between the two airlines has come under public criticism in India after Turkiye came out in support for Pakistan during the recent conflict.

The pact has also been opposed by IndiGo’s rival Air India, which has lobbied the Indian government to end the deal, citing business impact and security concerns.

India’s Directorate General of Civil Aviation said it had denied IndiGo’s request for a six-month extension and approved only three months, citing passenger convenience. The lease was due to expire on Saturday.

The regulator said IndiGo gave an undertaking that it will terminate the lease with state-owned Turkish Airlines by Aug 31 and will not seek a further extension.

The airline has previously defended the Turkish partnership, saying it offers multiple benefits to Indian travellers and boosts aviation growth and jobs.

Turkiye’s support for Pakistan during the recent conflict has sparked a boycott of Turkish products, including chocolates, coffee and clothing, in India.

IndiGo has had a codeshare partnership with Turkish Airlines since 2018 and has used that to connect travellers from India to a growing number of destinations in Europe and the US in the last few years, making Istanbul an important hub for India’s largest airline.

Since 2023, Turkish Airlines has leased two IndiGo two Boeing 777 aircraft with pilots and some crew. The aircraft currently operates on the Delhi-Istanbul and Mumbai-Istanbul routes, allowing IndiGo to carry more passengers, compared with the narrow bodies it operated previously.

IndiGo has been leasing aircraft to tide over aircraft delivery delays and expand internationally. The airline expects its first Airbus A350 by early 2027 and the long-range A321XLR this financial year.

In the absence of the leased 777s, IndiGo could go back to operating narrowbody aircraft on the two routes, or it could use widebody aircraft it has leased from Norse Atlantic Airways. It could also deploy the XLRs once they are delivered, analysts have said.

The regulator’s decision to give a limited extension comes after the Indian government earlier this month revoked the security clearance of Turkish ground handling service firm Celebi, citing national security, prompting a lawsuit from the Indian arm of the Turkish firm.

Published in Dawn, May 31st, 2025