Passengers will get more travel options as Air India is set to expand its codeshare partnerships with foreign carriers.

Airlines develop their networks in two ways - by deploying own capacity or by partnering with other airlines through commercial agreements. These include interline and codeshares. 

While a codeshare gives passengers benefits like a single itinerary, through check-in and frequent flyer miles, it allows airlines to expand their reach and increase revenue. In a code share one airline operates a flight and another markets it along with the operating carrier. Codeshares allow airlines better revenue options as airlines allow their partners to sell tickets in more fare slabs than those under interline agreements.

Currently, Vistara and Air India have separate partnerships with foreign carriers and now new agreements are being stitched in view of the merger between the two airlines.

While Vistara’s pact with Japan Airlines is expected to lapse, Air India is expected to sign new code share partnerships with Air Canada and United. Air India had a codeshare with Air Canada prior to privatisation but a codeshare agreement with United would be its first bringing more passenger feed on US flights. 

Air India and United compete on the busy India-US market and despite being Star Alliance members did not have a codeshare agreement yet.

New pacts

New pacts with Lufthansa and Singapore Airlines are also likely harmonising features of existing agreements.

The thrust of Air India’s recent strategy has been developing hubs like Delhi and Mumbai and secure a level playing field from its partners.

Over the last few months Air India has added new services to Europe and Asia-Pacific with an aim to connect the markets via its hub in Delhi. Recent additions include services to Zurich from June and Kuala Lumpur last month.

“All codeshare and interline passengers who had tickets booked on Vistara for travel beyond November 12 have been accommodated on the corresponding Air India flights,” Air India said.

“All partner relationships at Vistara have been carefully evaluated from the lens of their alignment with the broader alliance and network strategy of the combined entity, i.e. Air India. Additionally, Air India is strengthening its relationships with the Star Alliance partners, using the guiding principles of reciprocity and equity in relationships to ensure greater connectivity and convenience for our guests,” the spokesperson added.

In a statement Lufthansa said it is looking to deepen its long-standing partnership with Air India.

Singapore Airlines said Air India is its strategic partner. “ Both airlines have been codeshare partners since 2010 when Air India first started codesharing on flights operated by Singapore Airlines. Further commercial collaboration opportunities will be discussed at the appropriate time and subject to appropriate competition clearance,” it said.

United declined comment 

“We have a longstanding relationship with our Star Alliance partner, Air India, and connect many passengers between Canada and India through that relationship. As the Vistara brand sunsets, we continue to explore alternatives for the transition period given the importance of the India market for Canadians,” Air Canada said.

Over 66 million passengers flew on international routes to/from India in FY 2024, a growth of 22 per cent over the previous year. While Indian carriers have widened their footprint, foreign airlines control 55 per cent of India’s overall international traffic. 

For international carriers looking to deepen presence in the country partnership options have been limited to Air India and IndiGo. While Air India is a part of Star Alliance, IndiGo is unaligned and has partnerships across the board.

Currently, IndiGo feeds passengers to Qantas, Qatar Airways and Turkish Airlines and has plans to operate long haul flights from 2027 when it receives its first widebody Airbus A350 aircraft.

While IndiGo is charting its own growth plans, product and service upgrades at Air India will make it a compelling option for foreign carriers pursuing collaboration

“Any carrier choosing to partner with Air India will look at its entire network and that includes its no frills brand Air India Express too,” an aviation sector analyst said