26 Feb 2026
#4 February 2026: India Aviation Newsletter
Air India and Lufthansa Group Sign Landmark MoU
Air India and Lufthansa Group signed a Memorandum of Understanding establishing a framework for a joint business agreement across their respective carriers, including Air India Express, Austrian Airlines, Brussels Airlines, ITA Airways, Lufthansa and SWISS. The agreement builds on existing codeshare arrangements and their shared Star Alliance membership.
The MoU allows both groups to explore enhanced connectivity between India and major European markets, with the objective of delivering more seamless, single-ticket travel experiences across key long-haul corridors. Air India stated that the partnership aligns with its ongoing fleet modernisation and international expansion strategy, while supporting growing trade and passenger flows between India and Europe.
Akasa Air Crosses 10,000-Pet Travel Milestone
Akasa Air announced that it has flown more than 10,000 pets since launching its ‘Pets on Akasa’ service in November 2022. The airline highlighted consistent demand across domestic routes, with 26% of pet parents travelling more than once.
The carrier stated that the structured approach to pet travel, focused on safety, comfort and clear processes, has driven repeat usage and strengthened customer loyalty within a niche but growing segment of the domestic market.
Menzies Aviation Secures 15-Year Ground Handling Licence at Bengaluru
Menzies Aviation has been awarded a 15-year ground handling licence at Kempegowda International Airport Bengaluru (BLR), effective 1 April 2026, subject to regulatory approvals. The licence was granted by Bangalore International Airport Limited (BIAL).
The long-term concession strengthens ground handling capacity at one of India’s fastest-growing airports and supports BIAL’s operational scale-up plans as passenger traffic and airline movements continue to expand.
Acumen’s Take
On Air India–Lufthansa Strategic Cooperation
Deepening joint business frameworks between Indian and European carriers signal a structural shift toward integrated long-haul networks. Coordinated scheduling, pricing and capacity planning could materially improve route economics on high-density India–Europe sectors.
On Akasa’s Pet Travel Differentiation
Ancillary product innovation, even in niche segments, can drive measurable brand loyalty. Repeat pet travel figures suggest targeted service differentiation remains commercially relevant in India’s competitive domestic market.
On Menzies’ Long-Term Bengaluru Licence
Extended ground handling concessions provide operational stability for airport operators while creating predictable revenue visibility for service providers. As Indian hubs expand, long-duration licences will become increasingly strategic.
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