High costs and low yields. Implosion of the country’s second largest airline. Persistent technical issues plaguing two of the most popular passenger aircraft models flown by India’s airlines. Together, these factors have now plunged India’s aviation industry to its most precarious phase in the last five years or so. Bigger, historical issues continue to plague the aviation industry: High Costs, Low Yields; Government Apathy and Pilot Shortage. India’s carriers, plagued by long-standing issues and new problems, are looking at difficult times. Losses are estimated to grow, and debt will continue to pile up. With the death of one airline, setbacks to the expansion of others and expense revenue gap poised to widen, it will be sometime before last year’s honeymoon period returns to the industry.

(Economic Times)