India approves modified UDAN expansion

India has approved a ₹28,840 crore modified UDAN programme running to 2035-36, combining regional route support with airport, aerodrome, and helipad development across underserved markets.


IN Brief:

  • India’s cabinet has approved a modified UDAN programme with a ₹28,840 crore outlay.
  • The scheme runs from FY 2026-27 to FY 2035-36 and includes 100 airports and 200 helipads.
  • It also provides aerodrome support and viability-gap funding for regional airline operations.

India’s Ministry of Civil Aviation is moving ahead with a modified UDAN programme after cabinet approval for a ₹28,840 crore package intended to deepen regional connectivity over the next decade. The revised scheme runs from FY 2026-27 to FY 2035-36 and pairs route support with a broader infrastructure push.

The headline commitments include development of 100 airports from existing unserved airstrips, operation and maintenance support for roughly 441 aerodromes, and 200 modern helipads for hilly, remote, island, and aspirational regions. A further ₹10,043 crore has been set aside as viability-gap funding for airline operators, reflecting the reality that many regional routes still need sustained support before traffic volumes mature.

The government is presenting the scheme as the next phase of a programme that has already operationalised 663 routes across 95 airports, heliports, and water aerodromes. By the latest official count, more than 3.44 lakh flights have operated under UDAN, carrying over 163 lakh passengers. That provides the backbone for a more infrastructure-heavy version of the scheme, one that aims to stabilise regional aviation rather than simply add routes.

For freight and distribution networks, the significance lies in the geography. Additional airports, aerodrome support, and helipads can widen the reach of time-sensitive cargo, improve links into smaller industrial centres, and strengthen emergency and healthcare access where surface transport remains uneven. The long-term test will be whether the new infrastructure is matched by dependable airline operations and enough demand to keep regional air services commercially usable.


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