LCC gain adds to Air Indias pain

India's LCC sector now holds a remarkable 49% of the domestic market - one of the highest in the world. From a standing start, the sector has made significant gains in expanding its market share in recent years, and particularly this year as fuel prices - and fares - have increased. India's LCCs had a 26% share in May-06 and a 44% share in May-07. The Indian experience could be instructive for other Asia Pacific travel markets this year as inflation impacts on the travel decisions of increasingly price sensitive consumers.