Bangladesh bars Indian airline SpiceJet from its airspace

DHAKA, Bangladesh (MNTV) — Bangladesh has barred Indian low-cost carrier SpiceJet from using its airspace over pending air navigation charges, forcing the airline to reroute several east-bound domestic flights and potentially increasing fuel and operating costs.

The restriction affects flights operating from Kolkata to cities in India’s northeast, including Guwahati and Imphal. Flight tracking data shows aircraft on these routes avoiding Bangladeshi skies and instead taking longer corridors within Indian airspace, adding time and fuel burn to short-haul sectors that typically rely on direct overflight access.

Overflight rights are critical for airlines operating in eastern India, where Bangladesh sits between mainland India and several northeastern states. Access to Bangladeshi airspace allows carriers to reduce flying time and optimize fuel efficiency. Without it, aircraft must follow extended routes, which can increase operational expenses if restrictions continue.

The development comes as SpiceJet faces ongoing financial strain. For the quarter ending December 2025, the airline reported a net loss of 2.69 billion Indian rupees ($30 million), citing elevated expenses and one-time costs that affected profitability.

In a statement, a company spokesperson said the airline is in regular dialogue with Bangladeshi authorities to resolve the issue. The spokesperson described navigation-related charges as routine industry matters and said scheduled operations remain in line with regulatory requirements.

Industry analysts note, however, that prolonged airspace limitations could add incremental cost pressure at a time when Indian carriers are already navigating high fuel prices, currency fluctuations and intense fare competition.

Bangladesh, like other countries, levies fees on airlines for the use of its airspace and air traffic management services. Such charges form part of bilateral aviation arrangements and are typically settled through standard industry mechanisms. Disputes over payments are uncommon but can lead to temporary operational adjustments when unresolved.

The episode underscores the strategic importance of Bangladesh’s airspace for regional connectivity between India’s mainland and its northeastern states, as well as the broader interdependence of South Asian aviation markets.