He added the earlier hub in Frankfurt did not prove beneficial and wasn't worth the cost. "We are saving Euro30 million (Rs 190 crore) per year by dismantling our Frankfurt hub.
"A hub in Delhi is doing well for us," he said.
The airline made Frankfurt its hub in June 2009; this was dismantled in October 2010, after deciding a large number of flights could not be launched through the hub, apart from the expense.
"Lufthansa, with its base in Frankfurt, being a very strong airline, also hampered our plans to develop Frankfurt as our hub," said an AI official.
On a recent visit to India, Ireland's minister for transport, tourism and sports, Leo Varadkar, had told journalists an AI team would be visiting there in the next six to eight weeks to study Dublin airport, selecting this after a study of around 10 airports in Europe.
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An official looks at the newly introduced first class cabin section in Air India new Boeing 777-20.
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