PARIS: Europe’s Airbus announced the biggest plane deal in history on the opening day of the Paris Airshow on Monday, with an order for 500 narrowbody jets from Indian budget carrier IndiGo.

The multibillion-dollar deal is the largest ever by number of aircraft, eclipsing Air India’s provisional purchase of 470 jets earlier this year as India’s two largest carriers plan for a sharp expansion in regional travel demand.

The deal follows months of negotiations first reported by Reuters.

“This is just the beginning, there’s more going forward. With the growth of India (and) the growth of the Indian aviation market … this is the right time for us to place this order,” IndiGo Chief Executive Pieter Elbers told a news conference.

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The aircraft will be delivered between 2030 and 2035.

Efforts by Indian carriers to keep pace with the world’s fastest-growing aviation market, serving the largest population, have sent industry records tumbling even though manufacturers are struggling to meet output goals.

Indian carriers now have the second-largest order book, with an over 6% share of the industry backlog, behind only the United States, according to a June 1 report by Barclays.

But some analysts have expressed concern that airlines could be over-ordering jets in pursuit of the same passengers.

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After signing the IndiGo deal, Airbus CEO Guillaume Faury said it was premature to start thinking about narrowbody jet production rates higher than the planned 75 per month.

IndiGo, which accounts for nearly 60% of the Indian domestic market, was widely expected to keep Airbus as its supplier of single-aisle jets to squeeze out further economies of scale.

It continues to hold separate talks with Airbus and rival Boeing for 25 widebody planes, which could either be Airbus A330neos or Boeing 787 jets, sources have said.