There is currently a basic working relationship between the two parties; they have agreed to allow night landings of civilian flights for the time being, though this is not a long-term solution.

[citation needed] The airfield was established in 1939 as RAF Poona to provide air security to the city of Mumbai.

The base was home to World War II squadrons of de Havilland Mosquito and Vickers Wellington bombers and Supermarine Spitfire fighter aircraft.

[10] In July 2008, Lufthansa's inaugural flight from Frankfurt arrived in Pune, linking the airport with Europe for the first time.

[11][12] PrivatAir flew the route with a long-range version of an Airbus A319 that only had business-class seats; the Pune airport's short runway meant that Lufthansa could not use a larger jet with an economy-class cabin.

[14] A ₹ 100 crore airport modernisation plan was launched in preparation for the Commonwealth Youth Games hosted by Pune.

In August 2008, AAI completed the construction of two new terminal extensions for international passenger departures and arrivals, measuring nearly 12,000 m2 (130,000 sq ft) on either side of the 6,500 m2 (70,000 sq ft) old main terminal building, which was inadequate for the increase in passengers and flight operations.

Facilities developed on the air side include a new parallel taxi track and an apron expanded to accommodate eight Airbus A320 or Boeing 737 aircraft.

[15] In 2010, Lufthansa introduced economy class on the Frankfurt route; due to the recession, companies preferred to book economy-class tickets for their employees.

[17] All the offices of the AAI and the Central Industrial Security Force will move to the new administrative block, creating more space in the terminal building.

The airport power sub-station near the entrance gate will also be shifted to the new building freeing up more space for developing passenger amenities.

[22][23] The Airports Authority of India has invested ₹ 40 crore in 2018 for a brand new second terminal, which will be integrated into the existing one in order to ease air traffic.

It covers an area of about 52,000 m2 (560,000 sq ft), which is twice the size of the current terminal and has a capacity of serving over 9 million passengers annually.

[57] Due to the limited expansion options available, the airport will not be able to cope with the growing demand for air traffic into Pune.

The greenfield airport will be located near the villages of Ambodi, Sonori, Kumbharvalan, Ekhatpur-Munjawadi, Khanwadi, Pargaon Memane, Rajewadi, Aamble, Tekwadi, Vanpuri, Udachiwadi, and Singapur near Saswad and Jejuri in Purandar taluka of Pune District in the Indian state of Maharashtra.

MADC requested proposals from consultants to conduct techno-economic feasibility studies, assist in obtaining the required statutory approvals and provide project management services.