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The cash-starved airlines is prohibited from making advance bookings after almost half the fleet forced to ground.
Several other countries have restrained their airlines from operating the aircraft type.
A senior civil aviation ministry official Monday told PTI it would discuss with the DGCA on the action that needs to be taken with regard to 737 MAX aircraft.
The overall cancellation rate of scheduled domestic airlines for the month of December 2018 was 0.66 per cent.
The double-whammy of high fuel cost and low fares necessitated by extreme competition magnified as the rupee depreciated and interest-rates remained high.
Major Indian carriers Jet Airways, IndiGo and SpiceJet were all in the red in the September.
Train and air services were also disrupted because of the cyclone.
Air India Express, international budget arm of national carrier Air India, will operate the inaugural flight to Abu Dhabi from Kannur.
Ministry of Civil Aviation decided to review the move by airlines after passengers complained on social media.
Jet Airways and SpiceJet are the Indian carriers that fly Boeing 737 MAX and a total of six such planes are in operation in the country.