Australia’s National Security Committee will meet on Tuesday and decide whether to suspend flights coming in from India.
Australia is looking into sending oxygen to try and help ease the crisis.
The Department of Foreign Affairs and Trade confirmed to 9News there are currently about 9000 Australians in India who want to return home.
One in 30 Australians are of Indian heritage.
Health Minister Greg Hunt said if all flights are cancelled, “we will do it with a heavy heart тАУ but without hesitation”.
“India is literally gasping for oxygen,” he said.
Last week, Prime Minister Scott Morrison announced a cut of flights by 30 per cent plus a new rule meaning passengers must be tested on route if they change planes.
The nation is the world’s second-most populated.
The capital Delhi, home to nearly 30 million people, is reporting positive tests of about one in every three people.
It is the fourth day in a row cases India’s daily cases numbers have hit world-record levels.
The country has so far confirmed more than 186,000 deaths and 16 million cases, with three million added in the last two weeks alone.
Hospitals are running out of oxygen and supplies, and crematoriums are overflowing, sparking fears a major humanitarian disaster is underway.
A Department of Foreign Affairs and Trade spokesperson, said: “Australia stands by our friends in India in their time of need.
“The Australian Government is actively considering options for urgent support and will continue to monitor the situation closely.
“DFAT’s highest priority at this time is helping vulnerable Australians overseas.
“Over 500,000 Australians have arrived in Australia since the Government recommended that people reconsider the need to travel abroad.”
As well as India, the main countries Australians are trying to return from are the UK, USA, Thailand and the Philippines.