Tourism And Hospitality Sector In India

Tourism And Hospitality Sector In India- Oxygen Industry Expertisation. The Indian tourism and hospitality assiduity has surfaced as one of the crucial motorists of growth among the services sector in India. Tourism in India has significant implicit considering the rich artistic and literal heritage, variety in ecology, terrains and places of natural beauty spread across the country. Tourism is also a potentially large employment creator besides being a significant source of foreign exchange for the country.
Mega Job Fair In Delhi From Tourism And Hospitality Skill Council Thsc

In FY20, the tourism sector in India reckoned for 39 million jobs, which was8.0 of the total employment in the country. By 2029, it’s anticipated to regard for about 53 million jobs.

According to WTTC, India ranked 10th among 185 countries in terms of trip & tourism’s total donation to GDP in 2019. During 2019, donation of trip & tourism to GDP was6.8 of the total frugality,
Rs. crore (US$194.30 billion).

Market Size

India is the most digitally advanced rubberneck nation in terms of digital tools being used for planning, booking, and passing a trip. India’s rising middle class and adding disposable income have supported the growth of domestic and outbound tourism.

During 2019, foreign sightseer advents (FTAs) in India stood at10.93 million, achieving a growth rate of3.5 y-o-y. During 2019, Freights from tourism increased4.8 y-o-y toRs. crore (US$29.96 billion). In 2019, advents through-Tourist Visa increased by23.6 y-o-y to2.9 million. In 2020, FTAs dropped by75.5 YoY to2.68 million and advents through-Tourist Visa (Jan-Nov) dropped by67.2 YoY to0.84 million. As of March 2021, the thee-Tourist Visa installation was extended to citizens of 171 countries.

In April 2021, the chance share of FTAs was loftiest from the USA (26.85), followed by Bangladesh (15.65), Afghanistan (6.92), UK (5.87), Nepal (4.59), Canada (4.27), Iraq (2.99), Portugal (2.40), Germany (1.42), Russian Fed (1.41) Maldives (1.39), France (1.33), Sudan (1.21), Korea (Rep.) (1.18), and Australia (1.02).

In April 2021, the chance share of FTAs in India was loftiest at Bengaluru Airport (29.96), followed by Mumbai Airport (17.48), Ahmedabad Airport (15.72), Delhi Airport (9.21), Cochin Airport (4.91), Chennai Airport (4.04), Hyderabad Airport (3.34), Lucknow Airport (2.40), Bhavnagar Seaport (2.37), Kolkata Airport (2.11), Calicut Airport (1.41), Amritsar Airport (1.35), Kakinada Seaport (1.32), Dabolim (Goa) (0.91), Mangalore Airport (0.72).

Between January 2021 and April 2021, FTAs were as compared with2.35 million between January 2020 and April 2020, registering a negative growth of-84.0 Y-o-Y due to COVID-19.

By 2028, transnational sightseer advents are anticipated to reach30.5 billion and induce profit overUS$ 59 billion. Still, domestic excursionists are anticipated to drive the growth, post epidemic.

International hostel chains are adding their presence in the country, and it’ll regard for around 47 shares in the tourism and hospitality sector of India by 2020 and 50 by 2022.

As per the Federation of Hotel & Restaurant Associations of India (FHRAI), in FY21, the Indian hostel assiduity has taken a megahit of>Rs.1.30 lakh crore (US$17.81 billion) in profit due to the impact of the COVID-19 epidemic.

Tourism And Hospitality Sector In India (


India was encyclopedically the third largest in terms of investment in trip and tourism with a flux ofUS$45.7 billion in 2018, counting for5.9 of the total investment in the country.

The hostel & tourism sector entered an accretive FDI flux ofUS$15.65 billion between April 2000 and March 2021.

The Indian government has estimated that India would crop with a request size of1.2 million voyage callers by 2030-31. Conjure Hotel Group plans to invest aroundUS$ 300 million in the coming 3-5 times for the development of the voyage sector in India.

Government Enterprise

The Indian Government has realized the country’s eventuality in the tourism assiduity and has taken several ways to make India a global tourism mecca.

Some of the major enterprises planned by the Government of India to boost the tourism and hospitality sector of India are as follows

  • The government introduced a scheme to boost the tourism sector by furnishing one-month free sightseer visas to 5 lakh excursionists until March 31, 2022.
  • In July 2021, the ministry drafted an offer named national Strategy and Roadmap for Medical and
  • Wellness Tourism and has requested recommendations and feedback from several Central Ministries, all state and UT governments and administrations as well as assiduity mates to make the document more comprehensive.
  • In May 2021, the Union Minister of State for Tourism & CultureMr. Prahlad Singh Patel shared in the G20 tourism ministers’ meeting to unite with member countries in guarding tourism businesses, jobs, and taking enterprises to frame policy guidelines to support the sustainable and flexible recovery of trips and tourism.
  • The government is planning to boost tourism in India by using lighthouses in the country. 71 lighthouses have been linked for development as sightseer spots.
  • The Ministry of Road Transport and Highways has introduced a new scheme called all India Tourist
  • Vehicles Authorisation and Permit Rules, 2021’, in which a sightseer vehicle driver can register online for
  • All India Tourist Authorisation/ Permit. This permit will be issued within 30 days of submitting the operation.
  • In February 2021, the Ministry of Tourism under the Government of India’s Regional Office (East) in Kolkata banded with Eastern Himalayas Travel & Tour Operator Association ( resource mate) and the IIAS School of Management as ( knowledge mate) to organize an‘ Inconceivable India Mega Homestay
  • Development & Training’ factory. 725 sleepover possessors from Darjeeling, Kalimpong, and the foothills of Dooars were trained in marketing, deals, and behavioral chops
  • On January 25, 2021, Union Tourism and Culture MinisterMr. Prahlad Singh Patel blazoned a plan to develop a transnational- position structure in Kargil (Ladakh) to promote adventure tourism and downtime sports.
  • The Indian Railway Catering and Tourism Corporation (IRCTC) runs a series of Bharat Darshan sightseer trains aimed at taking people on colorful pilgrimages across the country.
  • On November 4, 2020, the Union Minister of State (IC) for Tourism & CultureMr. Prahlad Singh Patel inaugurated the “ Tourist Facilitation Centre” installation constructed under the design “ Development of Guruvayur, Kerala” (under the PRASHAD Scheme of the Ministry of Tourism).
  • The Ministry of Tourism’s‘DekhoApnaDesh’webinar series named‘12 Months of Adventure Trip’on November 28, 2020, is likely to promote India as an adventure tourism destination.
  • On January 26, 2021, Maharashtra Chief MinisterMr. Uddhav Thackeray inaugurated Balasaheb Thackeray Gorewada International Zoological Park in Nagpur. It’s India’s largest zoological demesne spread over 564 hectares and is anticipated to attract 25 million excursionists at a time.
  • The Ministry of Tourism developed an action called SAATHI (System for Assessment, Awareness & Training for Hospitality Industry) by partnering with the Quality Council of India (QCI) in October 2020. The action will effectively apply guidelines/ Bribes issued with reference to COVID-19 for safe operations of hospices, caffs, B&B s, and other units.
  • Ministry of Tourism launched the Dekho Apna Desh webinar series to give information on numerous destinations and the sheer depth and breadth of the culture and heritage of India.
  • The Statue of Sardar Vallabhbhai Patel, also known as the status of Unity’, was inaugurated in October 2018. It’s the loftiest standing statue in the world at a height of 182 meters. It’s anticipated to boost the tourism sector in the country and put it on the world tourism chart.
  • Under Budget 2020-21, the Government of India has distributed. crore (US$171.70 million) for the development of sightseer circuits under Swadesh Darshan for eight Northeast countries.
  • Under Budget 2020-21, the Government of India has distributed. Rs.207.55 crore (US$29.70 million) for the development of sightseer circuits under the PRASHAD scheme.

State Government Initiatives

  • In July 2021, the Kerala government, in collaboration with Vythiri in Wayanad, has initiated a crusade to vaccinate all tourism and hospitality stakeholders.
  • The Ministry of Tourism sanctioned three systems for a total quantum of Rs.179.68 crore (US$24.24 million) under the Swadesh Darshan scheme in Gujarat.
  • In July 2021, the Odisha Tourism Development Corporation (OTDC) invited operations to operate shanties in six major strands of the state.
  • In July 2021, the Tamil Nadu state government decided to apply an intertwined mega tourism plan, which included new lighting arrangements for the Thiruvalluvar statue at Kanyakumari, starting emendations at Poompuhar sightseer spot and perfecting roads leading to sightseer spots, spiritual places, and adventure tourism spots. It also includes unveiling a new tourism policy, establishing further hospices, resorts, and convention centers, and adding donations of public and private sectors in the tourism sector.
  • In July 2021, Andhra Pradesh Tourism Authority prompted stakeholders in the tourism sector in the state to register with the Andhra Pradesh Tourism under the Tourism Trade Registration and Facilitation Guidelines 2020.
  • In June 2021, the Odisha state government blazoned to give a fiscal package for the COVID- hit tourism sector of the state.


Following are the achievements of the Government during 2019-20

  • During 2019-20, fresh fundRs. crore (US$269.22 million) was sanctioned for new systems under the Swadesh Darshan scheme.
  • Ministry of Tourism sanctioned 18 systems covering all the North Eastern States forRs. crore (US$211.35 million) to develop and promote tourism in the region under Swadesh Darshan and PRASHAD schemes.
  • Statue of Sardar Vallabhbhai Patel, also known as‘State of Unity’, was inaugurated in October 2018 and the total profit generated till November 2019 stood at Rs.82.51 crore (US$11.81 million).

Road Ahead

Staycation is seen as an arising trend where people stay at luxurious hospices to revive themselves of stress in a peaceful flight. To feed to similar requirements, major hostel chains similar as Marriott International, IHG Hospices & Resorts and Oberoi hospices are introducing staycation offers where guests can choose from a host of curated gests, within the hostel.

India’s trip and tourism assiduity have huge growth eventuality. The assiduity is also looking forward to the expansion of the a-Visa scheme, which is anticipated to double the sightseer flux in India. India’s trip and tourism assiduity has the implicit to expand by2.5 on the reverse of advanced popular allocation and low-cost healthcare installation according to a common study conducted by Assocham and Yes Bank.

Note * inUS$ terms

The note Conversion rate used in August 2021, Rs. 1 = US$0.01348

References Media Reports, Ministry of Tourism, Press Releases, Department for Promotion of Industry and Internal Trade (DPIIT), Press Information Bureau (PIB), Union Budget 2020-21
Disclaimer This information has been collected through secondary exploration and IBEF isn’t responsible for any crimes in the same

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Challenges And Opportunities In The Indian Hospitality Sector

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