SECTORS AT THE INDIA PAVILION

Tourism

EXPERIENCE THE JOURNEY OF A LIFETIME
India Is The 8th Largest Tourism Economy In The World.

Tourism generates nearly US $200 billion accounting for 7% of India’s GDP

By 2028, Tourism & Hospitality is expected to touch US$ 460 billion.

India ranks 3rd in WTTC Travel & Tourism Power and Performance list and 10th among 185 countries in terms of travel & tourism’s total contribution to GDP in 2019.

The Ministry of Tourism has sanctioned US$ 211.35 million for 18 projects under Swadesh Darshan and PRASHAD schemes in order to develop and promote tourism in the North-Eastern region.

US$ 75 million has been invested by Airbnb in addition to a few other major investments in Indian holiday-accommodation aggregator OYO rooms and hotels. The company is currently valued at US$ 8 billion.

By 2022, international hotel chains will account for approximately 50% share of the tourism and hospitality sector in India.

The E-visa facility has been extended to nationals of 169 Countries under 5 sub-categories. Tourist arrivals through e-visa increased 58.8% year-on-year to 1.457 million between January and November 2017.

Tourism has been a significant economic multiplier,  especially in India ‘s service sector where it accounts  for over 8.78 % of the total workforce. Rural, Adventure,  Medical, Pilgrimage, Film and Eco-Tourism are the top emerging segments in the sector. By 2028, Tourism  & Hospitality is expected to touch US$ 460 billion. India ranks 3rd in WTTC Travel & Tourism Power and  Performance list and 10th among 185 countries in terms of travel & tourism’s total contribution to GDP in 2019.

Travel and Tourism is one of the largest Foreign  Exchange Earners in India with a non-domestic inflow  of $29.962 billion at an annual growth rate of 4.8% by  2019. Foreign tourist arrivals (FTAs) in India stood at 10.89  million in the year 2019. In this regard, the Incredible  India initiative has spurred growth in tourist arrivals and  created numerous business opportunities. Tourism has  been an integral pillar of the Make in India programme,  with food, beverage and accommodation being the  primary avenues for potential business development.

Acknowledging the pivotal role played by tourism in India’s economy, the government has taken some  significant measures to encourage the growth of the  sector:

  • Permission has been granted for 100% FDI in the travel  and tourism sector under the automatic route.
  • The government has launched the Swadesh Darshan  scheme under which 13 thematic circuits in the  country have been selected for development of  tourism infrastructure. During 2019-20, an additional  fund of US$ 269.22 million was sanctioned for new  projects under the scheme.
  • A 5-year tax holiday has been offered for 2, 3 and  4-star category hotels located around a majority of UNESCO World Heritage sites. 
  • The Ministry of Tourism has sanctioned US$ 211.35  million for 18 projects under Swadesh Darshan and  PRASHAD schemes in order to develop and promote  tourism in the North Eastern region. Mizoram and  Manipur witnessed the highest growth rates in  numbers of foreign tourist arrivals between 2018  and 2019 at 132% and 112% respectively.
  • The Statue of Unity was inaugurated in October 2018  and the total revenue generated till November 2019  stood at US$ 11.81 million.
  • The E-visa facility has been extended to nationals  of 169 Countries under 5 sub-categories. Tourist  arrivals through e-visa increased 58.8% year-on-year  to 1.457 million between January and November 2017.
  • The government has planned 5 Special Tourism Zones  to be developed in partnership with the states  to further boost tourism in India.

The dynamism in India’s tourism sector and the thrust  towards further growth is reflected in some of the recent  developments in the industry:

  • US$ 75 million has been invested by Airbnb in addition to a few other major investments in Indian holiday accommodation aggregator OYO rooms and hotels.  The company is currently valued at US$ 8 billion.
  • In January 2017, Federation of Indian Chambers of  Commerce & Industry (FICCI) introduced the India Travel Tech Launchpad.
  • Louvre Hotels Group is gearing up to increase their  business in India to 10-15 hotels by 2022 through the  recently acquired Sarovar Hotels and Resorts network.
  • By 2022, international hotel chains will account  for approximately 50% share of the tourism and  hospitality sector in India.
  • Technology and sustainability are increasingly being incorporated in the hospitality industry in recent times, where smart room technologies and technology based solutions have enabled a growing number of  businesses to promote eco-friendly and sustainable  hosting.

Equipped with an expansive geographical diversity, a plethora of world heritage sites, sustained institutional support, and unmatched tourist experience, India has the capacity to secure a sizable segment of the world travel market and establish itself as a premier travel  destination in the world.