Tourism in India

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Tourism in India

• A service sector growth industry

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India An emerging superpower
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• Indias GDP will exceed
• Italys in 2020,
• Frances in 2020
• Germanys in 2025 and
• Japans in 2035
• Goldman Sachs Projections (US 2003 Billion)

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Tourism growth in India

• According to World Tourism Organization
  estimates, India will lead in South Asia with 8.9
  million arrivals by 2020
• India is poised to emerge as the 2nd fastest
  growing (8.8) tourism economy in the world over
  2005-14 according to the World Travel Tourism

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Foreign earnings

• There has been a growth of more than 13 in
  foreign tourist arrivals at 3.9 million during
  2005, up from 3.4 million foreign tourists who
  visited India during previous year.
• Foreign exchange earnings from foreign tourists
  were up by more than 20 at 5,730.86 million in
  2005, up from 4,769 million earned the previous
  year.

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Air travel and India

• Indian air travel to grow 20 each year for the
  next 5 years
• Government and private operators will invest 20
  billion in aircraft and infrastructure over the
  next five years
• Air India will be adding 68 aircraft to its
  present fleet, Indian Airlines 43 and private
  airlines around 275
• By 2010, Indian airports will be handling between
  90 and 100 million passengers (59 million
  domestic 35 million international passengers)

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Tourist destinations

• North East States such as Sikkim, Assam and
  Nagaland have emerged as major players. The major
  focus in 2005 was to develop tourism
  infrastructure in the region.
• New States Uttaranchal attracted 14 million
  tourists and in 2004 witnessed a growth of 40 in
  2005. Major focus on marketing to attract high
  spending tourists, initiatives to create
  world-class infrastructure.
• Beautiful South Aggressive marketing has helped
  achieve over 25 growth in tourism in southern
  states. Andhra Pradesh and Karnataka are
  witnessing an upswing in foreign tourists.

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Forms of tourism

• Cultural tourism Round Trips covering the
  popular circuits comprising of the Golden
  Triangle, Rajasthan, N. India in South the well
  known temples, backwaters beaches.
• Mass tourism Goa is a tourism based economy and
  a leader in this sector, is all set to promote
  mass tourism. Goa also won the 2nd most popular
  winter destination in UK.
• Commonwealth Games 2010 the government is
  investing in infrastructure, to further develop
  tourism in and around Delhi.

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An all-year round destination.

• Throughout the world, India is perceived as a
  October to April winter destination.
• Marketing initiatives by both the Government and
  the private sector is now successfully addressing
  changing this perception.

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New Tourism Products

• Monsoon magic - focus on months from April to
  October
• Rural village tourism - the tourism ministry is
  laying special emphasis on infrastructure
  development in various rural destinations in
  India.
• Medical tourism - the Indian Healthcare Delivery
  market is estimated at US 18.7 billion. The
  industry is growing at about 13 per cent
  annually.
• Luxury tourism e.g. Palace on Wheels, Palaces
• Adventure tourism with emphasis on eco-tourism

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Benefits of tourism

• There has been a positive change in perception
  about the benefits of tourism in the minds of
  planners, policy makers and as well as state
  governments in India.
• Tourism is now being seen as an engine of growth
  for the economy and a key employment generator.
• Low Capital Investment in the trade.
• Imports earn foreign exchange.
• Cultural revival/ regeneration

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Ecotourism in Kerala

• There has been a major growth in ecotourism that
  is sustainable and environmentally non-invasive.
• Resorts are designed using local labour forces
  and local materials.
• Energy sources are sustainable cow dung and wood

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The market for Ecotourism

• Ecotourism tends to be geared to a young and
  wealthy market.
• Activities are marketed and life style emphasised.

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Medical tourism in India

• Medical care in the USA and private health care
  in UK is very expensive. India has well-trained
  doctors who will work for a lower fee than they
  could expect abroad.
• Medical tourism offers people the option of knee
  replacements, hip replacements, heart care,
  cosmetic dental surgery in India.
• Hundreds of people have treatment abroad, saving
  them a great deal of money in treatment costs.

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Sample costs
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Discussion points

• What does India have to offer tourists? Do some
  personal research.
• What impact could tourism have on local
  economies?
• What impact could tourism have on local
  environments and local traditions?
• Should people fly long distance for eco-tourism?