DRNew Delhi: The Union Government has set a target of doubling the number of foreign tourist arrivals (FTAs) at 20 million as well as earnings from the sector by 2020, according to K J Alphons, Minister of State (Independent Charge) for Tourism.
In 2017, for the first time, FTAs touched 10 million, up from 8.8 million in 2016, when they had grown by 9.7 per cent over the previous year. “We have crossed 10 million FTAs in 2017 and if we include non-resident Indians visiting the country, the number goes up to over 17 million. In dollar terms, our earnings have gone up by 20.2 per cent, which is a very good growth compared to world tourism that grew by less than 5 per cent. We are getting good spenders who are contributing significantly to GDP and 12.6 per cent to overall employment. These are very encouraging numbers and the government is working towards doubling both the arrivals and forex exchange earnings in the next three years,” he said.
In an exclusive interview to Destination Reporter, Team India Tourism discusses plans and priorities for Incredible India 2.0
Minister Alphons said the Ministry is working with the states and the trade to achieve the targets. “They have a big role to play. So, we are all working together to make this possible. India is ranked 13th in terms of FTAs globally, and seventh in Asia Pacific,” he said. In 2016, the World Travel and Tourism Council had ranked the country at the seventh slot in terms of its size as a tourism economy with forex earnings of close to $209 billion or Rs. 14.1 lakh crore. This was equivalent to 9.6 per cent of the GDP.
Stating that launching the National Tourism Policy is one of his main priorities, the Minister said he is currently reviewing the draft. “I am also taking suggestions from several independent experts. The new tourism policy should be out in two-three months. It will have a vision for developing and positioning India as a ‘Must Experience’ and ‘Must Re-visit’ destination for global travellers. At the same time, we will encourage Indians to actively explore our own country,” he said.
Buddhist Circuit
According to Minister Alphons, the Ministry is hugely focussing on developing infrastructure around the Buddhist Circuit. “Buddha and India are inseparable. Buddha lived all his life in Uttar Pradesh and Bihar. So, we have so many historic sites to leverage. There is huge potential as the circuit can attract tourists from Japan, Korea and China. These are high spending tourists and their patronage of our land can provide employment to many more people. Even if we increase the current Buddhist inflow from 0.001 per cent to 0.01 per cent, the upside will be billions of dollars in revenue. We already have funds approved for numerous infrastructure projects for the Circuit. We need to do a lot more. Constraints I see are lack of hotel rooms at all these centres and also MICE facilities. Cleanliness is another important aspect,” he said.
The Minister added that the development of tourism infrastructure is already happening through two schemes – Swadesh Darshan – Integrated Development of Theme-based Tourist Circuits and PRASAD – Pilgrimage Rejuvenation and Spiritual Augmentation Drive. “Guruvayoor, Sabarimala and Sri Padmanabha Swamy Temple are all part of the scheme. I want to take up Sree Narayana Guru circuit and St. Thomas circuit too. These are in the drawing board stage,” he said.
Giving a major fillip to the industry, the Ministry of Tourism is actively considering pushing for according infrastructure status to the tourism industry for projects up to Rs. 50 crore. “We will soon approach the Union Cabinet for its approval of the same. With the infrastructure status, entrepreneurs can seek money from formal banking sector at cheaper rate and for longer period,” he said.
Underlining that the most enabling factor in achieving the targets set by India Tourism is cleanliness, Alphons said: “If we have to progress, we need to look at our backyard. The PM’s obsession with cleanliness is in that context. In the last three years, we have constructed 4.69 crore toilets. We can do all this but keeping it running and clean is the people’s responsibility. Hence, awareness campaigns are in full swing. It’s showing results too. Look at Indore, which is now one of the cleanest cities in India. Or Jaipur. The Municipal Corporation decided to keep it clean and the people supported it. Local bodies have to take it up diligently.”
The Union Minister also said the Ministry is working towards building an infrastructure plan to tap the immense tourism potential of India’s North East region. “The Union Government has been focussing on improving all round connectivity of North East region with rest of India. This will definitely have a positive impact on the development of tourism in the region. Through ‘Act East Policy’, the Government is actively considering the development of the North East region as a cultural, trading and commercial hub of South East Asia,” he said. Minister Alphons added that concerted efforts are required to fine tune the soft skills of the people of the region to meet the service requirements of the accelerated tourism economy.
Asked about the apprehensions raised by the trade with respect to GST, Minister Alphons said he is pursuing the demand to lower tax rates with the Finance Ministry. “I am taking it up with the Finance Ministry and hope to secure a favourable outcome that is more in line (rationalisation) with taxation of tourism industry in the South East Asia region. At the moment, our rates are three times higher compared to other countries in the region. If the rates can be lowered, I believe, more people will come in and make up for it,” he said, adding that GST has been the biggest tax reform in the country and whenever such changes take place there are teething problems.
North East Needs Big Push, says Rashmi Verma
Underlining the emphasis being accorded by the Union Government to India’s North East region, Rashmi Verma IAS, Secretary, India Tourism said better connectivity, coupled with an aggressive marketing campaign would help double the number of tourist arrivals in the region in the next five years. Over 1.6 lakh foreign and 77 lakh domestic tourists had visited North Eastern states during 2016, registering a 5.2 per cent increase over the previous year. In 2017, the region registered a 15.8 per cent increase. The Ministry of Tourism is now looking across the international borders for extending its marketing strategies for the North East. “We should think about offering customised packages which can bring tourists visiting the neighbouring countries also to North East India. We are also looking at tie-ups with neighbouring countries, ASEAN and BIMSTEC members for inter-regional cooperation for tourism,” Secretary Verma said.
Addressing the trade in New Delhi recently, the Secretary suggested the State Governments to increase funding for tourism sector to improve infrastructure facilities at destinations. “The State Governments have to create conducive environment for private sector to invest in the tourism sector,” she said, also advising the state tourism authorities to ensure safety and security for tourists at destinations.
Specific Campaigns, ‘Dubai model’ Needed: Suman Billa
The Incredible India 2.0 campaign aims to move to the next level of promotion and marketing with a shift from the present generic promotions being undertaken across the world, to market-specific and focussed promotional plans and content creation.
“For marketing India as a tourist destination, we come across this problem that India has too many products to offer and, therefore, tourists get overwhelmed, making it difficult for them to decide” feels Suman Billa IAS, Joint Secretary, India Tourism. “We, therefore, need to undertake specific campaigns that would be tailor-made and that is what we are doing for Incredible India 2.0. Besides, we need to prioritise our products because we cannot sell all the products at one time. Therefore, we have termed 2018 the ‘Year for Adventure Tourism’”. The Ministry has recently published one of the most comprehensive guidelines for Adventure Tourism.
Asked if India can have a national excise policy for tourists, Joint Secretary Billa said: “We should distinguish between what happens in political discourse and what happens as part of governance. What happens in politics does not really impact policies. Excise policy is done with an eye on local population. And no State has a policy tuned to foreigners unlike in Gujarat where the system is elaborate. From a tourism angle, wine and beer are critical. States should take an entrepreneurial position and look at income from tourism, jobs from tourism, what is the potential and where can they improve. If States take the lead, all the political hiccups can be addressed and kept away from impacting the tourism industry. Dubai is an Islamic State. Yet they serve alcohol and all kinds of food even during the Holy Month to visitors. This rationale is what we should also explore,” he said.
