travel and tourism. overview culture fairs and festivals cuisine music and dance art

Travel and Tourism

Overview Culture

Fairs and festivalsCuisine Music and danceArt

NatureWild lifeAdventureHill stations Beaches

SpiritualYoga AyurvedaPilgrimage

Industry Structure

Tourists-outbound, inbound & domestic

Players

Where Culture Echoes,Traditions Speak, Beauty Enthralls and Diversity Delights

This Is India WTTC has identified India as one of the fastest

growing countries in terms of tourism demand. Demand growth- estimates put it in excess of

250 million tourist per annum – While China and India used to attract the same

number of foreign tourists way back in 1978, today while more than 27 million international tourists visit the former annually, India manages only around one-twelfth of the above.

Tourists from US continue to remain the highest spenders

South Asia accounted for 26.5% of India’s inbound tourists.

India’s share in world tourism receipts has been 0.66%

Tourism receipts in India in 2003stood at US $ 3.04 billion.

21.1% tourists fall in the age category of 35-44 years, 20.1%25-34 years.

Estimated average length of stay of foreign tourists in India is 31.2 days. .

The domestic tourism has witnessed a sustained boom. 234 million

The tourism and travel economy contributes 4.8 per cent of GDP and 23,839,800 jobsPersonal travel-7.9% Business travel- 0.7 %Government’s expenditure on the sector -3.8%. Capital investments-6.8% Kerala leads India’s Tourism growth  India promotes cruise tourism

STRENGTHS Attractive natural diversity

Strong private sector

Large domestic tourism market

Political commitment to tourism development

Acknowledgement of private & public sector partnership

WEAKNESSES Limited market segmentation

Lack of awareness about India’s tourist potential

Lack of awareness about potential for employment & economic development

Decrease in number of foreign tourists

Political instability

OPPORTUNITIES Focus on the domestic market

Incentivising local travels

Selling India

SAARC countries : A viable target

Restrategise offerings to corporate clients

Co-operation among competitors

THREATS Competition from existing & future destinations

Under provision of infrastructure

Victim of seasonality

India’s image of an unsafe country

Lack of harmony among associations

Government initiatives

The government has waived the visa free for tourists coming from China and SAARC countries

Indian citizens already enjoy the privilege of non-requirement of visa to come to Nepal

Government of India has decided to set up two Bharat Darshan Parks at Bangalore and New Delhi.

The initial duration of the India Tourism Initiative is 5 years, now reviewed for progress on an annual basis .

Government has extended infrastructure status to tourism, thus opening the doors to cheap, long-term funds to help finance tourism infrastructure

•The divestment of government’s stake in government run hotels is another step in the right direction

•The ‘Incredible India’ campaign is a step in this direction.“

•The Government of India is open to 100 per cent foreign direct investment through the automatic route.

•Income tax exemptions and certain subsidies if the hotels or convention centres are set up in areas other than the metropolitan cities.

•A drastic reduction in tariff on import of capital goods, and concessional finance at the rate of 1 to 5% per annum

•21 Government-run Hotel Management and Catering Technology Institutes and 14 Food Craft Institutes were also established for imparting specialised training in hoteliering and catering.

•Department of Tourism has taken up three major infrastructure projects under Rural Infrastructure Development Fund of NABARD

• To boost tourism include grant of export house status to the tourism sector

•Incentives for promoting private investment in the form of Income Tax exemptions, interest subsidy and reduced import duty.

•Tourism Conservation, Preservation and Trade Act

•Entails automatic approval of direct investment up to 51 per cent of foreign equity and allowing 100 per cent non-resident Indian investment

•The present network of ITDC comprises 26 Ashok Group Hotels, 6 Joint Venture Hotels, 5 Restaurants, 11 Ashok Travel and Transport units, 29 Duty Free Shops at 6 Airports and a Down-Town Duty Free Shop in Delhi

• Govt. of India Tourist Offices in 18 destinations overseas have been promoting India tourism product

•Government has acted as facilitator and catalyst in encouraging private sector investment in development of tourism infrastructure

•Using of Television and Internet media for marketing

• Government of India has sanctioned projects worth of Rs. 15.00 crores during the year for infrastructure development and promotion.

The existing Export Promotion of Capital Goods Scheme (EPCG) was extended to tourism and related services:The simplification and rationalisation of taxes in all sectors of the industry. The reduction of customer taxation. The reduction of bureaucratic immigration procedures for foreign visitors, including smoother border controls.

Travel & Tourism - Door towards Entrepreneurial

Opportunities Brings great fortune to Entrepreneurs. Promotes this industry so as to safe

guard against the imbalances in its Balance of Payments account.

India stands far below in the world ranking in terms of utilization of its tourism resources and the opportunities. (Untapped markets)

Travel & Tourism - Door towards Entrepreneurial

Opportunities WTTC - Demand in India Rs 1,200 Billions &

by 2010 - 6,200 Billions. (Annual - 8.3%)

Market Study:– 2001 - 2.54 Millions– 2002 - 2.38 Millions (Dropped)– 2003 - 2.70 Millions– 2004 - 3.20 Millions (Estimated)

What Benefited Travel & Tourism Industry Growth??

The annual report of the ministry gives account of following three major initiatives taken with the view to benefit tourism -

Improved efficiency Govt. Of India tourist offices and the Ministry Headquarters.

Improved Touristic information to Tourists Improved Tourists facilitation.

Are you interested?? Are you interested?? Here are the roads for Here are the roads for your prosperity as an your prosperity as an

Entrepreneur!!Entrepreneur!!

Travel & Tourism Entrepreneurial Opportunities

Working as an Intermediary in Tourism Marketing– Bookings and referrals– Travel Agents– Travel Agency– Cyber Guides

Establishment of Cyber Cafe for tourists and others.

Travel & Tourism Entrepreneurial Opportunities

Entering into tourism related E- commerce ventures through portals.

Consultancy Services. Production of Tourism Oriented

Multimedia CD-ROMs Software Development and Data

processing works for Tourism Organizations

Travel & Tourism Entrepreneurial Opportunities

Souvenir Selling (Value addition in local aspects...e.g....Customized T- shirt printing, greetings, photos etc...)

Hardware Assembly and Maintenance for Tourism Organization.

Running Tourism related services e.g. Information kiosks, Internet Telephony Centers, PCO,etc.

Travel & Tourism Entrepreneurial Opportunities

Running Simulation tours through specialized multimedia devices and software in context to the destination.

Production of Albums with colour printers and digital cameras displaying tourist’s photographs blended with the related description.

There can be There can be many more many more ventures of ventures of

derived types....derived types....