SOARING TOURISM AND ITS

SOARING TOURISM

AND ITS EFFECT

ON ECONOMY OF

RAJASTHAN

SOARING TOURISM AND ITS

ECONOMIC EFFECT

IN

RAJASTHAN

“THE WORLD IS BOOK AND THOSE WHO DO

NOT TRAVEL READ ONLY ONE PAGE”

-ST AUGUSTUS

RAVING TOURISM INDUSTRY

� Exponential growth

� Generated revenue US$ 3.4 trillion globally.

� Every 10th person employed in this industry.

source :wikipedia

TOURISM IN INDIA

� ranks 44th in the top 60 destinations

� earning Rs.12000 Crores in foreign exchange

� 12.9 million jobs, thus providing 1 in 15 jobs in the country.

source :wikipedia

TOURISM SCENARIO IN RAJASTHAN

� Tourist arrival increased four folds in last 30 years.

26.63 million tourist received in 2011-12� 26.63 million tourist received in 2011-12

� Employs 0.1 million directly , 0.3 million indirectly contributing over Rs. 2000 crores

Source : www.india.gov.in

INDUSTRY STRUCTURE

IMPACTS OF TOURISM

IMPACT ON EDUCATION

� Introduction of new courses somehow related to tourism eg.- M.T.TMan

� Lead in sprucing skills & employment spurts indirectlyindirectly

� New establishment of edu. Institutes more

MORE services req.

MORE REVENUE

EMPLOYMENT

TOURISM

EDU. INSTITUTES

STIMULATION OF INFRASTRUCTURE

INVESTMENT

� Tourism can induce the local government to make infrastructure improvements such as better water and sewage systems, roads, electricity, telephone and public transport electricity, telephone and public transport networks

� can improve the quality of life for residents as well as facilitate tourism

EMPLOYMENT GENERATION

� rapid expansion of international tourism has led to significant employment creation

generate jobs directly through hotels, � generate jobs directly through hotels, restaurants, nightclubs, taxis, and souvenir sales, and indirectly through the supply of goods and services needed by tourism-related businesses

FOREIGN EXCHANGE EARNINGS

� Tourism is one of the top five export categories for as many as 83% of countries and is a main for as many as 83% of countries and is a main source of foreign exchange earnings for at least 38% districts of Rajasthan.

source : wikipedia

RAJASTHAN: LAND OF KINGS

� Largest state

� Host aravalli ranges

� Thar desert in west

DOMESTIC VS FOREIGN TOURISTS

2007 2008 2009 2010 2011

Source : Google

Source : Google

AMER FORT

� Very popular among foreign tourist

� 5000 visitors per day

� 2 million visitors

� Generate 1.6 million US$ revenue.

� Identified by WMF as one one 100 endangered sities in world

� INR 40 crores were spent by ADA

� Source: india.gov.in

HERITAGE TOURISM

� best Forts and Palaces in the country.

� pioneer state in launching Heritage hotels.

� 39 recognized Heritage hotels in Rajasthan.

� Heritage hotel movement.

source : raj. Tourism website

TOURIST TRANSPORT (RAIL)

� Major destinations in Rajasthan are already on the rail Map.

special tourist trains for site seeing.� special tourist trains for site seeing.

� Palace-On-Wheels running successfully.

� economy version of luxurious Palace-On-Wheels coming soon

TOURISM AND WILD-LIFE

� 23% natural vegetation cover

� 39 national parks and sanctuaries

� Sariska ,keoladeo ghana,ranthambhor very popular

Aravalli range� Aravalli range

source : raj. Tourism website

PROMOTING TOURISM

� Relaxations in existing acts & rules

Following concept of e-governance for � Following concept of e-governance for transparency

� Compromising revenues : following policy of “SOME PAINS WITH SOME GAINS”

EN

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INCENTIVES BY CENTRAL GOVT.

� TFCI extends loan of Rs. 3 crores & above for hotels

3% interest subsidy on loans, even 5% subsidy for � 3% interest subsidy on loans, even 5% subsidy for specific areas

� 50% of profit derived from forex is exempted from hotels , tour operator

source : report by govt. of india on raj. tourism

INCENTIVES BY STATE GOVT.

� Remission in Stamp Duty: 50% exemption in urban & 100% in rural areas

Remission in Land Building Tax: 100% � Remission in Land Building Tax: 100% exemption in Land & Building Tax

� Exemption in Luxury Tax: : for newly constructed hotels 50% exemption in urban & 100% in rural areas

source : report by govt. of india on raj. tourism

SIMPLIFICATION OF LAND

CONVERSION RULES

� Conversion of land for tourism units @ rates of industrial units in urban areas

Same in rural areas done @ nominal cost of Re.1/-� Same in rural areas done @ nominal cost of Re.1/-per sq. mtr.

� Concessions in Bar License Fees to Heritage hotels

RTDC AS CATALYST FOR

TOURISM DEVELOPMENT

� Development of tourism related infrastructure.

� setting up hotels and other projects.

� Joint ventures with private parties for development of tourist sites

PROMOTION OF HANDICRAFTS AND

COTTAGE INDUSTRIES

� rich and varied heritage of handicrafts.

� improve direct access of tourists to artisans

� A Handicraft Museum would also be set-up.

� RTDC will increase shopping arcades and set-up Shilpgrams at various tourist destinationsShilpgrams at various tourist destinations

NEGATIVE ECONOMIC IMPACTS

OF TOURISM:

1. Leakage

2. Enclave tourism

3. Infrastructure cost3. Infrastructure cost

4. Increase in prices

5. Economic dependence

6. Seasonal character of jobs

THANK YOU

� Presented by-

(1) Hemant Kumar (2) Divyanshu Chandak� (1) Hemant Kumar (2) Divyanshu Chandak