Maharashtra tops in investments in hotels & tourism industry: ASSOCHAM study

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tourismWith a share of almost 17%, Maharashtra has emerged as the top state in terms of attracting investments in the hotels and tourism industry across India, noted a just-concluded study by apex industry body ASSOCHAM.

Maharashtra has attracted investments worth over Rs 15,500 Cr of the total outstanding investments worth over Rs 93,400 Cr attracted by the hotels and tourism industry in India as of June 2016,” noted the study titled ‘Domestic Tourism: Tap the treasure,’ conducted by The Associated Chambers of Commerce and Industry of India.

Gujarat at 14.5%, Karnataka with 12%, Tamil Nadu 10% and West Bengal 9% also figure among top five states in this regard, highlighted the study.

Though more emphasis is being laid upon luring foreign tourists in India, interestingly the share of domestic tourists travelling within India has increased from 95.5% in 1991 to over 98% in 2015, while share of foreign tourists has decreased significantly from 4.5% to 1.6% during this period, noted the study.

“Given the growth of India’s economy, expansion of middle classes and ongoing westernisation of their lifestyles, the relative importance of domestic tourism can only be expected to increase exponentially over the coming decades,” said D.S. Rawat, secretary general of ASSOCHAM while releasing the findings of the chamber’s study

“The number of domestic tourist visits in India can increase from over 143 crore in 2015 to over 227 crore by 2020,”

“More so as domestic tourism provides much needed employment to thousands of small-scale entrepreneurs and low scale workers something which the country requires to utilize its growing demographic dividend,” Rawat said.

Perking up infrastructure, building tourism industry on core and naturally viable resources, better co-ordination amid various government agencies and departments, promoting concepts like tourism circuits through effective marketing plans, programmes and road shows are certain key suggestions to enhance potential of domestic tourism sector in India, suggested the ASSOCHAM study.

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