Tourism on the rise, industry needs more infra support

IN a world fractured by geopolitical conflicts, it seems incongruous to talk about rising tourism and leisure activities. The fact is, despite strife in several parts of the world, more people than ever before are travelling to distant destinations on holidays. The clampdown on travel during the Covid pandemic was followed by a spurt in global travel in 2022; projections for 2023 are that the tourism sector will return to pre-pandemic levels. The conflict in West Asia is likely to affect the upbeat forecasts made by the World Trade and Tourism Council (WTTC), but the extent can only be determined in the coming months. As of now, the WTTC expects 5.8 per cent growth for this sector to continue annually right up to 2032, considerably higher than the 2.9 per cent rise expected in the global GDP.

In India, the geopolitical scenario has already made an initial impact on one of the key tourism destinations, Goa. It is well known that charter flights from Russia and its neighbours like Kazakhstan and some European countries form a big part of the winter rush to this tiny state. Latest reports indicate that the Ukraine-Russia war has cut down the tourist arrivals from these regions. The effects of the West Asia war have also reduced travel numbers as hopes have been dashed for the launch of charter flights from Israel.

Despite these apparent setbacks, the overall trends remain buoyant for domestic tourism. There are reports that key destinations like Goa and Udaipur will continue to be thronged by travellers during the peak winter months as hotel bookings are rising rapidly and occupancy levels are high. In other words, the peripatetic domestic traveller is compensating for the loss of foreign tourism in many parts of the country. This compensation is in the form of conferences, destination weddings and individual holiday travel, which is evident in the increased passenger traffic by air as well. So the good news is that domestic tourism is rebounding back to pre-pandemic levels while foreign tourism is also rising, though not at the same rapid rate owing to disturbed conditions abroad. The first six months of 2023 apparently saw a virtual doubling of foreign tourist arrivals to the country. The not-so-good news is that this country with all its much-vaunted historical monuments and wildlife reserves is still not high in the rankings of global tourist destinations.

According to the World Economic Forum’s Travel and Tourism Development Index, India is at the 54th position on the list of 117 countries. Japan tops the list, followed by the US, Spain and France.

It thus appears there are many countries that may not have all the splendours of antiquity that our countrymen never cease to boast about, but tourist footfall is not matching up to the potential. It is strange that a country which encompasses breathtaking monuments like the Taj Mahal, pristine beaches on both the west and east coasts, and hilly terrain with eye-catching landscapes in the northern region is not able to woo more foreign tourists to its shores. In contrast, countries which have fewer attractions are able to draw many more visitors.

Many reasons exist for this lacuna and surprisingly, several can be easily resolved. The first, which is mentioned time and time again by studies on tourism issues, is the need to improve cleanliness and sanitation facilities at major tourist destinations. Undoubtedly, the situation has improved remarkably in recent years as the requirement for such basic infrastructure has been recognised by the tourism authorities. Even so, it is imperative that as historic monuments are being upgraded and restored in many parts of the country, including the Capital, sanitation facilities be simultaneously expanded to cope with the increase in tourist footfall.

The second is the need for going beyond the traditional tourist destinations that have been the main attraction for decades. The focus needs to shift away from the golden triangle of Delhi, Agra and Jaipur, although it’s essential to continue upgrading basic facilities even in these areas. The lack of trained guides as well as absence of a proper regulatory system in strategic locations like the Taj Mahal was highlighted recently in a report that a fake guide took a top US functionary around the monument.

No one can downplay the allure of the numerous ancient sites in the country, but it is important to develop new areas of tourist interest such as the popular adventure tourism segment. The vast mountainous regions of the Himalayas can be exploited much more than has been done so far. Similarly, newer regions like Arunachal Pradesh need to be opened for tourism. The state encompasses a vast area with breathtaking natural beauty and a unique tribal culture. The caveat, naturally, must be that ecological considerations are kept in mind in any such development.

While discussing the potential of tourism, its critical role in the economy is often downplayed as it is considered a peripheral services sector. On the contrary, the industry is a huge employment provider with 80 million persons having been engaged directly or indirectly in the pre-Covid era. The industry virtually collapsed during the pandemic but has now regained buoyancy. Its health needs to be taken more seriously as it contributes to nearly 5 per cent of the country’s GDP.

In fact, the post-Covid relief packages announced by the government did little for a sector that employs millions of skilled and unskilled persons. The resurgence of the industry can be largely attributed to the global surge in travel and tourism. The recent blip in tourist arrivals due to the Ukraine war has fortunately been made up by the exponential growth in domestic tourism. One reason why domestic destinations have become more popular in recent times is the travel restrictions imposed in the gradual recovery from the pandemic in certain countries. With tourism expanding globally despite the tense geopolitical situation, this is an industry that needs to be given more support in terms of improved infrastructure. The investment will yield rich long-term dividends through more jobs and higher economic growth.