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Maintaining the Fast Growth of Tourism in India

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  • 50 new tourism destinations planned
  • 59 new air routes to come up
  • 305.4% FTA annual growth to reach 30.5 million by 2028
  • Tourism & hospitality to generate over USD 59 billion by 2028…
  • To create 53 million jobs
  • Jobs also include chef, front desk manager, housekeeping, & tour guide profiles

India’s has risen to the 39th place on the World Economic Forum’s Travel & Tourism Development Index 2024.

The Travel & Tourism Industry (T&T) contributes 7% to India’s Gross Domestic Product (GDP).

Religious / Pilgrimage Tourism CAGR projected at 16% between 2023-30.

The Government of India has chalked out major plans to revamp the travel and tourism industry and is fast developing to make India as a major tourist destination, both locally and internationally.

This growth will have a spillover effect on affiliated segments, including hospitality, staycations, infrastructure, real estate, HoReCa, transportation, last mile connectivity, banking, fuel and art & culture among others.

Amid the various industries that are being developed to steer the economic growth of India, T&T has picked up pace with the Rs.85,000cr Ram Mandir-Ayodhya project taking off. It is well understood that what is made has to be maintained and, on these lines, Clean India Journal explores the tremendous scope for the cleaning, hygiene & facility services industry in the T&T sector. Read on to know the new projects in the pipeline and what are already operational to how these properties are being maintained or should be maintained.

Over the last decade, various schemes have been developed to promote tourism in India. The PRASAD Scheme (Pilgrimage Rejuvenation and Spiritual Augmentation Drive) and five programmes under the Swadesh Darshan focus directly on religious / pilgrimage tourism. A total of 23 projects have been sanctioned for an amount of Rs.1375.43 crore for the five programmes under the Swadesh Darshan Scheme. Additionally, 57 new destinations, including religious/spiritual destinations, have been identified for development under the Swadesh Darshan 2.0. A total of 46 projects have been sanctioned for an amount of Rs.1631.93 crore and 27 new sites has been identified for development under the PRASHAD Scheme.

The recently launched Ram Mandir at Ayodhya is one of the major developments under the Swadesh Darshan Scheme. This includes Ayodhya Bus stand and other transportation services, parking spaces (Ram Katha gallery), solar lighting of the entire area, street lighting, shelter homes, ashrams and more. In all, the Ayodhya city has attracted infrastructure investments worth over ₹85,000 crore and city beautification projects worth ₹30,570 crore.

The direct impact of Ayodhya’s religious tourism development are:

Banks: Lenders, including HDFC Bank, J&K Bank, and Karnataka Bank open bank accounts of the Ram Mandir Trust to collect donations and payments for various events at the temple.

FMCG: Investments in packaged water, soft drinks, and fast-food services.

Hotels: Many hoteliers like Taj, Radisson, and ITC are building 73 new hotels in Ayodhya.

Real Estate: Land prices in and around Ayodhya have risen as high as 10x from 5 years ago!

Travel: Since the start of 2024, the travel and tourism sector has seen a huge surge in travel searches and bookings for Ayodhya, sending stocks of Thomas Cook (31.71%) and EaseMyTrip (16.09%) soaring in January 2024.

According to recent reports, the T&T market in India is expected to generate a revenue of US$23.72bn in 2024. The CAGR 2024-2028 of 9.62% is expected to result in a market volume of US$34.25bn by 2028.

As of February 2024 report, India has over 750,000 temples; more than 600,000 mosques; 25,700 churches; 6,414 Gurudwaras, and around 8,949 Jain temples.

The National Tourism Policy, 2022, aims at improving framework conditions for tourism development in the country, supporting tourism industries, strengthening tourism, support functions and developing tourism sub-sectors and focusing on five key areas: green tourism, digital tourism, destination management, skilling in the hospitality sector and supporting tourism-related to MSMEs.

Speaking of green tourism, energy conservation and alternative energy is a major focus. Praycations are now being powered by solar energy. There is a major push on green initiatives to promote responsible tourism and to ensure that small businesses have the resources for green investments and to create local jobs. Keeping with the country’s goals, the airports, existing and coming up, in these religious sites are equally driven by the green concept. Around 25 airports in India are using 100 percent green energy while another 121 airports will be made carbon neutral by 2025.

Environmental sustainability initiatives are a must to combat the ecological impact of tourism on religious places. Afforestation drives, waste management systems, and eco-friendly transportation options can promote environmental conservation and preserve the natural heritage.

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