SENTHIL KUMAR: Tourism issues and Budget 2014

Tourism issues and Budget 2014 provisions

· Tourism contributes to 9% of global GDP. >6 trillion USD in absolute terms.

· >25 crore people employed worldwide. 1 in 11 of total world jobs comes from tourism.

· But, India has not tapped the full potential of its tourism sector. Hardly 4 crore people employed.

India

has not been able to convert its comparative natural and economic advantages into competitive advantages.

Budget 2014: tourism related announcements

PRASAD	National Mission on Pilgrimage Rejuvenation and Spiritual Augmentation Drive
Tourist circuit	Will create 5 tourist circuits around specific themes
Sarnath-Gaya-Varanasi	Buddhist circuit would also be developed with attract foreigners
HRIDAY	National Heritage City Development and Augmentation Yojana (HRIDAY) for Mathura, Amritsar, Gaya, Kanchipuram, Vellankani and Ajmer. with help of PPP, universities and local community
Goa	Already declared as permanent venue for International Film Festival of India. (IFFI)We’ll setup infrastructure for world class convention /events.
Tour Operators	Don’t need to pay service tax, if serving foreign tourist for foreign trips. (e.g. yatra.com and other online sites)
Status of Unity	Funding for Sardar Patel’s statue over Narmada Dam in Gujarat.
Archeological sites	Rs.100 crore for their preservation

Tourist Arrivals in India (2012 and 2013)

E-Visa:

India

gets less than 70 lakh foreign tourists every year (rank 41st). In next 3-5 years, we want to receive >1 crore tourists.

Budget 2014: E-visa
Solution	Electronic Travel Authorization (e-Visa).
Feature	Foreigner applies online, he’ll get visa in five days.
Benefit	Will increase foreign tourists by 25%.
Where	9 airports, in phased manner.
Timeframe	within next 6 months
Challenge	Need 600 men in Home ministry to implement it.

E-Visa:

India

gets less than 70 lakh foreign tourists every year (rank 41st). In next 3-5 years, we want to receive >1 crore tourists.

Budget 2014: E-visa
Solution	Electronic Travel Authorization (e-Visa).
Feature	Foreigner applies online, he’ll get visa in five days.
Benefit	Will increase foreign tourists by 25%.
Where	9 airports, in phased manner.
Timeframe	within next 6 months
Challenge	Need 600 men in Home ministry to implement it.

UNESCO World Heritage Sites in India

Visa on arrival Scheme:

Under Home Ministry
2010	Scheme started for five countries (Japan, Singapore, Finland, Luxembourg and New Zealand)
2011	Six more added (Cambodia, Laos, Vietnam, Philippines, Myanmar and Indonesia)
Feb 2014	180 countries

What is the mechanism for visa on arrival?

· Foreigner applies online three days before his arrival in India.

· Gets visa on airport, 30 days validity, cannot be renewed.

The countries that are not eligible in Visa on arrival scheme are:

(1) Pakistan (5) Iraq

(2) Sudan (6) Nigeria

(3) Afghanistan (7) Somalia

(4) Iran (8) Sri Lanka