Fasten your seatbelts – With India’s growing status in the world, thanks to its booming economy, a preferred market for investors or its allure as a popular destination for travel enthusiasts world over, the country is truly poised for take-off when it comes to being a destination for international tourists.
As we step into 2024, the spotlight shines bright on the vast potential for tourism in India, thanks to its geographical diversity and myriad cultures, each offering a unique and captivating experience. Between January and September 2023, India experienced an influx of 6.43 million Foreign Tourist Arrivals (FTA.) . Fueled by emerging market trends, it is anticipated that this figure will ascend to pre-pandemic levels by the end of this year, positioning India as an enticing and flourishing market for international travelers.
Delving deeper into these emerging “trends”, it’s evident that consumers are venturing into the realms of the “less traveled”, exploring destinations far removed from the typical landscapes of India’s mainstream cities. Within India, the quest for offbeat destinations, away from metropolitan cities, is driving a notable shift in the inbound tourism segment. Per a recent Visa study during the remarkable ICC Men’s Cricket World Cup 2023 held in India, many visiting international tourists extended their trips to destinations such as Jaipur, Agra, Goa, Varanasi, and Udaipur.
Noteworthy trends are seen in the space of spiritual, medical, business, MICE, sustainable and adventure tourism, each playing a pivotal role in shaping this evolving landscape. A comprehensive report, “Charting the Course for India – Tourism Megatrends Unpacked, jointly conducted by Visa and EY, mentioned that the spiritual tourism segment in India, that has drawn millions of tourists on a journey of yoga, discovery, divinity and philosophy, is poised to attract a staggering 30.5 million international visitors by 2028. Additionally, with Ayodhya experiencing a surge in tourism due to the new Ram Temple, complemented by concerted efforts from the Indian Government to amplify inbound tourism and connectivity, the overall international travel influx into India is primed to reach unprecedented levels.
As tourism continues to evolve in India, travelers’ cross border payment preferences continue to shift. There is an increasing preference for adopting quick and simple payment methods – and the proof is in the TAP! Card based ‘Tap to Pay’, or Phone based ‘Tap to Pay’, where the card is securely and digitally stored on the phone, is seeing unprecedented growth in merchant payments, and more so when it comes to transit. For instance, Transport for London (TFL) sees a sizeable number of transactions from international tourists every year. More and more Metro, City Bus and Ferry operators are adopting this seamless mode of tapping a card to pay for ticketing worldwide, saving commuters millions of hours in queuing every year. As India seeks to attract more and more foreign international travelers, this is one area worth investing in.
With respect to Tourism, it will not be justified to only project Ayodhya as just a religious center as that brackets interests and limits the destination’s profile. The best projection of Ayodhya would be as a ‘Spiritual Center’ and a ‘Center of Human Idealism’, unbracketing Ayodhya from the parenthesis of religion and resonating the concept of “Ram hein Sabke Ram – jan jan ke Ram, karnd karnd mein Ram, sharnd sharnd pe Ram” (Ram belongs to all, he is for everyone. Ram is in every whit, Ram is there for us each moment).
While the credit card market in India is experiencing significant growth, merchants will do well to ask their acquiring bank that provides the POS terminal for international payment acceptance, especially if they cater to international tourists. Since sustainable tourism is also a segment taking the centerstage for the international travel community, the quest for traveling to offbeat locations will mean tier 2 and tier 3 regions in the country must also ramp up acceptance of internationally ubiquitous digital payments, to cater to the international customer used to paying with their cards.
India’s strides towards securing its position as the world’s fifth-largest market for travel and tourism persists and with that, comes remains an untapped potential for the country to shine even brighter on the global stage. By placing increased emphasis on critical elements such as security and convenience, user-friendly innovations, comprehensive consumer education, and widespread payment acceptance within the travel and tourism sector, India can maximize its trajectory of tourism. On this National Tourism Day, we must all, as stakeholders, commit to offer consumers tech-enabled innovative solutions, as we do our bit to foster a robust, resilient, and thriving tourism industry in India.
The author is the Business Head, Cross Border Payments, at Visa India and South Asia.
Disclaimer: The views expressed are solely of the author and ETTravelWorld.com does not necessarily subscribe to it. ETTravelWorld.com shall not be responsible for any damage caused to any person/organisation directly or indirectly.
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Over the past two decades, Kerala has solidified its position as a tourism superpower, earning over 60 accolades, which has also labeled it a destination not to be missed in a lifetime.
With an impressive growth rate of 19.34 per cent and a record number of 159.69 lakh visitors from within the country during January-September 2023, Kerala Tourism‘s initiatives have cemented the state’s reputation as a safe, hospitable, and all-weather holiday paradise.
Now, their revamped strategy focuses on introducing new destinations, creating innovative tourism circuits, notching up efforts for heli-tourism and adventure in the states, investing in infrastructure, cruise tourism, and expanding the Responsible Tourism (RT) initiative, said Kerala Tourism Director, P B Nooh.
New destinations, circuits & development projects on the anvil:
Examining last year’s statistics until September, domestic tourist arrivals in Kerala reached 15.9 million, with an all-time high of 18.8 million visitors recorded in 2022. Despite this peak, the state is yet to surpass pre-pandemic numbers. Nooh affirmed that 2022 marked the best year for Kerala’s domestic tourism, expressing optimism about reaching pre-pandemic tourist figures this year.
To address the challenges posed by the surge in both domestic and international tourism, particularly in managing crowds at traditional hotspots, the state government has introduced the destination challenge. Nooh explained that this initiative aims to develop a new destination in every gram panchayat, focusing on the creation of small village destinations. “With 1000 gram panchayats available, the objective is to redirect domestic tourists away from major destinations, ensuring sustainable tourism growth.”
“Kovalam, an established destination for the past 20-25 years, is undergoing a significant transformation with an investment of around 93 crores. Looking ahead, the spotlight is on the most significant destinations in development—Varkala and Vagamon. These projects are undergoing a massive revamp and have received funding under both central and state government schemes,” Nooh told ETTravelWorld.
Also, noteworthy investments have been made, particularly along the state’s 580-kilometer coastline. Muzhappilangad beach, with an investment of approximately INR 230 crore, stands as a testament to this dedication, shared Nooh.
“Varkala beach, too, has garnered attention from investors, with other islands being developed through a collaboration of private industry and government support,” he shared, adding that Backwaters, housing a one third of Kerala’s population, remain a unique strength and experience for tourism.
Further, the department plans to develop thematic tourist circuits. “Literary circuits, covering the trail of renowned Kerala-based authors and locales associated with their literary works as well as a biodiversity circuit connecting some major destinations, are being actively planned for this year,” informed Nooh.
Speaking in general about the economic impact of the tourism sector for Kerala, Nooh termed it as substantial, adding that the direct earnings from domestic tourists in 2022 amounted to INR 24,588.96 crore. The tourism sector’s contribution to Kerala’s GDP reached 10 per cent, generating around 15 lakhs jobs, both directly and indirectly, he pointed out.
Setting the stage for heli, adventure & wedding tourism
In a bold move to elevate Kerala’s tourism experience and as part of its aggressive campaign to increase the domestic tourist footfalls, Nooh also announced the ‘Sky Escapes’ heli-tourism project yesterday. Branded as a potential game-changer akin to the impact of houseboats three decades ago, this initiative aims to connect the state’s top destinations through a comprehensive heli-tourism policy.
“Kerala has become the first state in the country to come out with a comprehensive heli-tourism policy. A micro-site has been created giving details of travel packages offered by the helicopter service providers,” stated Nooh.
This initiative, in line with Kerala Tourism’s campaign — Make up for lost time, pack up for Kerala, will be of enormous help to tourists planning to visit various destinations in a single trip, making the state an inter-connected tourism hotspot, remarked Nooh.
This initiative he said will revolutionise the way tourists experience Kerala, provide an efficient and seamless travel experience, while offering a unique aerial perspective of diverse landscapes and cultural sites. This will include city rides for short trips and destination-to-destination rides, said Nooh.
The government’s commitment to placing Kerala on the global adventure tourism map also takes center stage this year with the recent announcement of four international adventure sporting events. These include International Paragliding Festival at Vagamon in Idukki from March 14 to 17, International Surfing Festival at Varkala from March 29 to 31, mega mountain biking event, MTB Kerala 2024, to be held at Priyadarshini tea plantation in Mananthavady, Wayanad, from April 26 to 28 and The Malabar River Festival 2024 will be held at Kodencherry in Kozhikode from July 25 to 28.
Recognising the anticipated 20 per cent global growth in adventure tourism by 2032, these events are poised to showcase Kerala’s diverse geography, featuring mountains, rivers, beaches, and canals, added Nooh.
In addition to its captivating natural beauty and scenic locales, Kerala Tourism is also planning to position the state as an ideal wedding destination. The department officials say that Kerala’s serene backwaters, bordered by swaying palm trees, pristine beaches, and mystical hill stations adorned with expansive tea and spice plantations, establish a perfect ambiance for couples to tie the knot or head for a honeymoon.
Nooh, during his presentation, also emphasised the growing trend of hosting destination weddings across the state. Recognizing the substantial appeal, the government is dedicated to fostering a conducive environment for destination weddings. “The objective is to attract couples from across the globe, thereby not only enhancing the tourism landscape but also contributing to the growth of local economies,” he added.
These theme-based tourist circuit trains aim to showcase India’s rich cultural heritage and magnificent historical places. The trains have covered major tourist circuits like Shri Ram-Janaki Yatra: Ayodhya to Janakpur; Shri Jagannath Yatra; Garvi Gujarat tour; Ambedkar Circuit; North East tour, among others.
Cruise Tourism: A new horizon
While speaking to ETTravelWorld on the sidelines of a partnership meet, director Nooh hinted at the upcoming developments in cruise tourism. “Eight ports are in the pipeline as part of the cruise tourism initiative, with Beypore set to debut as one of these ports this year. This strategic move seeks to diversify Kerala’s tourism offerings and capture new segments of the market,” he added.
In one of recent statements, Kerala state government had revealed plans to inaugurate cruise ship services from Beypore in this year, with the increased funds earmarked for port dredging. The allocated funds will be utilized to enhance the river’s depth at the port, with the objective of commencing cruise ship journeys from Beypore before the next edition of the Beypore International Water Fest (BIWF).
Finance Minister Balagopal highlighted the initial launch of domestic cruise ships with a capacity of 300 to 500 passengers. This move is anticipated to play a pivotal role in boosting tourism within the state, drawing larger crowds to the annual BIWF event.
Championing responsible travel
“In recent years, Kerala has emerged as a key responsible tourism destination. This also means that we have consistently ensured that visitors become responsible travellers, while also contributing to the betterment of local communities,” Nooh reiterated, adding that wellness, and responsible tourism will be taken forward with a greater sense of purpose and vigour in 2024.
Besides this, the state government is actively involved in the caravan park initiative, with three parks already under construction. “Simultaneously, the private sector is contributing to this endeavor, currently progressing with the construction of more caravan parks. This collaborative effort aims to enhance tourism infrastructure and cater to the evolving needs of travellers, while ensuring a responsible way of travelling,” he stated.
He said the revamped strategy of Kerala Tourism hinges on creating new destinations and capacity building projects, while broadening the award-winning Responsible Tourism (RT) Mission, which allows tourists to experience village life and ensures better connectivity.
Providing insights into the current statistics, Nooh revealed that there are 23,784 registered units statewide, with over 46,000 individuals directly benefiting and approximately 83,964 enjoying indirect benefits. Notably, a significant 73 percent of these units are owned or led by women.
Additionally, as part of the Responsible Tourism (RT) initiative, a diverse range of 140 experiential tour packages has been introduced across various locations in Kerala. Impressively, these packages involve direct participation from about 850 families in their curation, further enhancing the local engagement and impact of the initiative.
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In a significant move towards enhancing India‘s inland waterways, the Ministry of Ports, Shipping, and Waterways (MoPSW) is gearing up for the inaugural ‘Inland Waterways Development Council‘ meeting on January 8, 2023, in Kolkata. This meeting, to be chaired by Minister Sarbananda Sonowal, will mark the launch of groundbreaking initiatives, including the River Cruise Tourism Roadmap 2047 as well as Harit Nauka – Guidelines for Green Transition of Inland Vessels.
According to MoPSW, the event will be an extensive platform featuring discussions on vital aspects such as private sector engagement, the promotion of eco-friendly vessels for passenger transportation and more. A pivotal focus will be on the economic advantages and sustainable practices linked with river cruise tourism. The inclusive discussions will emphasise the collaborative efforts required for the comprehensive development of inland waterways along with the flourishing sector of river cruise tourism.
Several Memorandums of Understanding (MoUs) are also expected to be signed, signifying collaborative efforts towards advancing inland waterways and associated sectors.
With this event at the forefront, the Ministry aims to significantly increase the modal share of Inland Water Transportation (IWT) from 2 per cent to 5 per cent, aligning with the goals outlined in Maritime India Vision 2030.
Popular destinations like Shimla, Manali, and Dharamshala observed an influx of tourists, countering rumours of traffic jams in Manali and other areas, which the Himachal CM dismissed as baseless. Recently, a few concerns fueled by circulating aerial images of congested hill roads, impacted hotel bookings particularly during the festive season in the state, as reported by local stakeholders.
In West Bengal, the Sagarmala Programme is actively driving maritime development with 62 projects valued at INR 16,300 Crores. Notably, 19 projects worth approximately INR 1,100 Crore have been successfully completed, while 43 projects, totaling around INR 15 thousand Crores, are at various stages of implementation. Among these initiatives, 11 projects, with a partial funding of around INR 650 Crore are making significant progress, said the Ministry of Ports, Shipping, and Waterways (MoPSW). Six of these projects, valued at approximately INR 400 Crore, have reached completion, while the remaining five, worth INR 250 Crore, are in different phases of implementation.
Amid these advancements, various achievements in improving road connectivity and upgradation projects at ports showcase ongoing efforts toward enhancing safety, efficiency, and infrastructure development.
The establishment of the Inland Waterways Development Council in October 2023 by the Government of India further highlights the earnest commitment to advancing inland waterways and associated ecosystems, emphasising the significant role of states and union territories in this journey.
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In continuation of its G20 Think Tank Workshop Series, NITI Aayog organised a significant workshop titled “Implementing Goa Roadmap for Tourism” on November 4, 2023. This event, held in collaboration with India Foundation and the Ministry of Tourism, Government of India, served as a platform for experts and stakeholders to deliberate on the plan for sustainable tourism development in Goa.
The discussions at the workshop revolved around a plethora of issues, opportunities, and challenges that currently confront the sustainable development of the tourism sector in India. One prevailing theme that emerged was the vital role played by local tourism in generating income and uplifting the cultural heritage of the region.
Participants emphasised the importance of local tourism in developing sustainable tourism circuits, thereby fostering economic growth while ensuring environmental conservation.
One of the primary concerns voiced during the workshop was the need to strike a balance between increasing visitor capacity at tourist destinations and the commitment to environmental protection, green tourism practices, and sustainability. This delicate equilibrium was recognized as pivotal in preserving the natural beauty and cultural richness of the region.
The workshop also shed light on critical issues and action points derived from the Goa Roadmap, highlighting the challenges and opportunities brought about by the digital revolution and the growing necessity for environmental stewardship. It concluded with a collective goal to carry forward the spirit of the Goa Roadmap, promoting collective action and shared responsibility in building a tourism sector that can sustainably support both the planet and its people.
The outcome of this workshop, as highlighted in an officially issued statement, will be an essential document that outlines the way forward for implementing the Goa Roadmap for Tourism within the context of India.
The Goa Roadmap itself was finalised during the concluding meeting of the G20 Tourism Working Group in Goa on June 21, 2023, culminating in the Goa Declaration. The Goa Roadmap is seen as a pioneering effort to harness tourism as a driving force to achieve the Sustainable Development Goals (SDGs), a sentiment supported by the G20 New Delhi Leader’s Declaration (NDLD), which recognised the Goa Roadmap for Tourism and the ‘Travel for LiFE’ program as policy blueprints for leveraging tourism for sustainable socio-economic development.
The workshop was structured around four thematic sessions, with V. Vidyavathi, Secretary of the Ministry of Tourism, Government of India, delivering the address during the plenary session. Suman Bery, Vice Chairman of NITI Aayog, presided over the workshop and provided insights into the importance of gender-led development in the tourism sector.
PATA developed an online learning course tailored specifically for tourism SMEs. These businesses constitute around 80 per cent of all tourism enterprises but often face vulnerabilities, particularly during crises, due to constraints in capacity, time, and resources. These workshops, created to help SMEs in building resilience, were conducted in four Southeast Asian countries, recording 120 participants.
He emphasised the contemporary challenges related to the dispersion of tourism and the potential solutions that could arise from collaborative efforts between the private and public sectors.
The thematic sessions explored various topics, including “Green tourism” with a focus on making the tourism sector more sustainable, responsible, and resilient. Another session concentrated on “Tourism micro-, small, and medium-sized enterprises (MSMEs)” and the role of these enterprises, startups, and the private sector in fostering innovation and dynamism within the tourism sector. “Digitalisation” was another critical theme, discussing the utilisation of digital technologies to enhance competitiveness, inclusion, and sustainability in the tourism sector. The final session emphasised the “Strategic management of tourist destinations,” particularly those with a focus on heritage and religious tourism.
The workshop witnessed the participation of experts from more than twenty government bodies and private institutions, including the Ministry of Environment, Forest, and Climate Change, Trade Promotion Council of India, Confederation of Indian Industry, National Council of Applied Economic Research, Indian Hotels Company Limited, Indian Venture & Alternate Capital Association, Indian School of Business, Indian Institute of Technology Kanpur, Small Industries Development Bank of India, United Service Institution of India, Jamia Millia Islamia University, MakeMyTrip, Adventure Tour Operators Association of India, and more.
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