A Complete Guide To Tourism Business In India

Tourism business in India is well-practiced lines which account to employment for a great number of people. It is a great option which people usually choose who has a keen interest in travel line. 

The Indian tourism and hospitality industry has come out as one of the main initiators of growth among the services sector in India. Tourism in India has a lot of potential keeping in mind the rich cultural and historical heritage, diversity in ecology, terrains and places of natural beauty spread across the whole region. Tourism is also a potentially large service generator in addition to being a noteworthy basis of foreign exchange for the nation. India's Foreign Exchange Earnings (FEEs) has raised by 17.6 percent year-on-year in January 2018 over January 2017.

Market Size

In terms of digital tools, India is the most digitally-advanced traveler nation which is being used for planning, booking and experiencing a journey. India’s rising middle class and growing non-refundable incomes have sustained to hold up the growth of domestic and outbound tourism.

Domestic Tourist Visits (DTVs) to the States/Union Territories (UTs) grew by 15.5 percent y-o-y to 1.65 billion (provisional) in the year 2016 with the top 10 States/UTs contributing about 84.2 percent to the total number of DTVs, as per Ministry of Tourism.

Foreign Tourist Arrivals (FTAs) in India increased 8.4 percent year-on-year to 1.06 million and the number of FTAs on e-tourist visa raised to 58.5 percent to 2.40 lakh foreign tourist as per Ministry of Tourism, Government of India.

India is in a hope to move up five spots to be graded among the top five business travel market globally by 2030, as business travel spending in the country is predictable to treble until 2030 from US$ 30 billion in 2015.

International hotel chains will actually increase their development and investment plans in India and are anticipated to account for 50 percent share in the Indian warmth industry by 2022, from the current 44 percent.



In India, the tourism and hospitality sector is among the top 10 sectors to attract the highest Foreign Direct Investment (FDI). In between this period April 2000-December 2017, the hotel and tourism sector drew around US$ 10.90 billion of FDI, according to the data given by Department of Industrial Policy and Promotion (DIPP).


Government Initiatives

The Indian government has come to know about the country’s probably in the tourism industry and has taken a number of steps to make India a global tourism hub.

Some of the key initiatives planned by the Government of India to give an enhancement to the tourism and hospitality sector of India are as follows:

  • The Government of India has come in agreement for US$ 40 million with the World Bank for the Uttar Pradesh Pro-Poor Tourism Development Project which focuses at developing tourism amenities in the state.
  • The government fixed Rs 1,250 crore (US$193.08 million) under Budget 2018-19,  for Integrated development of tourist circuits under Swadesh Darshan and Pilgrimage Rejuvenation and Spiritual Augmentation Drive (PRASAD).

Road Ahead

India’s travel and tourism industry have huge expansion perspective. The tourism industry is also aiming towards the development of E-visa scheme which is likely to double the tourist inflow to India. India's travel and tourism industry have the possibility to expand by 2.5 percent on the back of senior budgetary allocation and low-cost healthcare facility, as per a joint study conducted by Assocham and Yes Bank.

Thus, this will be the shape of tourism in India and it will actually become better with passing time.