Travel News September 2007

Policy

Strong Re, overpricing likely to hurt inbound tourism
India much safer than Brazil, South Africa

Strong Re, overpricing likely to hurt inbound tourism
October 8, 2007

Strong rupee coupled with overpricing of tours in the Indian tourism industry is bound to affect the inbound travel and tourism in the country, feel industry experts. Experts say that though inbound tourism has increased by about 20 per cent, it has, however, not done as well compared to the outbound travel.

Some of the travel companies, which usually quote the entire trip in dollars for travellers across the globe, are now planning to shift to a rupee tariff to moderate the effect of rupee appreciation. Experts point out that though there has been no immediate impact on individual travellers it might soon start pinching them. “Travellers who have already booked their tours will surely go ahead and travel but will not spend as much as they would have spent,” said a senior official with the tourism industry.

Rising rupee
Tour operators organising overseas trips are the ones who are bound to get hurt by the appreciating rupee, said Mr Madhavan Menon, Managing Director, Thomas Cook India Ltd. “We will, therefore, quote a rupee tariff wherever possible,” he said.

“The weak dollar is bound to affect the inbound travel, which can become less attractive for travellers,” said Mr Himmat Anand, Chief Operating Officer-India & South Asia, SITA Destination Management. “It is time that we started quoting in rupee,” he added.

Mr Anand also felt that not only the appreciating rupee but also the overpriced tourism sector could be a reason for the poor performance of inbound tourism. “Hotels have become 5-10 per cent more expensive,” he said. A lot of hotels, which used to follow a dual tariff structure, have now shifted to the single tariff structure following rupee appreciation.

Constraints
Mr Anand stated that though the business from the US is growing at a rapid pace, there is a marked change in the trend of travel. “A lot of US tour operators who used to book deluxe category hotels are now settling down for first class hotels, which are a little less expensive,” he said.

Infrastructure and availability of rooms is also a major constraint for inbound travellers. Winter, which is usually a peak season for such travellers, might not be as attractive, say industry experts.

Govt measures
However, they feel that the Government is taking adequate measures in order to make India an attractive tourist destination. The Ministry of tourism has done a number of road shows. Moreover, the ‘Incredible India’ campaign has also gone a long way in wooing tourists, said an official. “Some States like Kerala, Madhya Pradesh and Rajasthan have taken proactive measures to promote niche tourism,” she said. She also pointed out that the railways’ effort to provide trains with specific themes will go a long way in attracting tourists.

Source: Hindu Business Line

India much safer than Brazil, South Africa
September30, 2007

Aglance at the travel advisories that the US government issues to its tourists shows how much safer traveling in India is compared to other global tourism hotspots. HT compares its advice on the crime risks in India with those of South Africa and Brazil:

India
The advisory spends a mere 200 words on the potential dangers travellers may face in India. The worst ones are bag-snatching in Delhi and sexual harassment or "eve-teasing". Tourists are advised not to accept food offered on trains as it may be drugged and told that the non-violent theft of U.S. passports from luggage is quite common on overnight trains, and at airports.

South Africa
The dangers in this country require four times as much text to cover. Common crimes against tourist highlighted include armed robbery, carjacking and "smash and grab" attacks on vehicles. It also points out that South Africa has the highest incidence of reported rape in the world. Travellers are warned not to wear jewellery in public or make high-value purchases as this attracts robbers. Using ATMs after bank business hours is inadvisable for similar reasons.

Brazil

Like South Africa, it is a country where robbery at gunpoint and carjackings are routine. Hold-ups at traffic lights are a common occurrence. Added to this is the very present danger of kidnappings that can also result in rape or beatings for the victims.

The incidence of crime is supposed to be greater for visitors in tourists areas. Travellers are advised not to accept help with directions or communication from bystanders as such behaviour is often an excuse to victimise a tourist. In fact, the variety and intensity of the crime risks mentioned require 1200 words to cover, six times as much as India.

Source: Hindustan Times