Tourism and Travel Trends from India:
News and views on India's Travel and Hospitality Sector

Weekly News Related to Travel Industry in India

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Top Travel Destinations

Places in the news

1. Hyderabad to host international tourism conference
Andhra Pradesh tourism department and industry chamber Ficci are jointly organising a two-day conference, beginning here tomorrow, to evolve a strategy for positioning south India as a world-class tourist destination.

'Look South', the international conference and exhibition, will be inaugurated by State Tourism and Culture Minister Anam Ramanarayana Reddy.

"Southern India is unique in its closely interlinked culture, heritage as well as tradition and thus has an immense potential to project itself as a seamless and distinct tourism region," Ficci President Habil Khorakiwala said.

"The diversity and quality of offerings from southern states and Union Territories make it an ideal destination for targeting high-end tourists." The seminar also aims at marketing new segments of tourism, apart from wildlife, beaches, adventure, cruise, eco and health tourism, he said.

The states and Union Territories participating in the conference include Karnataka, Tamil Nadu, Kerala, Puducherry, Lakshwadeep, Madhya Pradesh, Gujarat, Jammu and Kashmir and Chhattisgarh besides host Andhra Pradesh.

Tourism boards of Switzerland, Malaysia and Singapore, the hot spots on world tourism map, are also taking part apart from tour operators from UK, Canada and Thailand, a Ficci release said.

Thursday, May17, 2007
Source: PTI via ET

2. Soaring temperatures elsewhere generate tourism business in Kashmir

With constant rise in temperatures in the arid plains in India, many domestic tourists have started pouring in Kashmir to beat the heat bringing some cheer to the people associated with tourism trade who were complaining slump in the tourist arrivals.

“Following some untoward incidents last year the tourist arrivals had ebbed considerably. However, for last some days the tourist resorts like Pahalgam, Gulmarg and Sonamarg have been witnessing a modest increase in the tourist inflow,” said a tour operator.

However, many say that the tourist arrivals have begun to pick up because of the sustained efforts by some government departments and tourism bodies.

“The state government in collaboration with tour and travel operators organized many programmes in different states in India to woo the tourists and it seems that their efforts have borne fruit,” said a senior state tourism official.

“The JKTDC is offering many attractive tourist packages to the tourists. The state tourism department in association with the floriculture department set up the Asia’s largest tulip garden along the banks of Dal Lake giving an added attraction to the tourists,” he added.

With the gradual arrival of the tourists the people associated with tourism trade have begun to heave a sigh of relief. “The decline in the tourist rush to Kashmir last year caused me huge financial losses. But now the tourists have started coming back and I have been doing some good business for the last few weeks,” said a Shikara owner.

Houseboat and hotel owners here are hopeful that tourist traffic to Kashmir would further pick up in the coming days. “There is definitely a decrease in the number of tourists visiting Kashmir as compared to the last year, but we hope in the coming days the arrivals would improve,” said Altaf Ahmad, a Houseboat owner.

Saturday, May19, 2007
Source: Greater Kashmir.com

3. 'Paryatak Bhavan' a unique tourism plaza

Hyderabad unveils 'Paryatak Bhavan', a unique 2.18 lakh feet space for tourism offices and others related facilities from across the country.

The plaza is proposed to house tourist information stalls of other states, offices for India Tourism, APTDC, tour operators, travel agents, and international airlines apart from offering tourism-related facilities like currency exchange, souvenir shops, etc.

Constructed with an investment of Rs 33 crore, the plaza was funded by Government of India, which provided Rs 5 crore, while the AP state government and the Andhra Pradesh Tourism Development Corporation (APTDC), chipped in Rs 12 crore and Rs 13 crore, respectively.

The office-cum-display space is to be given on rent, while managing the hotel, conference halls, banquet halls and health spa will be outsourced to a hotel chain, decision on which is yet to be taken.
Friday, May18, 2007
Source: Andhra café.com

Travel and Transportation Infrastructure

Sector: Aviation

1. Pvt airports new merchandise in air
In a bid to increase the scope of private participation in the airport sector, the government is now working on a policy to allow private companiesdevelop commercial airports entirely on their own, sans government equity. A sector that was opened up to private and foreign investments a few years ago, needs huge investments in the coming years to keep pace with the growth in the aviation industry.

Coined as private merchant airports, the projects are proposed to be developed without equity participation from the government. The policy on airport infrastructure would allow a private entrepreneur to set up and operate an airport on the basis of commercial viability, subject to the safety and security monitoring by the government. Besides safety and regulation, the government would also have a role in acquisition of land and various clearances.

With more than $30-billion investment required in airport infrastructure by 2020, there is a need to incentivise private investment in the sector and this could be one of the models, an official in civil aviation ministry said. The government has kicked off the process by holding a meeting between senior officials from the civil aviation ministry and various stakeholders.

The government is considering a licence-based approval procedure for the private merchant airports. It is proposed to allow 100% foreign direct investment (FDI) in the merchant airport sector.

“About 400 million Indian passengers are expected to travel by air by 2020. With such tremendous growth in air passengers and air traffic, the country needs more investment in the greenfield sector. While existing airports could be developed through the public-private partnership (PPP) model, the government should encourage 100% private sector participation in new airports,” Centre for Asia-Pacific Aviation’s (Capa).

Indian sub-continent CEO Kapil Kaul said. Merchant airports are also expected to boost cargo and freight handling through the creation of cargo hubs.The idea of merchant airports was mooted by the government in February to attract private investment and to overcome the problems of land acquisition.

The government has admitted that it would be difficult to generate the required resources in the public sector or even under PPP.

Saturday, May19, 2007
Source: Economic Times

2. GoAir offers low priced tickets for July-Sept

Budget carrier 'GoAir' on Saturday offered tickets priced as low as Rs 225 for the upcoming festive season from July to September.

The GoCelebrate offer has prices starting at Rs 225 for short haul flights between Mumbai-Goa, Ahmedabad-Delhi and Rs 525 for long haul flights like Mumbai-Delhi, Mumbai-Jaipur, Bengalooru-Mumbai and Mumbai-Chennai, a company release said.

More than 20,000 free tickets for flights between Mumbai-Ahmedabad, Delhi-Jaipur, Bangalore-Cochin, Hyderabad-Chennai and Srinagar-Jammu would also be available, it said. The offer for booking tickets would be valid from May 21-25.

"Every initiative introduced is designed around benefiting our customers," GoAir Managing Director Jeh Wadia said in a release.

Saturday,May19, 2007
Source: PTI via Economic Times

3. NEC to set up dedicated airlines for NE region

The North Eastern Council (NEC) on Saturday endorsed the recommendations of the Sidhu Committee and decided to set up a dedicated airlines for the north east.

"We believe that the decision will put an end to the single most important infrastructural obstacle in the way of the development of the region," Union DONER (Department of North-East Region) Minister Mani Shankar Aiyer told a press conference after the conclusion of the sectoral summit on air connectivity here.

The Committee was constituted last year under the chairmanship of Manipur Governor S S Sidhu, who was earlier the civil aviation secretary, to recommend measures to strengthen air connectivity in the north eastern region.

The annoncement on setting up of the dedicated airlines for the north east is expected on the Independence Day this year, he said and hoped that following the decision the region would have up to 50 airports and airstrips by the end of the 11th plan. NEC, he said, would be able ensure 600 flights a week in the region connecting all the state capitals and other important centres.

Asked to elaborate on the decision, he said, a public notice would be issued and selection would be made from the bidding airlines after examination of technical and financial bids. On the issue of redefining the role of NEC, Aiyar said he would form a committee under the chairmanship of the secretary to the ministry of DONER, Sushma Singh and the report would be placed before the 55th plenary session of NEC to be held in New Delhi in November.

The proposal of Tripura Chief Minister Manik Sarkar to make eradication of poverty in the north east the theme of the next plenary session of NEC was adopted at the meeting, he said. He also announced that the Thailand Commerce Minister accompanied by a team of high ranking official delegation would visit the region in June.

He hoped that the visit would be the beginning of FDI in the region on areas like natural rubber, orchids, road construction, inland water ways, handicraft and handlooms - specially based on silk products.

Saturday, May19, 2007
Source: PTI via Economic Times

4. Gopinath keen to stay at Deccan helm after sale
The share price of Air Deccan rose by 22% to Rs 145.40 on Thursday on the BSE in the backdrop of speculation that the much-talked about Air Deccan “fund infusion” was imminent. Aviation circles were abuzz with talk of R-ADAG being close to picking up a substantial stake in the carrier.

Air Deccan is in the process of raising up to $100 million by bringing in a strategic investor to fund its expansion plans. Sources say that while Reliance ADAG has emerged as Air Deccan’s first choice as strategic investor, the final deal hinges on negotiations over a clause inserted by promoter GR Gopinath which says that he would continue to run the show even after becoming a minority shareholder.

Both R-ADAG and Air Deccan denied that any deal has been struck yet. Unconfirmed reports suggest that the deal could be pegged at around Rs 160 per share but this could not be independently verified.

Sources close to the deal said any party which picks up equity in Air Deccan as a strategic investor has to agree to Mr Gopinath’s condition before signing on the dotted line. “Mr Gopinath is passionate about the venture and he is keen to remain in control of the operations even when he and his associates will be minority partners in the company,” the source added. The promoter group — which includes Gopinath, KJ Samuel and Vishnu Rawal — together hold 22.11% in Air Deccan. After fresh infusion of equity, the stake of the promoter group will come down proportionately to around 16%.

Coca-Cola bottler Lachmandas Ladhani with 12-13% stake is another key shareholder in the airline. The R-ADAG-owned Reliance Mutual Fund already has a 4.6% stake in the airline, but this would not form part of R-ADAG’s stake. Air Deccan CFO Ramki Sundaram told ET that several investors have shown interest in picking up equity in the company and that talks in this regard are still on. Recently, Kingfisher Airline chairman Vijay Mallya had expressed interest in acquiring Air Deccan but nothing came of it.

Sources indicated though Reliance ADAG are in the forefront, among others funds, to pick up stake in Air Deccan, the outcome would depend on whether the strategic investor would agree to minority promoters calling the shots. “If they don’t agree, talks could break down,” the source added. Incidentally, film production and exhibition company, Adlabs, where Reliance ADAG has over 50% stake, is still run by its promoter Manmohan Shetty with a minority stake.

Friday, May 18, 2007
Source: Economic Times

Sector: Hotels & Restaurants

1. Bed-and-breakfast biz gains popularity
In the good old days it was common for country travellers to spend the night at a barn rather than a hotel. In many parts of the world, the custom evolved into a big business called `bed and breakfast’ (B&B).

In India, it’s still a novelty. The home-stay (sort of B&B) policy of the ministry of tourism announced last year, is working its way through a maze of wannabe commercial shelters dotting the country’s landscape and adding rooms in a market where demand has clearly outstripped supply.

In Delhi, the government has approved around 100 such homes (500 rooms) to be classified as B&B accommodation, whereas in Jaipur, a branded homestay programme by the name Jaipur Pride Project, is being promoted by the Clarks Group of Hotels. The group will be taking the programme through Mumbai, Delhi and Bangalore by year end.

Another player working in close proximity with the tourism ministry is Comfort Homestay which at present operates 100 rooms in major cities across India, including Delhi, Bangalore, Mysore, Mumbai, Pune and parts of Rajasthan and Kerala.

Tourists & corporates go for B&B:

Jaipur Pride Project has about 70 rooms (40 homes) being used as tourist accommodation under three categories — budget, deluxe and luxury. Not only foreign tourists who want to experience Indian culture and authentic food, but corporate travellers too are opting for B&B accommodation as it offers value for money.

“We have clients such as Nokia and Genpact,” says Clarks Group of Hotels executive director Apurv Kumar. The room rent ranges between Rs 1,150 to Rs 4,600. Not only the citizens who have rooms to spare earn through this programme but also local travel agents are making money. Agents who bring tourists, to be treated as guests at the B&B accommodation, earn a commission of around 10%.

“The programme helps in promoting the destination and is an additional source of income for home owners,” adds Mr Kumar. These homestay accommodations are being promoted at international platforms too. However, what deters few homeowners with spare rooms is the service tax of 4.9%.

Resurrecting B&B:

To meet the shortage of rooms and to bring rooms in the unapproved sector under the umbrella of organised sector, the ministry of tourism introduced the ‘B&B’ or ‘homestay’ scheme in August last year. However, owing to snags such as police checks and ambiguity about tax, that the home owner is liable to pay, the scheme failed to attract home owners.

After various promotional activities and pan-India ad campaigns in last two months the scheme has taken off. A homeowner has an opportunity to earn $50 a day by letting out spare rooms as tourist accommodation.

Indian Association of Tour Operators (IATO) and TAAI (Travel Agents Association of India) are responsible for inspection of the rooms, ensuring that the houses meet minimum standards, before granting them the status of B&B accommodation. “By 2010, we plan to bring 10,000 rooms under the homestay programme. The scheme will be a hit once the tax to be paid by such home owners is waived off,” says IATO president Subhash Goyal.

Though hot tourist spots such as Goa and Himachal Pradesh boast of many homestay accommodations, gaining acceptance among foreign and Indian tourists alike, say tour operators.

Thursday, May 17, 2007
Source: Economic Times

2. It’s virtual free for all at ITDC’s Ashoka hotel
Barely able to stand on its own feet after the disinvestment blow, the India Tourism Development Corporation (ITDC) is now struggling to get unpaid dues totalling Rs 15 crore from the government. According to the official figures, ITDC's flagship brand Ashoka has more than Rs 12.1 crore dues pending against the government departments, ministries, companies and state-run airlines.

Government and the public sector undertakings put together owe more than Rs 89 lakh to Ashoka's lesser twin Hotel Samrat. The situation at Hotel Janpath is no better since it has to get more than Rs 2.6 crore due from the government and PSUs.

In total, these three Delhi hotels put together need to recover more than Rs 30 crore from different parties of which government's share is more than half the amount. Delhi alone accounts for a major chunk of defaulters. The total amount due from different parties in the other five of ITDC hotels in the country is only Rs 1.82 crore out of a total due of Rs 32.2 crore.

Outside Delhi, Hotel Patliputra Ashok in Patna needs to recover more than Rs 31 lakh from the Bihar government and Rs 13.8 lakh from the Central government. Unpaid bills of the ‘private parties’ are more than Rs 27.8 lakh at this loss-making ITDC entity in Patna.

In total, Hotel Patliputra Ashok has more than Rs 91.6 lakh against odd parties which is yet to be recovered. It is only at Hotel Lalitha Mahal Palace in Mysore where there are zero dues against the State government, PSUs, private parties and travel agents.

Thursday, May 17, 2007
Source: PTI via Financial Express

3. Ritz-Carlton to open its first hotel in India
The Ritz-Carlton Hotel Co plans to open its first property in India in the southern high-tech centre of Bangalore, media reports and company officials said Tuesday. The luxury hotel chain plans to spend about 100 million dollars to develop a 250-room luxury property that is scheduled to open in early 2010.

Ritz-Carlton is taking on the project with the help of local real-estate company Nitish Estates, which is to build the hotel while Ritz-Carlton is to manage it.

Indian hotels in most cities are enjoying steady occupancy levels because of an increase in intercity travel and tourism. Industry reports indicated an increase in hotel development in the Bangalore area, known as India's Silicon Valley, with the number of premium rooms available in the city expected to exceed 8,000 by 2012.

US-based Ritz-Carlton operates 63 hotels in 21 countries in North and South America, Europe, Asia and the Middle East.

Its investment in India is to be funded through a mix of debt and equity. Citigroup has committed 30 million dollars as the first tranche of investment in the hotel project.

Tuesday, 15 May 2007
Source: Earthtimes.org

4. Ginger Hotels to partner with Cafe Coffee Day
Ginger Hotels, GenNext Smart Basics hotels from Indian Hotels Company Limited (IHCL), on Thursday inked a partnership with Cafe Coffee Day.

Launching this month, Ginger Hotel in Bangalore will now feature a Cafe Coffee Day outlet which will be accessible to all and not just the hotel guests. In the first phase of this partnership, Cafe Coffee Day outlets will be opened in Bangalore, Thiruvananthapuram and soon-to-be-launched hotel in Nasik. Phase Two will see a rollout across other key Ginger hotels across the country. The Cafe Coffee Day outlets will range from 200-600 sqft.

Announcing this initiative from Ginger Hotels, Prabhat Pani, CEO Roots Corporation Ltd (a wholly owned subsidiary of IHCL which operates Ginger) said "the new offering will excite the new age traveller with the ease, affordability and opportunity it presents."

Smart Basics- GenNext category of hotels- signifies simplicity, convenience, informality, style, warmth, modernity and affordability, the release said.

Thursday, May17, 2007
Source: PTI via Economic Times

5. Bhagwati Banquets lists at Rs 46.35 on BSE
Hospitality company Bhagwati Banquets and Hotels Limited (BBHL) on Thursday got listed at Rs 46.35, with a premium of around 16 per cent over its issue price of Rs 40 on the Bombay Stock Exchange.

Within minutes of listing the scrip of the company touched a high of Rs 49.90 and over 11.42 lakh shares exchanged hands on the BSE. The company entered the bourses with 2,92,86,400 equity shares at an issue price of Rs 40 per share. The initial public offer of BBHL was oversubscribed 1.83 times. It received 3.36 crore bids for the 1.84 crore shares on sale.

While the QIBs (Qualified Institutional Investors) subscribed to only 42.4 per cent of the 92.27 lakh shares allocated for them, the IPO received decent response from Non-Institutional investors and retail investors. BBHL is raising Rs 92 crore, including promoter contribution of about Rs 20 crore, the funds would be utilised to expand its chain of restaurants and for setting up a 100-room property at Surat.

The company, which operates the Grand Bhagwati hotel, also undertakes outdoor catering, operates food courts and manages rooms and restaurants of Karnavati Club in Ahmedabad.

Thursday, May 17, 2007
Source: PTI via Economic Times

6. Kamat Hotels mulls stock-split; scrip surges 10 pc
Hospitality firm Kamat Hotels on Friday said it is planning to split its stock into scrips of lower face value. The meeting of the Board of Directors of the company, scheduled to be held on May 30, will also consider the sub-division of equity shares, subject to approval of the members at the ensuing AGM, the company informed the Bombay Stock Exchange (BSE).

The proposed stock split, if approved, would increase the number of shares in the open market available for trading. Shares of Kamat Hotels were last trading at their intra- day high of Rs 165.05, up Rs 15 or 10 per cent, on the BSE.

The company has recently raised 18 million dollars through a Foreign Currency Convertible Bonds (FCCBs) issue subscribed by New York-based investment firm Clearwater Capital Partners.

Kamat Hotels has already received an in-principle approval from Singapore Exchange for listing of the bonds. The bonds can be traded on the exchange, upon the final approval.

Friday, May 18, 2007
Source: PTI via Economic Times

Medical Tourism

1. Medical Tourism to Drive the Tourism Industry in India
In its recent study of “Opportunities in Medical Tourism in India ( 2007 )”, RNCOS has found that the growing medical tourism in India will emerge as among the key sources bringing foreign exchange to the country. India offers inexpensive treatments for various medical procedures and this is the most significant reason why India is emerging as a key player in this sector.

Promotion of medical tourism, by the combined efforts of hospitality industry, state govt., travel specialists/agents, and local folks, can help spur the growth of tourism industry in India. Medical tourism’s promotion in Indian remained one of the most important issues discussed at the international seminar “Maharashtra Vision II” that MEDC ( Maharashtra Economic Development Council ) had organized on May 3, 2007.

‘‘Medical tourism is one of the most lucrative industry as it is anticipated to attract tourists from world over especially the UK, South Africa, Canada and Malaysia, and is expected to grow into a $1.5 billion industry by 2010,’’ Raja Rani Health Alliance’s Abhijeet Patil said, as reported by THE FINANCIAL EXPRESS on May 4, 2007.

To promote medical tourism in India, the country’s tourism office “Incredible India” has convinced the govt. to launch a medical tourist visa. Since, this will allow people to visit and stay in India for one year, which can then be extended to three provided the purpose of the trip involves an operation or any other medical procedure.

‘‘With increasing number of medical tourists coming to India, tour operators have immense opportunities to grab their own share of financial profits by way of fee-based agreements with the hospitals,” Patil added.

RNCOS report “Opportunities in Medical Tourism in India ( 2007 )” notifies, “India is swiftly emerging as amongst the key players in medical tourism in both Asia and the world. Improving healthcare infrastructure, growing corporate hospitals such as Wockhardt, Apollo, Escort, expert healthcare professionals, low-cost treatments, nil waiting time, and Ayurvedic treatment are a few of the various other reasons that lure overseas patients to India.”

Key issues and facts analyzed in this report include: emerging trends in the Medical Tourism Industry in India, key regulations and policy environment in the industry, future scenario of the Medical Tourism Industry in India, opportunities and challenges that exist for the Medical Tourism Industry, and so on.

Friday, May18, 2007
Source: presszoom.com

2. Mixing pleasure and health for low-cost, high-quality care

Finishing my lunch at an open-air restaurant in downtown Bangkok, I felt slightly queasy. But by the time the taxi arrived back at my hotel, sweat was pouring out of my armpits, the folds of my stomach, even my shins, and my leg joints buckled as if a diamond-tipped drill was boring into them. As I got out of the taxi, I collapsed onto the street. The taxi driver shoved me back into his cab, and we wove our way through the city's infamous traffic to Bumrungrad International, a hospital near my hotel. I barely made it to the emergency room before I passed out.

When I woke and remembered what had happened, part of me wanted to bolt from my ER bed. I knew very little about Thai medical facilities, and recalled a clinic I'd seen in neighboring Myanmar, where patients had to bring their own linens, needles and even bandages to the hospital.

When I returned to the US, in fact, I found myself longing for Bumrungrad.

Yet my Bumrungrad doctor, trained in America, immediately put me at ease. Surrounded by a gaggle of nurses ready to care for my every complaint at any time of day, the doctor informed me, "We're pretty sure you have dengue fever," referring to a dangerous tropical disease also known as breakbone fever.

My temperature had topped 104, but the doctor quickly determined I did not have dengue haemorrhagic fever, the worst strain of the disease. While I rested in a spotless room, he designed a programme for my recovery, recommended a week of convalescence, and prescribed an array of medication for the searing joint pain. When I visited Bumrungrad's cashier, passing the hospital's high-end restaurants and plush waiting rooms along the way, an assistant handed me the bill. For admittance to the emergency room, a consultation, a room and bags of medications, the total cost came to less than $100 (Rs4,100).

My unscheduled visit to Bumrungrad taught me an old lesson—and a new one. For decades, Americans have known they can obtain less-costly health care abroad, and have slipped off to Mexico for small surgeries or Canada for prescription drugs. But more and more people now recognize foreign hospitals can deliver not only low-cost but also high-quality health care, and are considering medical tourism even for serious health problems.

When I returned to the US, in fact, I found myself longing for Bumrungrad. On a follow-up visit to an American doctor, I waited in a small room after telling him about my dengue fever diagnosis. After a while, when he hadn't returned, I poked my head into the hall, and discovered him thumbing through a book to find information about dengue fever.

Now, the US health establishment may be coming to the same realization I did. To be sure, insurers' worries about quality control and liability risk at foreign hospitals may still keep them from embracing medical tourism. But with spending on health care in America topping $2 trillion, baby boomers aging and the pool of uninsured rising above 43 million, insurers, smaller employers and individual Americans without insurance are looking at overseas care as an alternative for costly treatments, even for complex procedures like heart surgery and procedures excluded from coverage in the US. Already, more than 1,50,000 people travel abroad each year for health care.

According to Patients Without Borders: Everybody's Guide to Affordable, World-Class Medical Tourism, a new book by Josef Woodman, overseas care can trim 60-80%, or more, off the price of major surgeries. Its comparison, for example, shows that a heart bypass in India costs one-thirteenth the price in America, and many foreign hospitals also offer post-operative care that includes a high degree of attention from hospital staff members.

Several insurers have proven to be medical tourism pioneers. United Group Programs, a Florida insurance company, now offers plans that reimburse types of overseas care, and works with Apollo, a leading hospital in Chennai. Health Net, another insurer, now offers subscribers in Southern California some coverage at medical facilities across the border in Mexico.

Many of these hospitals compete not only on the quality of care but also on other amenities. The Apollo hospital in Chennai has a gym and yoga studio, and Singapore has launched a series of “medi-spas,” which mix medical treatments and spa services like massage or facials. Costa Rica advertises “recovery retreats” that are like ranches created for recuperating medical tourists.

But just as American travelers begin getting comfortable with the safety of foreign hospitals, they face a new question. With developing-world hospitals focusing on medical tourists, some may take doctors away from understaffed public clinics in nations like India and Thailand, potentially leading to a public backlash against medical visitors.

Only days after my luxury dengue treatment at Bumrungrad, I saw this other side. At a larger Thai hospital where I'd walked in after feeling my fever spiking, I sat on a hard bench in the middle of a waiting room littered with cigarette butts and empty plastic bottles. For more than an hour, no one called me. When a nurse finally approached me, she warned that there would not be any doctors around for hours, and then turned and walked away.

I got up and took a cab to Bumrungrad.

Thursday, May 17 2007
Source: www.livemint.com

Religious Tourism

1. Travel in the footsteps of Buddha to pilgrimage places in India

Bodhgaya, India In hardly any other place in India do economic poverty and spiritual wealth go hand in hand than in the north-eastern state of Bihar. Bihar is one of the poorest areas in the country as evidenced by its dilapidated system of roads.

At first glance, it is hard to distinguish the cultural wealth that can be found in Bihar's many historical towns such as Bodhgaya, the Place of Enlightenment.

Tourists and Buddhists from around the world make pilgrimages there to visit the 50 metre-high Mahabodhi Temple.

The temple is the place where Buddha is reputed to have attained enlightenment 534 years before Christ. Today, it is a UNESCO World Heritage Site.

The faithful come from Sri Lanka, Japan, China, the United States and Europe to sit and meditate under the Bodhi Tree, which is situated right behind the temple.

The tree is believed to be descended from the one where Siddhartha Gautama sat and received answers to all his questions.

The temple was built in the sixth century A.D. on the same spot where 800 years earlier Indian Emperor Ashoka had a place of worship constructed.

The place fell into disrepair after a Muslim invasion in the 11th century but has been reconstructed and restored several times since.

A large golden statue of Buddha greets pilgrims inside the temple. Sundown is the most popular time to visit the temple and get a sense of its atmosphere, observe the monks at work or to just meditate.

A short distance northeast of Bodhgaya is Nalanda. It is easy to spend a few hours strolling among the ruins of the huge university that was founded there in the fifth century B.C.

With the scent of roses hanging in the air, admire the remains of what used to be one of the most important universities of the ancient world.

In the seventh century A.D. the university was home to an estimated 10,000 monks and students who studied theology, astronomy, metaphysics, medicine and philosophy. More than 1,000 teachers taught here.

The university was made up of several nine-storey buildings as well as six temples and seven monasteries.

Nalanda's three libraries and their 9 million books were so large that they burned for six months after they were plundered by the Afghans in the 12th century.

If you come to Bihar, then do not miss the city of Rajgir - the "House of the King". Just outside the city, high above the vultures' nest and surrounded by Tibetan prayer flags there is a fantastic view of the mountainous countryside.

Monks can be heard reciting religious scriptures in the place where Buddha is believed to have taught his followers sermons such as the Heart Sutra.

When in Bihar, consider paying a quick visit to Lumbini in Nepal just a few kilometres across the Indian-Nepalese border.

This is the birthplace of Buddha and is situated right at the foot of the Himalayas. Buddhists from all over the world go there to enjoy the peace and quiet of Lumbini's gardens.

The most important historical object here is the 6.5 metre high statue of Emperor Ashoka that was erected in 245 B.C. Followers of different Buddhist sects have built their temples here and all of them are open to the public.

With a bit of luck, and if you want to get a more authentic experience, try renting a room in one of the monasteries' guest houses.

UNESCO has recognised the unique qualities of Lumbini and added it to its list of World Heritage Sites.

INFO-BOX: Bihar in north-east India

How to get there: Bihar can be reached from Delhi by train and bus.

Entry requirements:Visitors to India need a visa. A visa is also required when visiting Lumbini in Nepal. Tourist visas can be obtained at frontier posts. Internet: www.india-tourism.com.

Tuesday, May15, 2007
Source: Earthtimes.org

Rural Tourism

Education Tourism

1. India as a travel education hub
Among the many aspects of niche tourism in India, an interesting angle is undoubtedly the emergence of tourism education, which may sound surprising to many. Indian teachers are known to be among the best and although one might have heard instances of students joining universities in places like Pune and Belgaum, one of the growing markets for study is the field of airlines, travel, tourism and freight forwarding or air cargo industries.

IHCTM (Institute of Hotel, Cargo & Tourism Management), also known as RBCS or Radio Bhuvan, has been receiving students from overseas every year for its international travel, cargo and airline courses. IHCTM not only offers up to nine IATA qualifications, like the 210 IATA authorised training centres, but also offers courses in e-ticketing and fares from Virgin Atlantic, UK, CRS training from Viasinc, US and International Tourism as well as F&B Service certification from City & Guilds, UK.

Search no further
Having trained over 2,00,000 students in over five decades, IHCTM today offers up to 19 international qualifications under one roof which are globally recognised. The Incredible India campaign and the emergence of India as a BPO hub in Asia has also created awareness of India as a destination and students pursuing careers in the airline, tourism or freight forwarding industries which is growing globally, do research on the internet on courses and qualifications available. Search engines like Google display IHCTM amongst the top three sites as search result for 'IATA courses'. Additionally, the IATA website has IHCTM listed under its authorised training centre list. When one compares the cost of doing an IATA/UFTAA Foundation Course in London and a similar course in India, there is a phenomenal difference in pricing as well as the cost of living. The one in London would cost in the range of 2,000 sterling pounds while the one in India would cost almost a third of that.

Dreams fulfilled
Although initially IHCTM would receive non-resident Indians as students especially from Gulf countries such as UAE, Bahrain, Oman, Saudi Arabia and Yemen, the trend has changed over the years. The first non-Indian overseas student who came exclusively for the IATA/UFTAA courses was Clarissa, an American citizen who flew down from Greece about four to five years ago. Not only did she pursue the IATA/UFTAA standard and advanced courses but also a crash course in conversational French and after spending four months in Mumbai at IHCTM, she headed to UK where she got a job with Thomson Tours. Then there was this 24-year old student called Umit Cakir from Bursa, Turkey who wanted to work with an airline, that too at the JFK airport, New York. His inspiration - the Tom Hanks movie Terminal. After spending six months at IHCTM and attending the IATA/UFTAA and IATA/FIATA programmes he headed back to Turkey and is now working as a customer service agent with Alliance Air in New York.

Similarly, students trickle down from Tanzania, Turkey and even Scotland. Recently Lenka, a Czech Republic citizen working in Scotland, contacted IHCTM and enrolled for the best of five package comprising Virgin Atlantic Level 1 and Level 2 programmes, CRS from Viasinc as well as the IATA/UFTAA Management programme. Lenka now wants to start her own company and send tourists to India.

Having the unique distinction of offering all four levels of the IATA/UFTAA programme, including the management and senior management courses as well as the IATA/FIATA Dangerous Goods programmes, IHCTM has been getting a lot of non-resident Indians through word of mouth as well as the internet.

Thursday, May17, 2007
Source: Express Travel World

2. Blooming beauties
You don't need to know your lilies from the lotuses to appreciate these blooming beauties. This horticulture adventure is about enjoying elegance, and creativity: from the roses and chrysanthemums showing off their picture-perfect colours to the daffodils, hyacinths and tulips perfuming the air, from beautiful ornamental plants and flowers in elegant forms and shapes to large swathes of the path brimming with seasonal colours.

Indeed, garden tourism may still be new-age lingo in India but it is a concept helping horticulturists reap rich returns from tourists of late. And going by the increasing footfalls on the Royal Mughal gardens like Nishat and Shalimar in Kashmir, the dancing fountains at Mysore's Brindavan, Kolkata's Botanical Garden and its two-century old banyan tree, and even the majestic Mughal Gardens of Delhi, this is the newest big-ticket idea tour planners are waking up to.

If Bangalore's Arun Pai is to be believed, the "sun has just risen" for gardens in India. The brain behind Bangalore Walks, a group of like-minded people who also organise the Green Heritage Walks, Pai is elated at the ever-growing crowd thronging the city's gardens and the average tourists' eagerness to know more. Pai is already busy scanning books to know more about the gardens in Bangalore so that he is able to "deliver better" to the tourists. His friend Vijay Thiruvady, conductor of the Green Heritage Walks, takes equal pride at seeing the long queues at the ticket counter. Says he: "Lalbagh has a history that dates back to much before it was even founded. The rocky outcrop at the entrance here, designated a National Geological Monument, is one of the oldest rock formations in the world (composed of granite gneiss). More than 3,000 million years old, these were formed by volcanic eruption of the Gondwanaland. This part moved north into the Asian continent creating the Himalayas. Thus the rock we see at Lalbagh is half as old as earth itself and very much a part of eternity."

And then there is Siraj Bagh, overlooking the Dal Lake in Kashmir. Developed as one of the largest tulip gardens in the world, the state's horticulture department is already bracing up for the tourist rush during the Baisakhi festival. Says K K Sharma, director of the Jammu and Kashmir government's horticulture department, busy giving finishing touches to the garden, "We have tourists visiting our gardens throughout the year, but spring is the time when we record the maximum rush. This is also the time when we give the gardens a major facelift. This year we are planning a tulip garden spread in 72 acres and expect it to be ready soon. From the feedback we get from tourists, we are confident Indians won't need to go abroad to see tulips anymore." Even Ooty's famous Botanical Garden organises a summer festival every year in May. Spread over 55 acres, the almost two-century-old garden boasts rare tree species that are not found anywhere else in the country: like the 20-million-year-old fossilised tree and a monkey puzzle tree (apparently, monkeys cannot climb this tree).

Chandigarh's Pinjore Garden too has been a regular fixture on the must-do list of tourists on their way to Shimla. The fascinating Mughal Gardens here boast a mini zoo, plants nursery, a Japanese garden and picnic lawns. Unlike other Mughal Gardens, the seven terraces at Pinjore, instead of ascending, descend into the distance.

Towering over all the gardens in the country is Delhi's famous Mughal Garden inside Rashtrapati Bhawan. The gardens, open every year between March and April, even had fragrant roses this year: the 13-acre lawn, complete with musical, spiritual and herbal gardens and a bio-diversity park, has a new fragrant rosarium developed in the terrace garden. Built by Edward Lutyen, it also has provisions for the visually impaired visitors: with Braille boards installed in front of each plant, the visually challenged guests can feel the plants and smell their leaves here. The 'Touch and Smell garden' at the National Botanical Research Institute in Lucknow also has similar labels on plants in Braille.

The capital's Garden of Five Senses (also called Said-ul-Ajaib) organises an annual festival, which, apart from being a hot tourist destination, also promotes gardening. Its theme this year was topiary art. Says Sudhir Sobti, deputy manager, Delhi Tourism, "The festival proved to be a platform where gardening enthusiasts could get tips on how topiary can be tried back home." The garden, says tour operator Maharaj I S Wahi, chairman of the Travel Promotion Bureau, is the perfect example of the long way garden tourism has come in India. "It is a man-made park where the caretakers have taken a number of tourism-oriented steps. Other examples include Mysore's Brindavan Garden, which added dancing fountains in 2004. Delhi's Lodi Garden, besides its scenic setting, even has an eatery. You need to work on quality additions like these and package the entire thing to ensure frequent arrivals. Making the gardens self-sustaining is another important step," Wahi explains.

Subhash Goyal of Stic Travels, however, says that garden tourism still has a long way to go in India. Says he: "In India, tourists don't visit cities only for the gardens. The possibility of selling garden packages is still not a very viable proposition."

Wahi, on the other hand, has the perfect solution, "We can take inspiration from Denmark's Tivoli Gardens. It is spread over a huge area with recreation as well as eating out options within to engage tourists. The wholesome experience which these gardens provide ensures that it is popular among tourists."

Thursday, May18, 2007
Source: Express Travel World

Holistic Healing Service Providers

Travel Characteristics of Indians

1. Outbound travel booms

Going to the hills of Shimla for a break is a thing of the past and wandering in the palaces and havelis of Rajasthan is passé. For a good chunk of neo middle class India, the definition of holidaying today is essentially 'travelling abroad'.

According to Subhash Goyal, president of Indian Association of Tour Operators (IATO) and chairman of STIC travel group, around 7 million people travelled abroad in 2006-07. The outbound travel market has grown at an average of 25 percent over the past three years, he said.

So whether it's the exotic locales of Thailand, the Great Barrier Reef of Australia, the shopping malls of Singapore, the gold souks of Dubai, the Buddhist temples of Bangkok or the delights of Disneyland, the average Indian traveller is everywhere.

Call it a newly found passion or an attitudinal change, Indian travellers are now spending more on out of India trips.

And it is not just one trip abroad, but in some cases two-three brief vacations each year - thanks to a host of attractive packages offered by tour operators.

"You live only once and you never know till when. So what is the point in just saving up if you don't get to enjoy your present? Travelling has always been a passion for my wife and me. And now we are allowing this passion to travel overseas," said Harmeet Singh, who works for a multinational company in Delhi.

"With so many packages coming your way, it's both affordable and easy to travel to a place of your choice. We're really hooked to it," Singh told IANS.

"After toiling away for hours and days altogether, it's only fair that you treat yourself to a nice vacation. Besides discovering a new place, there is also the thrill of travelling abroad. This year I visited Singapore, Bangkok and Thailand with my family. Now I am planning a Europe tour next year," said Raihana Rahman of Assam.

A number of reasons are cited for this increasing globetrotting trend.

A higher disposable income, a new mindset of 'pampering yourself', the affordability quotient that is offered by numerous holiday packages and cheaper fares from various airlines are some of the reasons.

"Other than the higher disposable income that's pushing families to indulging in themselves, easier bank loans for holidays and more countries having visa relaxations for Indian families, is further boosting the outbound travel industry," noted Goyal.

Apart from the metros, the trend of holidaying abroad is fast catching up in smaller cities and towns, said Ritu Lumba of Vacation Club International.

Places like Nagpur, Vishakhapatnam, Ahmedabad, Nasik, Jaipur, Amritsar and Ludhiana are among places showing a positive growth towards outbound tourism since mid 2006. The average amount spend daily per person is between $75 and $200, with hotel choices varying from three to five stars.

The fact that this does not include airfares or shopping, India stands a higher spender in the outbound market compared to many developed countries.

"Not just once, people are opting for two-three trips abroad a year. The recreational need of people is changing over the time," said Lumba.

Among the holiday destination, the Far East, with Thailand, Singapore, Malaysia and Hong Kong, is a hot favourite among people because travelling to these places is quite affordable.

For instance, Thomas Cook offers a 12-day package tour to Bangkok, Pattaya, Genting, Kuala Lumpur and Singapore for Rs.69, 450. The fare is inclusive of food, accommodation and a three-day river cruise.

In another package, one can explore Thailand for five days at Rs.14,900, inclusive of airfare, food and accommodation in Pattaya and Bangkok, a visit to the Coral Island and a Bangkok city tour.

"Going to Kerala for a holiday might be more expensive than going to the Far East. So people don't mind spending the same amount or even chipping in some extra money and going abroad," said Sachin Rampal of Thomas Cook India.

Europe, which is still on the higher side of the average Indian's travelling budget, is also gaining in popularity.

"I have toured around Europe, Egypt, the US, Bangkok and Singapore in the last couple of years. Though Europe is an expensive affair, I won't mind doing some serious saving and then indulging in yet another tour there," said Aparna Razdan, a freelance writer.

Dubai and China, besides neighbours Bhutan and Nepal, are also popular among holiday-goers. A vacation can be tailor made for you, depending on what kind of holiday you are looking for.

Those in the mood of a holiday filled with adventure sports, Australia and New Zealand are the places to go to. On the other hand, with the wedding season in full swing, honeymooners swear by Mauritius and Maldives.

So with sun shining bright in most of India, guess it's time to pack your bags and put on your globe trotting shoes. Bon Voyage!

Tuesday, May15, 2007
Source: IANS via Economic Times

Investment Related

Travel and Tourism Support Industries …and much more

Policy Related

1. On the right track
A liberalised civil aviation policy has made radical changes in the aviation sector during the last two years. The economic stimuli of airlines, airports and their direct affiliates can be judged by the number of jobs they have created not only in travel but also in other industries.

Demand for air transport is rising and new airlines are being launched every month. Indus Air, the tenth domestic airlines in India, has finally started operations. Apart from this, the fact that the Finance Ministry is considering a proposal to allow domestic airlines to hedge ATF has boosted the sector further. Currently, carriers are allowed to hedge ATF for international flights but are not allowed to do so for domestic operations. Since fuel accounts for 40 per cent of the total cost, airlines now feel confident that the move will allow it to stablise costs and check losses.

Another major breakthrough was allowing private operators of international airports in India the right to decide which company would supply ATF to airlines in their respective airports. Until recently, this was decided by the Airports Authority of India (AAI) but the government has decided it should have no role in restricting the market. The move is expected to spark fierce competition from private operators like Reliance, Essar and Shell.

Where the roads merge:
The merger of Indian and Air India is a positive development. Both the airlines are now looking into the final details like branding and HR issues. It appears that post merger, there will be one full-service airline and one low-cost arm.

This development has to be seen from another angle, one of the national carriers spreading its wings to international routes where we could not utilise our rights to full capacity based on bilateral air traffic rights on international routes between India and other countries. These had been decided on the basis of reciprocity.

The actual utilisation of available rights on international sectors had remained heavily imbalanced - while the utilisation by foreign airlines is over 60 per cent whereas that of Air India/ Indian is around 40 per cent. Hence, there is a loss of business and tourism growth is restricted. The new policy imitative by the Government of India has led to the strengthening of Air India and Indian by acquisition of new aircraft and improved operational synergy between these two airlines. It has allowed eligible Indian scheduled carriers to operate on international routes and to follow Open Sky Policy aggressively without reciprocity contract as primary terms for operations.

Years 2005 and 2006 saw the Government of India approve additional traffic rights to committees like USA, UK, South Africa, and especially USA. Carriers are now authorised to operate to any airport in India. New flights from UK to India can cover new routes and even new destinations. This has opened up places like Hyderabad, Goa, Kochi and Nagpur. The increased availability of air seat capacity matches the growing demand for holiday destinations in India. Earlier, a lack of seat capacity was one of the bottleneck areas for development of India Tourism. But elimination of market control and fair competitive opportunities have shown positive results and have had a significant impact on growth and expansion of both trade and tourism. At least in tourism, it enabled the government to achieve average of 15 per cent year on growth.

Relaxed flying:
It is understood that the eligibility norms for airlines seeking to fly abroad are also set to be relaxed. The government is planning to ease the entry norms to a minimum of three years of domestic operations from the current five years. Low-cost carrier Air Deccan may be the first to make use of relaxed norms since it completed three years in August 2006. Even Kingfisher may join the fray and that will create a strong competition to foreign carriers.

As indicated by Capt Gopinath, Air Deccan's subsidiary in Sri Lanka, Deccan Lanka, may start operations to Singapore, Malaysia, Thailand and Maldives as soon as certain issues are cleared. Kingfisher has already set up a fully-owned company in the US from where it plans to fly to India. Jet Airways has started its operations to Bangkok from Delhi and Kolkata. It plans to fly New York via Brussels around August 2007 and may add a second American city like San Francisco via Shanghai and have flights to Gulf destinations by early 2008.

Similarly, the civil aviation ministry has finalised the draft policy on ground handling, which seeks to bring in at least three players to offer services at airports across India. These airport operators could be private players like the GMR-run Dial or AAI. This is mainly to avoid monopoly and this policy is likely to create competition for state-owned carriers Air India and Indian, which have a strong presence in the ground handling segment. All this has thrown up plenty of opportunities for private investments in the Indian civil aviation scene. With such developments, India is now on a roll with a visibly strong economy and higher rates of GDP growth.

Incomparable India:
The second powerful and visible scene of progress is global recognition. Ministry of Tourism's earlier campaigns were generic and lacked colour. Budget constraints were the main reason for a black and white format. Also, it was always a complex job to have one precise identity for a multicultural destination like India, where each state itself is a product. Incredible India was envisaged to bring a balance to this unique position.

The campaign in the mother brand focused on India as a journey of mind and soul, as a journey of self-fulfillment. This was further strengthened through public-private partnerships. The state governments joined in by developing special thematic products. The results of this branding effort are visible. Lonely Planet in a survey of 167 countries selected India as one of the five top destinations of the world. Even World Tourism Organisation has termed India as the fastest growing travel and tourism destination. Now, a lot of investments are pouring in with 100 per cent FDI regime in hospitality and hospital sectors. India is now on the right path for tourism progress.
Thursday, May17, 2007
Source: Express Travel World

2. Image boost for Bengal tourism
Calcutta will soon smile like Glasgow. Our airport will match the 28-international-flights-per-day scenario of the early 60s and even better it. The Sunderbans will shine and the toy train tantalise as the world reciprocates Bengal’s passion for travel.

Wishful thinking? Not if the state tourism department’s aggressive brand-building drive bears fruit. Stung by the “poor visibility” of Bengal as a tourist destination during its maiden trip to ITB Berlin, the department has embarked on an image-correction initiative.

“Berlin was an eye-opener in many ways and to our horror, we discovered the world knows precious little about our tourist jewels like Bishnupur or Bankura. To dovetail our plans into the Centre’s Incredible India campaign, we have taken a few decisive steps,” state tourism secretary G.D. Gautama told Metro.

To begin with, Ernst & Young, one of the world’s leading professional services organisations, which helps companies and institutions identify and capitalise on business opportunities, has been called in to author a “differential approach”.

Its mandate is four-fold — to prepare a broad tourism policy, identify segmented tourist areas in Bengal, streamline systems and procedures and attract investment through the joint-sector route.

Writers’ Buildings is also appointing a “professional public relations agency” to improve perception.

“We have the products, we just need to package them right and boost infrastructure. The Sunderbans and the Darjeeling Himalayan Railways are both Unesco World Heritage sites and we have failed to leverage this to woo the global tourist,” said Gautama.

While the Union tourism ministry will appoint a consultant to look into ecology, tourism, environment and infrastructure in Bengal, the state has already rolled out a “capacity-building exercise” to improve etiquette and knowledge.

The exercise kicked off with the staff of the tourism department and the Tourism Development Corporation, now being restructured under the DFID scheme. The scope of the exercise will be expanded to include “first points of tourist contacts” like airport immigration officials, police personnel and taxi drivers.

The local travel trade has hailed the exercise. “If the government is being proactive, we will obviously walk that extra mile to try and engineer a reverse tourist traffic to Bengal,” said Anil Punjabi, chairman (east), Travel Agents Federation of India.

Gautama, who is keen to replicate his “IT branding module” in tourism, is planning “an aggressive website” of the department packed with information on destinations like the Dooars and Darjeeling, Murshidabad and Malda, not to mention the heritage structures in Calcutta itself.

“Besides addressing the deficiencies in infrastructure, it's crucial to change the mindset of everybody tied to tourism to achieve results. It doesn’t cost anything to wear a smile and Berlin underlined that,” the tourism secretary stressed.

M.J. Robertson, director and CEO of Vedic Village, agreed ITB Berlin was a big learning curve. Robertson, who was there to showcase the back-to-nature resort near the airport, said: “It was a huge exposure for us and the state delegation. It showed us how much catching up we have to do even in relation to the other states.”

Wednesday, May 16, 2007
Source: The Telegraph

3. The boom region
India's tourism, aided not least by the country's sustained economic upsurge, continues to signal double-digit growth rates. In 2006, the Golden Triangle with the Taj Mahal, the beaches of Goa, the backwaters of Kerala, the temples of Mahabalipuram and the subcontinent's other attractions lured more visitors than ever before.

What is making fewer headlines, although many other countries are feeling the benefit, is that the Indians are themselves travelling increasingly and spending more and more abroad. Many may be surprised to learn that already in 2005 roughly the same number of Indians visited Germany as Germans did the sub-continent - a good 1,30,000 people.

After hefty growth rates last year, the signs for inbound and outbound tourism point to continued growth in 2007. According to Bernhard Steinrucke, director general of the Indo-German Chamber of Commerce, India's international economic importance and importance for tourism continues to increase substantially. "The country is one of the world's most interesting boom regions," he said.

Flourishing tourism with 4.4 mn guests:
India's economy is growing year-on-year at between eight to ten per cent, and foreign investments are rising. In 2006, foreign trade with Germany reached 10 billion Euro for the first time, according to the Chamber of Commerce in Mumbai.

Steinrucke lists India's advantages: a well educated middle class and many ambitious young people, particularly in the high-tech sector. These are now represented throughout the world in high positions. "Without the Indians" says the economics expert, "Silicon Valley would have to close down."

When the economy is booming, tourism also grows, says Ashok Kumar Mishra, secretary at the ministry of tourism in India. But he believes that the country's advertising campaigns, too, are playing their part, as are many public and private initiatives. According to a forecast by the World Travel & Tourism Council (WTTC), over the next 10 years Indian will be among the fastest growing countries in the world, with an annual growth rate of 8.6 per cent. "Our current growth rates in tourism exceed this," says Mishra. Tourism, in the ministry's view, has also benefited particularly from the liberalisation of aviation and easing of regulations on foreign investment. In 2006, 4.4 million guests from around the world visited the subcontinent, an increase of 13 per cent, according to the World Tourism Organisation (UNWTO). Giriraj Singh Kushwaha, Europe director of Indiatourism in Frankfurt, reported that the number of guests arriving from Germany last year climbed from 1,30,000 to an estimated 1,40,000, and he is optimistic that this upward trend will continue in 2007.

Successful rivals are waiting:
Whatever the jubilation at this growth, one of the reasons why tourism is booming now is the country's failure in the past to advertise its attractions abroad. For a long time the tourism industry was like Sleeping Beauty, waiting to awaken from a long sleep. The focus was on developing the agricultural sector and industry. Holidaymakers who visited Maharashtra, Kerala, Tamil Nadu and Orissa 20 years ago, for example could scarcely believe how few foreign guests they encountered in this fascinating country.

India's tourism figures have not yet put it among the leaders in Asia. The competition is not lying dormant and a number of rivals are already enjoying great success. India is currently recording only about a third of the number of foreign visitors that Thailand receives and has fewer visitors than South Korea (Republic of Korea). Differentials in value added and income between India and the Republic of China or Japan continue to be very large. According to UNWTO, the People's Republic of China leads the field in Asia with just under 50 million arrivals in 2006.

International recognition for Incredible India:
According to the World Tourism Barometer published by UNWTO in Madrid in February, the Incredible India campaign has contributed to the steady rise in the country's profile and has had a positive effect on stimulating demand. It lists improved tourism products, the expansion of aviation and the many new low-cost carriers as other reasons for success. According to UNWTO, spending by tourists in India rose from US$ 6,170 billion in 2004 to US$ 7,478 billion in 2005. There was a 19 per cent increase up to September 2006.

Expansion of hotel and airport capacity:
High growth rates alone are not everything. India's tourism minister, Ambika Soni, is anxious to avoid frantic growth to ensure that the infrastructure including the transport system and hotels can keep pace with demand. Kerala is a case in point. The efforts of the regional tourism authority to showcase the state on the Arabian Sea around the world as a must-see destination continue to be successful.

But initially the number of guests grew faster than the number of hotel rooms. In some places there were not enough rooms to cope with demand. Two years ago the regional press reported that marketing successes could create problematic situations. Currently the number of midrange and luxury class hotel rooms in Kerala is increasing by 15 per cent a year, according to Jose Dominic, president of the Kerala Travel Mart (KTM) Society. Anyone landing at Thiruvanathapuram International Airport a few months ago could see that the airport was operating at full capacity. Today, expansion of hotels and roads is progressing with airport privatisation speeded up.

Training for taxi drivers, travel guides:
According to the motto of its campaign, which in Sanskrit reads 'Atithi Devo Bhava' - guest is god, the tourism ministry in New Delhi wants workers in the sector to treat customers better than kings. Over 26,000 taxi drivers, travel guides and restaurant managers are being specially trained in hospitality, with the first phase of the training being staged in cities such as New Delhi, Mumbai, Jaipur and Goa. Over six per cent of India's workforce now works in the tourism industry. The government is also supporting the creation of jobs in rural tourism through local crafts, traditional folklore and culture. It is hoped that by 2010 a total of 25 million new jobs will have been created in tourism, according to a report by the eTurboNews media service in New Delhi.

Indians are coming:
With a population of over 1.1 billion people and GDP growth of over eight per cent per year, India, as Nancy Cockerell, The Travel Business Partnership's editorial director told a PATA workshop in Hong Kong in September 2006, offers enormous potential for future growth of outbound travel. By as early as 2008 it is likely that Indians will be spending more than four billion US dollars on foreign travel. The country's middle class is an estimated 300 million. And, said Cockerell, these people are beginning to demand higher quality when they travel. Steinrucke says, "For Germany, too, the country is becoming an increasingly important source market". According to figures from DZT, the German National Tourist Board, some 1,31,000 Indians made business trips to or visited friends and family in Germany in 2005, making Germany the second most important market in Europe after Great Britain (272,000 arrivals). DZT figures indicate that they stayed an average of 11 nights and spent 121 Euros per day.

Growth of air travel:
The Indian air travel market is defined by growing competition and more low-cost carriers as well as mergers of airlines. At the same time international airlines are considerably expanding their routes. The national carriers, Air India and Indian, which are to merge, offer lower prices, for example, to Great Britain and Thailand. In each case it is the customer who benefits.

Airports, airlines and fleets have been considerably enlarged and modernised, Robert J Aaronson, director general of Airports Council International (ACI), said. The fleet of airlines, he reported, currently numbers 270 aircraft; 480 are to be delivered and brought into service within the next seven years. Aaronson also quoted an example of this breakneck growth: in August 2004 there were 34 non-stop services between India and Great Britain each week. Two years later, in August 2006, the figure had risen to 121.

Air traffic between Germany and India is also experiencing tremendous growth. The number of Lufthansa flights almost tripled between 2000 and 2007. Spokesman Boris Ogurksy says, "We now have 45 non-stop flights from Frankfurt and Munich to India a week, more flights between Europe and India than any other carrier." The German airline now flies to six destinations: Mumbai, Delhi, Hyderabad, Bangalore, Chennai and Kolkata.

"Lufthansa has plans for further expansion in India", says Ogursky. "The market has a lot of potential. Since 2004 Lufthansa and Air India have offered customers 402 flights a week under a codeshare arrangement." Lufthansa, he reports, regard the merger of Air India and Indian positively since it will strengthen their position in the Indian market. Sri Lankan Airlines, too, is looking to increase its services to its neighbour in the course of the year to over 100 flights a week, according to Nicky Samarasinghe, its director for Germany and Italy. The airline currently serves 10 destinations in India. It hopes that new destinations in the schedule such as Goa will encourage travellers from Germany to fly to India via Colombo.

The wealthy and pensioners are coming:
The first hippies arrived in India's smallest state on the Arabian Sea in the sixties, the first German package tourists in the eighties. Since then countless Bollywood stars have been building luxury villas in Goa. Today Condor planes are also full of pensioners who spend a few winter months there to take advantage of the agreeable climate and favourable prices. "Since Condor is the only airline in Europe to offer non-stop flights to Goa, the demand from international guests too is very high," says spokeswoman, Nina Dumbert. The company flies there twice a week. "Tourism has become the most important branch of our economy," says Goa's deputy tourism director, Pamela Maria Mascarenhas.

Further north in the state of Maharashtra with its metropolis Mumbai and the centre of the Bollywood film industry, things are more businesslike and brisk. Bhushan Gagrani, managing director of Maharashtra Tourism Development Corporation, is seeking to ensure that visitors to the big city and business guests get to know the attractions of the surrounding area. "Today there is better co-operation between state bodies and the private sector. We are working well together. In some places there is a shortage of new hotels," says the director, who wants to further open up the 720-kilometre coastline and 400 or so historic forts to tourism.

Luxury hotels in demand :
Luxury tours are much in demand today, including round trips in the north and in the Himalayas with night stops in palace hotels, as well as exclusive trips by boat through the backwaters of Kerala, complete with cook and butler. In the Golden Triangle comprising the cities of New Delhi, Jaipur and Agra, demand has led to a shortage of good quality rooms.

German operators are also reporting that prices are rising. As of now, India has some 1,00,000 tourist class hotel rooms. To cover growing demand and to have a share of lucrative business, international hotel chains and brands such as Accor, Ibis, Regent, Radisson, Marriott and Shangri-La are planning new and additional investments. Homegrown companies too, like Oberoi and Taj Hotels, are expanding. "Competition is revitalising business and doing India good. We are very pleased with how well we are doing," says Gev Patel, director of sales at Taj Hotels Resorts & Palaces. The company, which is part of the Tata Group, has 73 hotels, 56 of them in India, and wants to expand further.

Something for everyone:
India's strength is that there is something to suit every taste and every pocket. Even the ayurveda movement has long since embraced exclusivity. At Kalari Kovilakom in Kerala, for example, a maximum of 18 guests seeking purity and harmony for nature, body and soul are looked after by some 50 staff members.

In the former maharajah's palace traditional ayurvedic healing therapies are offered as they have been for centuries. Dr Jouhar Kanhirala, a doctor at the centre, reports that German tourists in particular are interested in authentic treatments both there and in India in general. One day at Kalari Kovilakom can cost up to US$ 400.

Ginger Hotels, part of the Taj Group, is a new chain established for businesspeople and cost-conscious travellers which offers rooms from as little US$ 25. In Periyar Park in Kerala, home to tigers and elephants, many families offer home-stays, benefiting from a tax exemption if they rent out fewer than six rooms. "This brings us all extra income," says Sujatha Murali who offers five rooms in her Mickey's Cottage at prices starting at US$ 10.

Quicker visas
If it were not for the fact that most of India's source markets are subject to a visa requirement, tourism growth rates might look quite different. "The average tourist spends around US$ 2,000 in India," says R Parthiban, director of Swagatham Tours & Travel. Tourists canceling their trip because of visa problems, he says, mean financial losses for travel agents, incoming operators and the Indian economy. Tourism minister, Ambika Soni, wants to ensure that tourists do not have to wait longer than 36-48 hours for their visa. She also told Kerala Travel Mart (KTM) 2006 that multiple visas would be issued to promote travel to India.

German operators are positive
TUI reinstated India in its winter programme two years ago. "Currently bookings are still lagging behind our expectations, but we can certainly see potential in this multi-faceted country," reports spokesperson, Alexa Huner. Air tours product manager, Jordis Scherer, reports that luxury hotels in the north as well as the new wellness hotels and luxury safari lodges are particularly popular.

Meanwhile, Gebeco claims an upward trend in bookings for India trips and expects this to continue in 2007. Less well-known regions are to be added to the programme to tempt returning guests. One of the areas India is focusing on is religious and health tourism. "There is still a lot of potential for trips to famous sacred places in our country, as well as stays including affordable treatments and operations in international standard clinics," says Dr Singh Sikand, tourism advisor and lecturer in religious tourism at the Universities of Frankfurt am Main and Mainz.
Thursday, May17, 2007
Source: Express Travel World via The German Press Agency

Service Providers

1. International Travel net up 43 pc

International Travel House net profit rose 43 per cent to Rs 10.02 crore for the year ended March 2007.

Turnover of the travel company rose to Rs 581.31 crore for the period under review against Rs 490.33 crore during the previous year, a company statement said here on Thursday.

The company declared a dividend of 30 per cent for the year.

Thursday, May 17, 2007
Source: PTI via Economic Times