Summary:
- India is considering a harmonized infrastructure status for hotels, the tourism minister said.
- The move aims to make tourism a driver of economic growth.
- FICCI President-elect Anant Goenka praised the government’s initiatives.
INDIA IS CONSIDERING a harmonized infrastructure status for the hotel industry, said Gajendra Singh Shekhawat, India’s minister of tourism and culture. He said the move could open new capital inflows and support the country’s tourism sector.
“This long-standing demand will unlock capital, expand room inventory and improve our global price competitiveness,” the minister said at the 98th AGM and annual convention of the Federation of Indian Chambers of Commerce and Industry.
The statement was part of an address outlining the government’s plan to develop tourism into a $1 trillion sector generating millions of jobs by 2047, when India marks its centenary of independence, the Economic Times reported.
Shekhawat said achieving this goal requires more private investment and new hospitality models to compete with regional peers. The consideration of infrastructure status is part of a government effort to make tourism a driver of economic growth, the Times reported.
The sector contributes 5.2 percent directly to India’s GDP and supports 84 million livelihoods, said FICCI President Harsha Vardhan Agarwal, noting it could become a $250 billion opportunity by 2030 with proper policy support, according to the Times.
India has launched what Shekhawat called “one of the largest tourism infrastructure programs in the world,” with more than $1.34 billion or Rs 12,000 crore invested in destination development, the Times reported. The government is developing 50 destinations under a challenge-mode framework, encouraging states to compete on infrastructure, user experience and sustainability.
Shekhawat highlighted changes in India’s connectivity infrastructure over the past decade: operational airports grew from fewer than 75 to 127, alongside 10 cruise terminals, 150,000 kilometers of new highways, 38 inland waterways and more than 10,000 kilometers of metro lines across 23 tier I and II cities.
“The rejuvenation of temple corridors, including Kashi, Mahakal, Kedarnath, Puri and Ayodhya, is one of the most significant tourism initiatives in India,” he said, according to the Times.
The minister also highlighted India’s role in wellness tourism, medical value travel and integrated healing pathways, noting the country’s concert tourism sector and its hosting of the 2030 Commonwealth Games in Gujarat.
However, gaps remain. FICCI President noted that India attracts only 10 million international visitors, compared with 90 million in France, 84 million in Spain and 80 million in the U.S.
“This shows not a gap in potential, but a vast opportunity waiting to be unlocked,” Agarwal said.
FICCI President-elect Anant Goenka praised government initiatives, including Swadesh Darshan 2.0 and the Pilgrimage Rejuvenation and Spiritual Heritage Augmentation Drive, noting they support global standards and visitor experience while developing tourism assets, the Times reported.
A recent ICRA report found that India’s hotel demand is expected to exceed supply over the next three years, supporting prices and occupancy.
