Home / News / India /  Industry body seeks corpus fund for tourism infrastructure

New Delhi: Industry body PHD Chamber of Commerce and Industry, in its recommendations for the union budget 2023-24, has suggested setting up a corpus fund for tourism infrastructure.

It has sought industry status for the tourism sector and setting up the corpus fund to underwrite their national industry status by compensating states for any losses.

Industry status for a sector helps the players in the segment avail finance easily at cheaper rates thereby helping the industry to grow. It has been a long standing demand of the hospitality sector to accord industry status to the sector.

To fast track investments, it has recommended establishing a centralized approval system for most common approvals, licenses and permits on an e-approval basis. These should be granted within a pre-defined frame or deemed to be approved, it said.

“Make a provision for one country-one road tax for tourist transportation to encourage seamless road travel across India," the industry body said.

The industry body has also suggested the creation a provision for income tax set off for Indians for holidays and conducting conferences and exhibitions within India.

“Create a global bidding fund for bidding starting with a corpus of 100 crores to enable Indian companies to bid for meetings, incentives, conferences & events," it added.

Tourism was one of the most affected sectors in the country amid the pandemic and the lockdowns. In a bid to revive tourism and hospitality, Centre has announced a number of measures of the past two years including, bringing hospitality under the emergency credit line guarantee scheme (ECLGS).

According to estimates tourism is expected to contribute $250 billion to India’s GDP, along with creating 137 million jobs, $56 billion of foreign exchange earnings and by 2030.

By 2028, Indian tourism and hospitality is expected to earn $50.9 billion as visitor exports compared with $28.9 billion in 2018. International tourist arrivals are expected to reach 30.5 million by 2028.

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less

Recommended For You

Trending Stocks

Get alerts on WhatsApp
Set Preferences My ReadsWatchlistFeedbackRedeem a Gift CardLogout