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The world was a changed place after World War II. Marshall Plan made tourism one of its planks to help revive the war-torn economies of Western Europe, which laid the foundation stone for building the structure of modern tourism. Government of India took note of this and appointed a committee in 1946 under the chairmanship of Sir John Sargent, Secretary, Department of Education, to advise the government on the promotion and development of tourism. Although the Committee did not complete its work, the Interim Report was submitted in 1947
Tourism Development in India
In 1949: Tourism in India made its beginnings as a Tourist Traffic Branch in the Ministry of Transport In 1951: Expanded into four field offices in the four metros ± Delhi, Bombay, Calcutta and Madras. In 1958: A separate Department of Tourism was established within the Ministry of Transport as per the recommendations of the Estimates Committee. In 1967: the Ministry of Tourism and Civil Aviation was finally established
Tourism Development in India
Tourism has transformed itself into a priority sector for the government as indicated by plan outlay for the sector increased from 336 lakhs in the II Plan to 2900 crores in the X plan. 9290 crores proposed in XI But the need for a tourism policy was not felt in the country until much later, by which time the scope and implications of modern tourism had drastically changed.
Tourism Policy Development
The Estimates Committee of Parliament in its 42nd Report in 1972-73 had recommended that the government should formulate a µtourist promotion policy¶. To this, the government¶s reply was as follows ± ³The national policy on tourism has already been laid down from time to time in successive plans which provide a clear framework for implementation at all levels. In this connection it has to be borne in mind that tourism is a fast changing activity and government has to keep its options open to adjusts its policies and programmes according to the changing needs of international tourism´.
the statement made it abundantly clear that the priority of the government was international tourism. . that the national government did not see the need for an independent policy for tourism and sought to use the five-year plans as a substitute. Secondly. Firstly. the government did not seem to understand that the purpose of a tourism policy was to provide a general direction regarding the form and mode of tourism development in the country.Tourism Policy Development Following inferences can be made from the above statement. Lastly.
to the current widened role of trying to secure socioeconomic advancement and sustained development. .Scope of Policy Over the years however.from the earlier narrow focus of using it as a device to set right the disequilibrium in Balance of Payments. the objectives of tourism policy in the country have undergone significant changes .
Tourism policies today are comprehensive statements that apart from speaking about objectives and strategies have devoted special attention to aspects like circuit development. . incentives and concessions.Scope of Policy Initially. marketing strategies and SWOT analyses. policy identified broad objectives and outlined the framework for tourism development and promotion.
. The fundamental question however is ± What model of development has the government adopted?.Analysis of policies in general Policy in India has time and again outlined objectives of income generation. employment generation and a fair and secure social order through equitable distribution of wealth. It therefore seeks to use tourism as a toll of Development to try and achieve the above stated objectives.
employment and other tangible variables are the basis for developing the sector and judging its performance.Analysis of policies in general In India. In such a model . the model of development chosen is one based on the MARKET where market indicators like levels of income.issues of entitlements and rights of local communities do not find place .
It is to facilitate such investment from private and foreign parties that the need arises to offer incentives and concessions that would attract investment into the sector.Analysis of policies in general Market driven tourism development requires integrated development The need for concentrated tourism entails the identification of sites. foreign investors whose involvement in the sector has been sanctioned through liberalization policies and lastly the government. destinations and circuits ± that facilitate such tourism would require significant financial resources Finance normally has three sources ± private entrepreneurs who are looking for lucrative markets to invest in. .
It also realizes that ± µunregulated tourism may have adverse impacts on the environment. . social fibre and cultural heritage of the country¶.National Tourism Policy 1982 First full-fledged Tourism policy issued by the central government Acknowledges tourism as an industry capable of fostering better understanding and peaceful coexistence among the nations of the world. It offers immense scope for steering the Indian economy towards a path of development being an important source of employment and foreign exchange while simultaneously allowing for flexibility in its operation.
India¶s share in the global tourist traffic having grown from 0.National Tourism Policy 1982 Key Focus/General Tone The policy projects India as a world-class tourist destination.44% in 1981 The policy acknowledges this trend and seeks to completely exploit the tourism industry to bring in more foreign exchange. .066% in 1951 to 0.
National Tourism Policy 1982 Objectives/principles/Aim Foster better understanding among actions and serve as a unifying force ± nationally and internationally Develop tourism in India on original lines while using it to preserve our heritage and strengthen our values and culture. . income. Enable the youth of the country to utilize tourism in realizing their aspirations and thereby contributing to nation building. foreign exchange. and revenue for states and by improving habitats. Bring its socio-economic benefits to the community by generating higher levels of employment.
. International Tourism ± upgrade facilities for international tourists as it helps foster better understanding and brings in valuable foreign exchange.National Tourism Policy 1982 Development Focus Domestic Tourism ± substantially improve and expand facilities for domestic tourists. Fully exploit the rich heritage of archaeological monuments and religious centers the country has to offer. Cultural Tourism ± take adequate steps for the maintenance and upkeep of historical monuments with the assistance of the ASI and state governments.
central and state governments and the airways. destruction of traditions MAY ADVERSLY AFFECT TOURISM DEVELOPMENT. disruption of ecosystems. railways and communications. Iran and the Maldives.National Tourism Policy 1982 Development Focus Common endeavor ± develop a comprehensive. . Conservation and Development ± to maintain a judicious balance between conservation and development as negative aspects of tourism like despoliation of resources. Regional Tourism ± promoting tourism among the nations of South Asia and extending it over to include Afghanistan. allround plan for tourism development and make it a joint effort by coordinating activities of the public and private sectors.
¶ Development Focus . Therefore the impact of tourism should be such that it helps reduce the country¶s international trade deficits and µbrings sizeable socio-economic benefits to those regions of the country which are rich in tourism potential.National Tourism Policy 1982 Tourism Impact ± µthe impact of tourism is difficult to measure as it is a pervasive activity rather than a tangible commodity and it therefore can be assessed more easily in specific situations where the parameters can be more precisely defined¶. To validate the above statement the policy states the µimpacts¶ of the Gulmarg Winter Sports Project in terms of an envisaged net social benefit of 600 crores over the next 25-30 years and a multiplier effect of 3.3 on the economy.
Infrastructure ± develop infrastructure based on the travel circuit concept allowing for the diversification of tourist attractions.National Tourism Policy 1982 Development Focus New Ethos and Value ± enable tourism to preserve and promote the cultural and social values of our land and give our people a sense of unity. belonging and pride. . Promoting Youth Tourism ± to allow for a better exchange of ideas and understanding among the younger generation. Priority ± to give priority to schemes that yield economic returns and generate social benefits.
Encourage private sector investment by extending fiscal and other incentives on par with those offered to export-oriented industries. . The two regions to be given special attention are ± WANA (West Asian. North African) tourists Buddhist Tourists Manpower development to improve efficiency in service and management.National Tourism Policy 1982 Development Focus Develop tourism options for tourists from the lower and middle classes of society specifically with reference to pilgrimage centers by providing cheap accommodation. Marketing Strategy ± adopt a strategy that aims at broadening the existing markets and exploring new markets.
.National Tourism Policy 1982 Circuit Development No circuits were specifically identified in the policy although the policy stated that tourism should develop along the lines of circuits.
National Tourism Policy 1982 Incentives offered Although the document stated that incentives would be offered by the central and state governments to foster private sector investment in the industry. no specific incentive schemes were outlined. .
disruption of the ecosystem¶«etc. The need to preserve the environment is considered essential only so that it continues to offer opportunities for further development of tourism.National Tourism Policy 1982 Reference to key issues Issues relating to Women and Children have not been addressed at all by the policy Environment ± although the policy states that tourism may lead to µdespoliation of the natural environment. it looks at these only from the perspective of being obstacles in the path of tourism development. .
it pays no attention to the problems that host/local communities will face as a result of tourism. International Conventions like the Convention on Biological Diversity and the United Nations Environmental Programme have not been acknowledged at all.National Tourism Policy 1982 Reference to key issues Host Communities ± although throughout its length and breadth the policy claims that tourism brings socio-economic benefits to the community. . The policy completely overlooks issues like the rights of local communities and panchayats to participate in the tourism development process.
National Committee on Tourism Report 1988 The National Committee on Tourism was set up in 1986 to evolve a perspective plan for tourism development The report elaborated upon issues including Civil Aviation. . Human Resource Development. etc. It emphasized the need for India to improve its share in the global tourist traffic and thereby attract more foreign exchange into the economy. Organizational Structure.
Incapacity of the institutional framework to deal with the high volume of tourist inflow. These were ± No assessments of the carrying capacities of the areas or of the negative social and environmental impacts that tourism projects may have. Non-integration of tourism into the overall development plans of the country . Ignorance of the tourists. It identified four broad reasons why tourist had led to environmental degradation over the past decade.National Committee on Tourism Report 1988 The report clearly stresses upon the fact that if tourism continued to grow in such a blindly furious manner it would certainly cause irreversible environmental damage.
National Committee on Tourism Report 1988 To remedy the situation the report suggested that an assessment be made of the carrying capacity of each region including the anticipated environmental impacts that a tourism project may have. Also ecologically sensitive regions should be completely cordoned off for tourists and should be left undisturbed. .
National Plan for Tourism 1992 Gives an overview of the tourism industry in the country by stating that the volume of domestic and foreign tourists was 62.3 million and 1.7 million respectively. The industry brought in 3300 crores worth of foreign exchange and gave direct employment to nearly 5. serious efforts should be made to accelerate the growth of the industry. . Given these dimensions and the potential that exits.5 million persons.
identify locations for concentrated development of tourism. It elaborated upon the need to encourage private entrepreneurship. restructuring institutions for manpower development and undertaking massive marketing campaigns. .National Plan for Tourism 1992 Key Focus/General Tone The 1992 action plan was the central government¶s attempt to place tourism within the overall liberalized and privatized framework that the New Economic Policy prescribed for the country.
National Plan for Tourism 1992 Objectives Socio-economic development of areas Increasing employment opportunities Developing domestic tourism for the budget category Preserving national heritage and environment Development of international tourism Diversification of the tourism product Increase in India¶s share in world tourism .
.National Plan for Tourism 1992 Development Strategy The policy adopts a four pronged development strategy for tourism development Improving infrastructure Developing areas on a selective basis for integrated development Restructuring and strengthening the institutional framework Evolving a policy to increase foreign tourist arrivals and foreign exchange.
National Plan for Tourism 1992 Development Strategy It seeks to promote tourism in the country under the following heads Encourage private initiative in the sector and leave the reigns of developing tourism services completely in private hands. paying-guest accommodation and apartment hotels. Earmarking a sum of Rs. Undertake the large-scale promotion of the hotel industry to eliminate the accommodation constraints faced by most tourists. Facilitate domestic tourism especially for low budget tourists by arranging for tented accommodation. . 5 crores every year to help develop pilgrim centers.
Also to promote local culture by arranging for cultural evenings at all important tourist destinations Take steps to improve road transport and civil aviation.National Plan for Tourism 1992 Development Strategy Provide liberal financial assistance to set up Crafts Villages. organize traditional fairs and festivals (like the Pushkar Mela. etc). importing coaches for the Buddhist Circuit Take steps to improve Conference Tourism and set up a convention center with all facilities of international standard . Alleppey Boat Race.
. Devising a marketing strategy that helps in diversifying the tourism product of the country and helps foreign tourists get a peek at the lesser-known attractions that rural India has to offer. Set up TOURNET ± a computerized multi-lingual tourism information structure. The National Culinary Institute to be set up along with regional hotel management and catering institutes to cater to small regions. It also proposes to convert the Indian Institute of Tourism and Travel Management into the premier institute in the country.National Plan for Tourism 1992 Development Strategy Restructuring and improving manpower resources for the sector.
National Plan for Tourism 1992 Circuit Development Kulu-Manali-Leh Gwaloir-Shivpuri-Orchha-Khajuraho Bagdogra-Sikkim-Darjeeling-Kalimpong Bhubhaneshwar-Puri-Konark Hyderabad-Nagarjunasagar-Tirupati Madras-Mamallapuram-Pondicherry Rishikesh-Narendranagar-Gangotri-Badrinath Indore-Ujjain-Maheshwar-Omkareshwar-Mandu Jaisalmer-Jodhpur-Bikaner-Barmer Lakshadweep Islands Andaman Islands .
. The Special Area Development Authority would provide a single-window clearance for all projects to be developed in the region.National Plan for Tourism 1992 Circuit Development (Solang ± Nalah) Bekal Beach Muttukadu Beach Kangra (Pong Dam) The Plan also recognised the need for identifying Special Tourism Areas by the state governments for integrated development of tourism facilities.
75 lakhs for 4-5 star hotels and 3% for all other hotels .National Plan for Tourism 1992 Incentives/Concessions offered Hotel Industry 50% of income earned on account of foreign exchange earned to be exempt from income tax 50% of income exempted from income tax if reinvested in the tourism industry Hotels set up in rural areas/hill stations/pilgrim centers/havelis in rural areas are exempted from expenditure tax and 50% of income tax for ten years An internal subsidy of 1% on loans upto Rs.
2. 50 lakhs for heritage hotel projects In tune with the New Industrial Policy of 1991.National Plan for Tourism 1992 Incentives/Concessions offered Hotels set up in Special Tourism Areas shall get a internal subsidy of 5% for all 1. 3 star hotels The Tourism Finance Corporation of India is to provide loans upto Rs. automatic approval will be given for foreign investment projects upto 51% equity .
National Plan for Tourism 1992 Incentives/Concessions offered Other Tourism Projects Tourism Projects developed in the Special Areas shall receive the following additional concessions of ± freeze water and electricity rates for at least 10 years ± exempt from all local body/ state taxes for at least ten years .
Tourism Education. Host communities. Children.National Plan for Tourism 1992 Reference to Key issues The action plan completely overlooks issues of Women. Sustainability. The policy is completely hollow in that it states socioeconomic development of areas as an objective but does not undertake any measures to achieve the same. Although it realizes that environment preservation and enrichment should form an integral part of tourism development. the Committee on Sustainable Development and the UNEP. . it does not make any mention of what negative impacts tourism development has had on the environment and what steps need to be taken to remedy the situation. the role of Panchayats and even makes no mention of International Conventions like the Convention on Biological Diversity.
The department brought out the draft policy a few months earlier which was circulated among all the stakeholders and concerned groups for discussion.is what India needs the most.¶ .National Tourism Policy 2002 The National Tourism Policy ± 2002 is considered the result of long deliberations and discussions among all groups related to tourism. Another precursor to the final policy was the Chief Minister¶s Conference held in October 2001. where the Prime Minister stated that ± µTourism is a major engine of economic growth in most parts of the world«.
The NTP has emphasized that it is the Private Sector and Foreign Investment which will alone provide the impetus for pushing the Tourism sector. has tried to place the Tourism Industry within the liberalized and privatized framework that the Indian Economy has adopted today. The policy seeks to enhance employment potential within the sector as well as to foster economic integration.National Tourism Policy 2002 Key areas/General tone The National Tourism Policy (NTP). and thereby the Economy ahead. . The policy has highlighted the principle of sustainable development.
National Tourism Policy 2002 Objectives/Principles/Aim To increase India¶s share in the world tourist traffic which has hitherto remained stagnant at an unimpressive 0. To develop tourism as an enterprise that is government ± led private sector ± driven and community welfare ± oriented. It is also the responsibility of the government and the private sector to safeguard the socio ± economic advancement of the local communities. Also to take full advantage of the global trend indicating a shift in the international tourist traffic movement in favour of the less ± developed countries.38%. To develop tourism as an µmajor engine of economic growth¶ .
rural upliftment and provide viable means of livelihood to vulnerable sections like women.National Tourism Policy 2002 Objectives/Principles/Aim To develop the sector along the right lines by realizing that it could foster sustainable development. To recognise the deep rooted relationship between tourism and the country¶s cultural assets and take steps for the proper upkeep and environmental up gradation of our monuments. . youth. the disabled. Environment and Forests. employment generation. To develop effective linkages and close coordination among various departments connected with tourism like ± Civil Aviation.
improve our environment and facilitate the growth of a fairer and just social order. help in advancing the status of women. To promote Pilgrim Tourism. . Adventure Tourism and Health Tourism by encouraging health forms like Yoga and Siddha. Eco Tourism to mean more than just Nature Tourism and to help in the elimination of poverty and unemployment. To promote rural tourism in a bid to promote the lesserknown cultural assets of rural India.National Tourism Policy 2002 Objectives/Principles/Aim µSustainability should act as a guiding star for the new policy¶. preserve our cultural heritage. The policy states clearly that Tourism should develop as a µsmokeless industry¶ with no over exploitation of resources and by respecting the carrying capacities of the regions.
WTTC and Earth Council. Panchayats are to play a significant role in providing local accommodation.National Tourism Policy 2002 Objectives/Principles/Aim To promote simple and non ± expensive forms of accommodation to cater to the needs of young adventure tourists. India to play a dynamic role in the international scene by making its presence felt at organizations like the WTO. A section of the state police to be earmarked as tourist police to maintain the safety and security of the tourists. . The tourism industry to be encouraged to adopt a Code of Ethics to guide its functioning.
Acknowledge the need to adopt sustainable development programmes and to address the negative impacts that tourism may have on the socio ± economic fibre or the regions. mentally rejuvenated. Finally to ensure that the tourist to India gets µphysically invigorated. To take all steps to overcome this weakness.National Tourism Policy 2002 Objectives/Principles/Aim The SWOT analysis has revealed that a major weakness of the sector has been the lack of community participation leading to even hostility in certain cases.¶ . culturally enriched and spiritually elevated¶ and to µfeel India from within.
National Tourism Policy 2002 Development Strategy/Focus The NTP development strategy states five of its key objectives ± Develop tourism as a national priority Enhance India¶s competitiveness as a tourist destination Improving the existing tourism products and expanding them to meet the market requirements Creation of world class infrastructure Developing sustained and effective marketing plans .
increasing air capacity. etc/. providing for specialized tourist police. Increasing India¶s Competitiveness as a tourism destination ± to initiate schemes like Visa on arrival.National Tourism Policy 2002 Development Strategy/Focus The NTP has sought to develop tourism in the country under the following main heads Position tourism as a National Priority ± the NTP proposes the inclusion of tourism in the Concurrent list of the Constitution in order to allow both the central and state governments to play an effective and coordinated role in tourism development. . computerization of all procedures to improve efficiency.
develop India as a µshopper¶s paradise¶ and as an µinternational conference and convention center¶. adventure tourism. Promote Village Tourism as the chief form of spreading the socio-economic benefits of tourism to rural areas as well. Develop Ecotourism in priority regions like the Himalayas. . North ± East.National Tourism Policy 2002 Development Strategy/Focus Expanding Product Development ± encouragement to be given to the following forms of tourism ± Culture tourism. promote traditional cuisines. and make it a community based movement. business tourism. beach and coastal tourism. and the Andaman and Nicobar Islands. organise fairs and festivals. Western Ghats. health tourism. international cruises.
develop 100 railway hotels thereby adding an additional 10. 00 rooms to our accommodation sector. ± Improve waterways by developing the potential for river cruises in Kerala and the North ± East .National Tourism Policy 2002 Development Strategy/Focus Undertake large-scale Infrastructure Development ± Developing integrated travel circuits ± Improving roadways by constructing and improving highways that link our heritage centers ± Improve the railways by introducing specialized tourist trains on the lines of the µPalace on Wheels¶. creating railway heritage buildings and develop the hill railways.
Utilise the Internet as an effective marketing agent. .National Tourism Policy 2002 Development Strategy/Focus Make the Marketing strategy more competitive and aggressive and create an Indian Tourism Brand Position by adopting an appropriate catch line like Malaysia¶s µTruly Asia¶. Create a brand image tat centers around the country¶s rich Vedic heritage and develop it as a destination symbolizing a confluence of varied cultures and civilizations.
The following regions have been specifically identifies by the policy for development The West Coast including Goa. Develop New Delhi and Mumbai as µWorld Cities. Ladakh. Adventure tourism in the Himalayas Eco Tourism in the Himalayas. Chattisgarh. Jharhand. Kutch. Uttaranchal. Rajasthan.¶ Develop a potential ocean ± going circuit in Mumbai ± Goa ± Lakshadweep ± Cochin ± Colombo ± Maldives National Tourism Policy 2002 Circuit Development . Kerala and North Karnataka for Beach and Coastal Tourism Cochin and the Andamans as a cruise destination Develop Village Tourism in the North ± East. the North East. Lakshadweep and the Andamans. Western Ghats.
These are Bodhgaya-Rajgir±Nalanda±Varanasi Chandigarh-Bilaspur-Kulu-Manali-Lahul-Spiti-Leh Ahmedabad-Rajkot-Dwarka-Porbandar-SomnathGirnar-Palinata Chennai-Mamallapuram-KanchipuramThiruvannamalai-Gingee-Pondicherry Palakkad-Kochi-Kottayam-Thiruvananthapuram Guwahati-Kaziranga-Shillong-Tawang .National Tourism Policy 2002 Circuit Development The government also identified six new circuits in 2002.
Circuit Development A government order issued by the Joint Secretary (Ministry of Tourism) also identified the following circuits for integrated tourism development in 2002-2003 Eastern Region ( Buddhist circuit ) . wildlife and nature circuit ) ± Gwalior-Shivpuri-Chanderi-Orchcha-Khajuraho-JhansiBhopal-Sanchi and surrounding areas-Bhimbekta-Panch amari-Kanha-Jabalpur (Bhedaghat) .Bodhgaya-Rajgir± Nalanda±Varanasi Northern region ( Himalayan circuit ) ± ROUTE I : Chandigarh ± Bilaspur ± Kullu ± Manali ± Rohtang La ± Key Long ± Sarchu ± Upshi ± Leh ROUTE II ± Shimla ± Sangla ± Kaza ± Chatru ± Keylong ± Sarchu.Yashi ± Leh Central Circuit ( Heritage.
Circuit Development Western circuit (Konkan Riviera circuit ) ± Bombay-Alibagh(Mandva)-Sindhudurg-TarkaliShiroda-Savantwadi-Amboli-Goa-Coastal KarnatakaBekal Southern circuit (Backwater and Beach circuit) ± Cochin-Kumarakam-Kottayam-Quilon-Trivandrum (Kovalam) Northeast circuit (Ecotourism circuit) ± ShillongGuwahati-Kaziranga-Tezpur-Bhakalpur-Twang(AP)Majuli-Sibsagar-Kohima .
. it has placed the tourism policy within the economy¶s liberalized environment and proposed the liberalization of the operation of passenger services along the coast.National Tourism Policy 2002 Incentives/Concessions offered Although the policy has not stated specific concessions that the central government would be offering investors.
The atrocities that tourism has perpetrated towards children have been completely overlooked. µwomen¶. µlocal communities¶. have found a place in the 2002 NTP. Specific issues have been dealt with in the following manner Women and Children ± although the policy states the enhancement of the status of women as a broad objective. .National Tourism Policy 2002 Reference to key issues Words like µsustainable development. which were absent from previous policies. it does not address specific issues. Sustainability ± the policy has realized the need to develop tourism in an environmentally sustainable manner.
That apart.National Tourism Policy 2002 Reference to key issues International Conventions ± the policy principles state that India should make her presence felt in the international tourism scene. GATS. more than concentrating mere on foreign exchange earnings should broaden its objectives to include poverty eradication. CSD and the GATS. the policy has made an attempt at realizing that Tourism. . It mentions µstakeholders¶ as well in the same narrow context. But she cannot do so effectively until the government acknowledges the international conventions like the CBD. The policy mentions the role of Panchayats but in the very limited sense of assisting in providing cheap local accommodation. employment generation and ensuring a fairer social order.
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