Foreign exchange revenue that the tourism services earn and the employment it triggers is undeniably the most important contributions of the tourism sector and that shall form the bedrock of any decision that the government takes.
If done according to the sectoral needs, the post-pandemic recovery can be absolutely staggering that can not only far offset the loss of tourism revenue and employment but can actually help realise and exceed government’s expectations from the sector proposed in the new draft National Tourism Policy (NTP).
This was stressed by industry veteran Sarab Jit Singh, Founder and former Vice-chairman of FAITH, the apex tourism industry body and federation of all the leading tourism industry associations. Singh was also the Sr. Vice President of IATO and the longest serving President of ITTA. The new policy envisions to double International Tourism Arrival (ITA) numbers and Foreign exchange Earnings (FEE) to 33 million and US $ 56 billion, respectively, in five years.
“If we can develop Covid-19 vaccine in eight months and not eight years that it takes to develop a vaccine, it is because the government and the medical fraternity worked 24/7. We need to do the same for tourism.”
Singh stresses that tourism is probably the only and “definitely the most ‘labour-intensive’ economic activity amongst the services sector, like manufacturing.” “Its direct, indirect and induced impact affects virtually every sector of the economy. From infrastructure and iron, steel, cement and ceramics to textiles, agriculture, handicrafts and all kind of manufacturing industries, IT and electronics, F&B, and what not. Furthermore, it penetrates deep into the hinterland and far-flung areas with job creation and economic activities,” he said.
The Planning Commission, now NITI Aayog, had made startling submission a few years ago putting tourism next only to ‘construction sector’ in job creation. According to one of its report a few years ago, every INR 10 Lakh that is invested in the tourism sector created 78 jobs.
“This is the big picture we need to keep sight of while taking decisions and formulating policies. What is holding us back is a little more faith in the sector backed by political and bureaucratic will, right policy and inter-departmental synergy, market driven plans and approach and adequate budget. Just engage with the industry a little more and in all its earnestness,”
he said.
“If destinations like Malaysia or Turkey, with all their dos and don’ts, are attracting 30 and 50 million foreign tourists every year, why can’t we, as endowed as we are, aim 40-50 million foreign tourists in the next 5-7 years and not achieve?,” Singh questions.
“We need to set sight on reclaiming our pre-pandemic market by 2022, which is 11 million, and 50 per cent growth the following year, that is by 2023. By 2024 we must aim to double the FTAs to 22 million. For this to happen the government needs to work in tandem, not only with the industry but also within the government itself. If we can develop Covid-19 vaccine in eight months and not eight years that it takes to develop a vaccine, it is because the government and the medical fraternity worked 24/7. We need to do the same for tourism,” he said while concluding.
