Industrial
Promotion Policies - Central Government
National Tourism Policy
Preamble
Tourism
emerged as the largest global industry of the 20th
century and is projected to grow even faster in the
21st century. India has immense possibilities of growth
in the tourism sector with vast cultural and religious
heritage, varied natural attractions, but a comparatively
small role in the world tourism scene. A New Tourism
Policy, which builds on the strength of the national
Tourism Policy of 1982, but which envisages new initiatives
towards making tourism the catalyst in employment generation,
environmental re-generation, development of remote areas
and development of women and other disadvantaged groups
in the country, besides promoting social integration
is, therefore, vital to our economy.It would
lead to larger foreign exchange earnings and create
conditions for more Foreign Direct Investment.
Our mission is to promote
sustainable tourism as a means of economic growth
and social integration and to promote the image of
India abroad as a country with a glorious past, a
vibrant present and a bright future. Policies to achieve
this will be evolved around six broad areas such as
Welcome (swagat), Information (suchana),
Facilitation (suvidha), Safety (suraksha), Cooperation
(Sahyog) and Infrastructure Development (Samrachana).
Conservation of heritage, natural environments, etc.,
and development and promotion of tourist products
would also be given importance.
The objectives
of tourism development are to foster understanding
between people, to create employment opportunities
and bring about socio-economic benefits to the community,
particularly in the interior and remote areas and
to strive towards balanced and sustainable development
and preserve, enrich and promote India's cultural
heritage. One of the major objectives is the preservation
and protection of natural resources and environment
to achieve sustainable development.
Given the
low cost of employment creation in the tourism sector
and the low level of exploitation of India's tourism
potential, the new tourism policy seeks to expand
foreign tourist arrivals and facilitate domestic tourism
in a manner that is sustainable by ensuring that possible
adverse effects such as cultural pollution and degradation
of environment are minimised.
The New Tourism
Policy also aims at making the stay of foreign tourists
in India, a memorable and pleasant one with reliable
services at predictable costs, so that they are encouraged
to undertake repeated visits to India, as friends.
This would be in tune with India's traditional philosophy
of giving the highest honour to a guest (Atithi debo
bhava).
>(a) The Government
will aim to achieve necessary linkages and synergies
in the policies and programmes of all concerned Departments/agencies
by establishing effective co-ordination mechanisms
at Central, State and District levels.The focus of
national policy, therefore, will also be to develop
tourism as a common endeavour of all the agencies
vitally concerned with it at the Central and State
levels, public sector undertakings and the private
sector.
(b) It will
be the policy of government to encourage peoples participation
in tourism development including Panchayati Raj institutions,
local bodies, Co-operatives, non-governmental organisations
and enterprising local youth to create public awareness
and to achieve a wider spread of tourist facilities.
However, focussed attention will be given for the
integrated development of identified centres with
well directed public participation.
(c)
Public and Private Sector Partnership :
A constructive
and mutually beneficial partnership between the public
and the private sectors through all feasible means
is an absolute necessity for the sustained growth
of tourism. It is, therefore, the policy of the Government
to encourage emergence of such a partnership. This
will be achieved by creating a Tourism Development
Authority consisting of senior officials of the Government
and tourism experts and professionals from the private
sector.
(d)
Role of the Government :
Tourism is
a multi-sectoral activity and the industry is affected
by many other sectors of the national economy. The
State has to, therefore, ensure intergovernmental
linkages and co-ordination. It also has to play a
pivotal role in tourism management and promotion.
The specific role of the Government will be to:-
Provide basic
infrastructural facilities including local planning
and zoning arrangements.
Plan tourism
development as a part of the over all area development
strategy.
Create nucleus
infrastructure in the initial stages of development
to demonstrate the potential of the area.
Provide the
required support facilities and incentives to both
domestic and foreign investors to encourage private
investment in the tourism sector.
Rationalise
taxation and land policies in the tourism sector in
all the States and Union Territories and in respect
of land owned by Government agencies like Railways.
Introduce
regulatory measures to ensure social, cultural and
environmental sustainability as well as safety and
security of tourists.
Ensure that
the type and scale of tourism development is compatible
with the environment and socio-cultural milieu of
the area.
Ensure that
the local community is fully involved and the benefits
of tourism accrue to them.
Facilitate
availability of trained manpower particularly from
amongst the local population jointly with the industry.
Undertake
research, prepare master plans, and facilitate formulation
of marketing strategies.
Organise overseas
promotion and marketing jointly with the industry.
Initiate specific
measures to ensure safety and security of tourists
and efficient facilitation services.
Facilitate
the growth of a dynamic tourism sector.
(e)
Role of Private Sector :
Tourism
has emerged as the largest export industry globally
and all over the globe private sector has played the
lead role in this growth. The private sector has to
consider investment in tourism from a long term perspective
and create the required facilities including accommodation,
time share, restaurants, entertainment facilities,
shopping complexes, etc. in areas identified for tourism
development. Non-core activities in all airports,
major stations and interstate bus terminus such as
cleanliness and maintenance, luggage transportation,
vehicles parking facilities, etc. should be opened
up to private operators to increase efficiency and
profitability. The specific role of the Private Sector
will be to:-
Build and
manage the required tourist facilities in all places
of tourist interest.
Assume
collective responsibility for laying down industry
standards, ethics and fair practices.
Ensure
preservation and protection of tourist attractions
and give lead in green practices.
Sponsor
maintenance of monuments, museums and parks and
provision of public conveniences and facilities.
Involve
the local community in tourism projects and ensure
that the benefits of tourism accrue to them in right
measure.
Undertake
industry training and man-power development to achieve
excellence in quality of services.
Participate
in the preparation of investment guidelines and
marketing strategies and assist in database creation
and research.
Facilitate
safety and security of tourists
Endeavour
to promote tourism on a sustained and long term
perspective.
Collaborate
with Govt. in the promotion and marketing of destinations.
(f)
Role of voluntary efforts :
Voluntary
agencies and volunteers have to contribute their expertise
and understanding of local ethos to supplement the
efforts of other sectors to provide the human touch
to tourism and foster local initiatives. All such
efforts shall be encouraged.
Tourism Development
Fund and Resources for Development
It would be the policy of
the Government to facilitate larger flow of funds
to tourism infrastructure and to create a Tourism
Development Fund to bridge critical infrastructural
gaps. Priority would be given for development of tourist
infrastructure in selected areas of tourist importance
and for those products which are considered to be
in demand in the existing and future markets so that
limited resources are put to the best use.
Foreign
Investments and Incentives and Rationalization of Taxes
(a) In view
of large investment requirements in the tourism sector
and the need for maintaining high quality standards
in services, hotels and tourism related industries will
continue to be in the priority list of industries for
foreign investment. Export-house status has been accorded
to Hotels, Travel Agents, Tour Operators and Tourist
Transport Operators vide Notification No.33(RE-98)1997-2002
dated 26.11.98 of the Ministry
of Commerce. The status needs to be extended to
all tourism units irrespective of the annual turnover.
>(b) In order
to off-set the specific constraints of tourism industry
and to put in place the required infrastructure as quickly
as possible, particularly in less developed areas, appropriate
incentive schemes would be considered. It would also
be the endeavour of the Government to persuade the State/UT
Governments to rationalise taxes, to put a cap of 20%
on all taxes taken together on the accommodation and
hospitality units, to allocate suitable land for tourism
purposes at reasonable prices, harmonize movement of
tourist transport across State borders, etc.
Efforts will
be made to adopt the technological advances in the
tourism sector to provide better facilities to tourists
and to market the tourism product, to the benefit
of all concerned.
Information
technology shall be given the pride of place in the
efforts to promote Indian tourism. Evey endeavour
in this regard would increasingly rely on optimising
the use of e-commerce/m-commerce, use of internet
for disemination of tourism related information, increasing
use of portals as gateway to accessibility to tourism
information, development of Handy Audio Reach Kit
(HARK) Tourist Guidance System at important monuments
and heritage sites, networking of States, setting
of tourist information Kiosks, encouoragement to information
technology and eco-friendly practices by the private
industries and above all keeping abreast with the
global technologies for promoting and facilitating
tourism. It shall be ensured that Information Technology(IT)
and Indian Tourism(IT) become synonymous.
The Central
Government will set up a Paryatan Bhawan in New Delhi
as a modern Tourist Interpretation Centre to cater
to various needs of travelers, foreign as well as
domestic and to offer facilities for air and train
reservation, money changing counters and information
about all tourist centres in the country. The Centre
will be equipped with e-connectivity and networking
facility to all state tourist offices. Efforts will
be made to have similar state level Paryatan Bhawans
in state Capitals.
The
economic and social benefits of tourism and its importance
as an instrument of economic growth have to be fully
recognised by all sections of the society. It would,
therefore, be the endeavour of the Government to bridge
the information gap through proper statistical documentation
of the impact of tourism and its wide publicity to
create awareness so that the economic and social significance
of tourism is well recognised and tourism is given
due attention and national priority.
The safety and security of
tourists are of primary importance both from the point
of view of tourism development and the national pride.
It will be, therefore, given high priority in the national
strategy for tourism development. Central Government
will take up with the State Government to enact suitable
legislation on travel trade/ tourist police for protection
and security of tourists and for providing institutional
mechanism to deal with complaints received from tourists
and the industry so as to create a better security perception
amongst actual and potential visitors.
Tourists have to pass through
several Government agencies so as to meet the requirements
under various laws. These include obtaining visas, undergoing
immigration checks, obtaining permits to visit certain
areas, payment of fees for certain facilities, etc.
The endeavour of the Government would be to improve
efficiency in providing such facilitation services and
make travel to and within India a pleasant experience.
Introduction of issue of Visa on arrival at least for
15 days at all the airports, computerisation of the
system of issue of Visa, streamlining of luggage handling
system at airports improving tourist facilitation services
at the airports by adopting technological solutions
are some of the important facilitation services proposed
in this regard.
Tourism Economic
Zone, Tourist Circuits, Special Tourism Area and Areas
of Special Interests
(a) Tourism
Economic Zones will be created with private participation
based on the intrinsic attractions, potential for
development and availability of resources in these
zones. Air, road and rail connectivity to these areas
will be established to facilitate direct and easy
access to these zones from international and domestic
destinations. Adequate backward and forward linkages
will also be established to ensure flow of benefits
to the local community. The development of such zones
will be guided by well conceived Master Plans and
executed by specific Tourism Development Authorities
which will be created by the Government involving
senior officers from the Department
of Tourism, and other relevant Ministries/Departments
of the Govt. of India, professionals from tourism
industry and representatives of Industry & Trade
Associations.
(b)
India with vast cultural and religious heritage and
varied natural attractions has immensed potential
of growth in the tourism sector. 25 travel circuits
and destinations have already been identified for
development through joint efforts of the Central Govt.,
the State Governments and the private sector. State
Governments of Kerala, Tamil Nadu, Orissa and Maharashtra
and Union Territory Administration of Daman &
Diu have also declared Bekal Beach, Puri-Konark, Sindhudurg,
Muttakadu-Mamallapuram and Diu as Special Tourism
Area for integrated development. Steps will be taken
to work towards the integrated development of all
the tourist circuits of the country with the involvement
of all the infrastructural departments, State Governments
and the private sector.
(c)
Areas of Special Interest :
Government
would initiate and support special programmes and
schemes for the development of tourism in North Eastern
States, Himalayan region and island States/U.Ts with
a view to achieve overall economic development of
the regions, and as part of the strategy for removing
regional imbalances.
The
principle of sustainable development stipulates that
the level of development does not exceed the carrying
capacity of the area. It will be governments' policy
to ensure adherence to such limits through appropriate
planning instruments, guidelines and enabling regulations
and their enforcement.Efforts will be made to diversify
the tourism products in such a way that it supplements
the main stream of cultural tourism. Comprehensive
perspective plans for developing sustainable tourism
by assessing the existing tourism scenario in each
State/Union Territory with respect to availability
of natural resources, heritage and other socio-cultural
assets, quantitative/demographic factors like population,
employment, occupation, income levels etc, services
and infrastructure will be developed by initiating
immediate action in this direction.
Tourism development
needs to be properly guided and regulated to avoid
adverse impact on the natural environment and cultural
heritage which constitute the tourist attraction.
A judicious balance needs to be maintained between
conservation and development. Government will continue
its policy of trying to maintain balance through planning
restrictions and by educating the people in appreciating
their rich heritage and by eliciting their co-operation
in preserving and protecting it.
Promotion
and marketing is an important component of tourism
development and needs to be undertaken along with
product development in conformity with consumer profiles
and product characteristics. The policy of the Government
therefore will be to develop and implement cost effective
marketing strategies based on market research and
segmentation analysis in each of the tourist generating
countries.
Tourism is
a global industry requiring inputs from various international
agencies and collaborations with other countries.
The policy of the Government therefore will be to
foster positive win - win partnership with all the
international agencies and other countries.
Tourism being
a service industry it is necessary to enhance its
service efficiency. The new policy will strive towards
excellence by introducing professionalism through
training and re-training of human resources and providing
memorable visitor experience to both domestic and
international tourists.
Placing Tourism
in the Concurrent List of the Constitution of India
Tourism as
a separate subject does not find a place in the Seventh
Schedule of the Constitution of India even though
a number of its components are either in the Union
List or in the State List or in the Concurrent List.
Under the new Policy, Tourism will be placed in the
Concurrent List as such a step will provide a Constitutional
recognition to the tourism sector and help in channelising
development of tourism in a systematic manner by enabling
the Central Government to bring in legislation governing
the activities of various service providers in the
tourism sector - 11. It has emerged that the domestic
drugs and pharmaceuticals industry needs reorientation
in order to meet the challenges and harness opportunities
arising out of the liberalisation of the economy and
the impending advent of the product patent regime.
It has been decided that the span of price control
over drugs and pharmaceuticals would be reduced substantially.
However, keeping in view the interest of the weaker
sections of the society, it is proposed that the Government
will retain the power to intervene comprehensively
in cases where prices behave abnormally.