montek singh alhuwalia calls for liberalised visa regime and land use reforms to boost tourism

state tourism ministers conference begins

Friday, March 04, 2005

The Deputy Chairman of planning commission said today that tourism has great potential to create employment and generate economic activities in wide spectrum. Inaugurating the State Tourism Ministers, conference here today, he said there in need to have a fresh look at the approach to promote tourism. Role of various central departments and States need to be clearly defined to work out a action plan aimed at facilitating tourism, he added.

Shri Ahluwalia said dozens of impediments in the way of tourism promotion need to be tackled on priority to attract both domestic and international tourist in picking India as favored destination. He was of the opinion that tourism has to be on the priority agenda of the State Governments with higher allocations. The Governments needs to reassess the need for hotel rooms required and each State initiate policies encouraging private sector to build new hotels. He said liberal land use policy, rationalization of taxes of tourism related activities and better connectivity to tourism spots should be high on State agenda.

All related sectors including railways, aviation and roads should have a fresh look at the issues related with the growth of tourism and take early decisions. Mr. Ahluwalia said in an era where India considers itself as IT super power why it should not go for visa on arrival and evolve a methodology through which single window tax on tourism can replace multi-point taxes. He said the need is to have a national approach rather than individualistic as tourism can be used as an engine of growth and employment creation in a credible spectrum.

Calling upon the State Governments to declare tourism a high priority area, Ms. Renuka Chowdhury, Minster of State for Tourism said that tourism should be accorded infrastructure industry status to sustain culture, heritage, handicraft and employment growth. She said that the Ministry has prepared a plan to ensure better connectivity to all prominent tourism destinations. ‘We are making efforts to get international airport for each State, relaxations of various permits to visit North-East and provision of visa on arrival’ she added. The Minister asked the States to allocate more money to Tourism in view of its development potential, rationalize taxes in hospitality sector and single window clearance for tourism projects. Ms. Renuka Chowdhury asserted that in next 3 years, the country would require at least 1,50,000 more rooms for tourists and investment of about Rs. 45,000 crores for this purpose. She asked the States to review land use provisions for this purpose.

The two-days conference being attended by State Tourism Ministers, various Central Ministries, industrial association and representatives of travel and tourism sectors will discuss creation of more employment opportunities through tourism, upgradation of infrastructure, rationalization of taxes, single window clearance and other policy issues related with tourism promotion.

NCJ/DT/rel-4march/ministersmeet