INDIAN TOURISM INDUSTRY -EMMERGING CHALLENGES AND OPPORTUNITIES IN THE ERA OF GLOBALISATION
FACULTY MEMBER, DEPARTMENET OF ECONOMICS,SATAVAHANA UNIVERSITY, KARIMNAGAR,ANDHRAPRADESH.
This paper mainly highlighted the Challenges and Opportunities of the Indian Tourism in the context of globalization. This tourism industry undoubtedly emerged as an instrument of rural employment generation as a labor intensive activity in a labor surplus economy, with its forward and backward linkages with a host sectors like tranport,hospitality and education etc. Finally the paper also makes proper policy suggestion needed communication to promote and boosting tourism in India.
Key words: Compound Annual Growth rate (C.A.G.R), Foreign Exchange Earnings (FEE) Foreign Tourist Arrivals (FTA),Forward backward linkages
Tourism is not only a growth engine but also an export growth engine and employment generator. According to the Economic Survey 2011-12 the sector has capacity to create large-scale employment both direct and indirect, for diverse sections in society, from the most specialized to unskilled workforce. It provides 6-7 per cent of the world’s total jobs directly and millions more indirectly through the multiplier effect, as per the UN’s World Tourism Organization. Since tourism does not fall under a single heading in India’s National Accounts Statistics, its contribution has to be estimated. Its contribution to GDP and employment in 2007-08 was 5.92 per cent respectively as per Tourist Satellite Account Data.
FTAs in India during 2010 were 5.78 million compared to 5.17 million during 2009, posting a growth of 11.8 per cent, much higher than the growth of 6.5 per cent for the world in 2010. FEEs from tourism in rupee terms during 2010 were Rs. 64,889 crore compared to Rs. 54,960 crore during 2009 with a growth rate of 18.1 per cent. Despite the slowdown and recessionary trends in the economies of Europe and America, FTAs during 2011 were 6.29 million with a growth of 8.9 per cent over 2010 and FEEs in 2011 were Rs. 77,591 crore with a growth of 19.6 per cent. In the case of outbound tourism, the number of Indian nationals’ departures from India during 2010 was 12.99 million with a growth of 17.4 per cent for the year. Domestic tourism has also emerged as an important contributor to the sector providing much needed resilience. Domestic tourist visits during 2010 are estimated at 740.2 million, with a growth of 10.7 per cent.
However, Indian tourism industry is not only a growth engine, but also an export growth engine and employment generator. According to the Economic Survey 2011-12 the sector has capacity to create large-scale employment, both direct and indirect, for diverse sections of society, from the most specialized to unskilled workforce. It provides 6-7 per cent of the world’s total jobs directly and millions more indirectly through the multiplier effect as per the UN’s World Tourism Organization. Its contribution to the GDP and employment in 2007-08 was 5.92 per cent, respectively as per the Tourist Satellite Account Data. In India, the tourism sector has witnessed significant growth in recent years. During 2006 to 2011, the CAGRs of foreign tourist arrivals and foreign exchange Objectives of the study:
To study the emerging challenges and opportunities in the context of globalization. 2)
To examine the trends of foreign exchange earnings growth of foreign tourists arrivals in Indian tourism. 3)
To analyze the share of Indian tourism industry when compare to the rest of the world and the Asian and Pacific region. 4)
To suggest the policy implications to develop the Indian Tourism Industry.
The study mainly based on a range of secondary data from various government sources such as ministry of tourism Government of India and other relevant websites etc. For analyzing secondary data simple statistical tools like...
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