This sector is one of the most crucial sectors of the economy in the country. It is not only a significant contributor to GDP and foreign exchange reserve of the country, but also it provides widespread employment. Tourism sector can also be considered the backbone for allied sectors, like hospitality, civil aviation, and transport. Sensing the importance of the sector, Indian Government has invested abundantly in the past for infrastructure development. It has been partially successful with increase in foreign tourist arrivals over the last decade, courtesy “Incredible India Campaign”. Infrastructure in the hospitality sector is still a matter of concern amongst other factors like season-based tourism in some states. India is currently ranked 12th in the Asia Pacific region and 68th overall in the list of the world 's attractive destinations, according to the Travel and Tourism Competitiveness Report 2011 by the World Economic Forum (WEF).
Domestic tourism is very huge in the country, promoted by various intents. Pilgrim and leisure tourism are two very important sectors. A lot of scope is available for new businesses to enter and tap the segment. With the rising economic status of the middle class and affluent population, outbound travel is on the rise. Though Thailand, Malaysia, and Singapore circuit the most favored destinations among the tourists, interest for off-track destinations are also increasing. Foreign tourist arrivals in the country have increased substantially during the past decade motivated by both, business and leisure needs and are further expected to grow at a CAGR of around 8% during 2010-2014, as per our new research report “Indian Tourism Industry Analysis”.
Sub-segments of Tourism Industry
The tourism sector in India has revealed that it is set for a fast growth stage marked by a huge potential in various segments in the industry. Government initiatives, both at
References: * Prowess Database * http://www.incredibleindia.org * http://www.tourisminindia.com/ * http://www.cci.in/pdf/surveys_reports/tourism-hotel-industry.pdf * http://www.asa.in/pdf/surveys_reports/tourism-hotel-industry.pdf * http://www.nsdcindia.org/pdf/tourism.pdf * http://www.rncos.com/Market-Analysis-Reports/Indian-Tourism-Industry-Analysis-IM115.htm * http://www.uaemex.mx/plin/psus/periplo14/articulo_05.pdf