The Indian Railway Catering & Tourism Corporation (IRCTC) has launched its online bus booking services that went live for the service of the nation on January 29, 2021. IRCTC is gradually moving towards firmly positioning itself as the first government ‘One Stop Shop Travel Portal’ of the country. IRCTC is already in the business of online rail and flight tickets booking.

The 15th Finance Commission ((FC) has recommended the Central government to provide a grant of Rs 875 crore to Tripura for five state-specific projects related to tourism development. The projects included construction of ropeway at Mata Tripureswari Temple and installation of light and sound show at Neermahal Palace near Tripura.

Sharing updates on the tourism highlights in the Union Budget 2021-22, Arvind Singh, Secretary, Tourism, revealed that developing expressways will offer better connectivity to tourist sites and in turn will contribute to the development of the tourism sector. He added that construction of the 3500km highway will start in Tamil Nadu next year, which will include Madurai-Kollam Corridor and Chittoor-Thatchur Corridor. He highlighted that AAI Airports in tier-II and III cities, NHAI toll roads, and railway infrastructure will also strengthen the tourism might of the country. The new aesthetically-designed Vistadome LHB coach on tourist routes will give a better travel experience to passengers. Singh also highlighted various initiatives to maintain health and hygiene in the country mentioned in the Budget, including vaccination drives, Urban Swachh Bharat Mission 2.0, and opening of wellness centres in urban as well as rural areas.

In a bold initiative to try and jumpstart MICE in the country, Thomas Cook India conducted a roadshow dedicated to MICE for its corporate clients at the Renaissance Mumbai Convention Centre Hotel on February 8, 2021. Madhavan Menon, Chairman and Managing Director, Thomas Cook India, addressed the gathering and said, “We have reached an inflection point where we are able to move from virtual to physical events now.” The event included a panel discussion with three key corporates, a motivational session by actor Ashish Vidyarthi, and table-top meetings. Various Marriott properties in India were part of this B2B meetings, along with Tourism New Zealand.

The Travel Agents Association of India (TAAI) is doing its bit to encourage the youth to join the industry. TAAI’s UP Chapter recently signed an MoU with the Department of Business Management, Dr. Rammanohar Lohia Avadh University in Ayodhya to offer training, placements and even internship to students of MBA in Tourism Management. The MoU has been signed for three years.

Indicating a deep sense of dismay, Deepak Narula, Managing Director, GRN Connect, says, “This sector is one of the last ones to start its revival process and it needed a strong thrust from the government at such a critical time. But it has chosen to ignore us yet again. It seems like they don’t care for the tourism industry anymore. We are sorely disappointed yet again.”  

Expressing his views on Budget exclusively with TravTalk, Harmandeep Singh Anand, MD, Jagsons Travels & Co-founder, GPS, says, “It is pointless to follow the Budget. In most instances it does not deliver much for the tourism industry. Somewhere down the line, the implication will be on the end consumer in the form of a cess. Why we are still expecting big things from our Union Budget. The government has clearly said be ‘Atmanirbhar’ and this time it was indeed an Atmanirbhar Budget,”

Pradeep Lulla, Acting President, Travel Agents Federation of India (TAFI) shared his comments on the Budget and says, “This year’s Budget is very disappointing, specially for the tourism sector. We had collectively put across many suggestions to the Ministry of Tourism. Unfortunately, not one suggestion has been looked into or considered. The fiscal deficit which is 9.5 is quite large and some sort of allocation to tourism should have been given.”    

Expressing his disappointment in the Union Budget, Gurbaxish Singh Kohli, Vice President, Federation of Hotel & Restaurant Association of India (FHRAI), says, “The Union Budget 2021 has disappointed the hospitality industry. The industry has been bleeding, and the FHRAI has brought it to government’s notice through several representations time and again. Our pre-Budget memorandum to the Hon’ble Finance Minister included some priority reforms to stabilise the industry such as Review of the Kamath Committee recommendations, Classifying Hospitality under the RBI Infrastructure lending norm criteria, Industry status to hotels, restaurants and resorts across the country, include hospitality and tourism in the concurrent list, MAT waiver for a period of three years, IGST billing to hotels for corporate and MICE bookings. The hospitality industry is disheartened and feels demotivated in its darkest hour. With zero foreign exchange earnings and less than 25 per cent of pre-pandemic revenues, the sector is facing an existential crisis. We stand by and come through for the Govt. in its every need, as we did during this pandemic, but we are surprised that the sector could not find even a mention in the FM’s budget. We wish our government would study what other countries have done to ensure tourism, the worst-hit sector, is kept alive. It has yet again completely and fully chosen to ignore us.”  

Travel Agents Association of India (TAAI) hopes the government will consider its suggestions for good governance and ease of doing business for the travel trade. Sharing her expectations on Budget, Jyoti Mayal, President of TAAI, says, “We believe the Budget 2021 should be focused more on spendings to enable economic growth,  what better area to spend in than tourism to generate more cash flow and earnings to enable enhancement of infrastructure.” She adds, “We have already appealed for have a uniform GST across India whereby input tax credits can be taken for services utilised across the country. The GST for tour operators should be at 1.8% with full setoff, being 18% on an average margin of 10%. Interstate credit of GST are not available to travel agents and tour operators on IGST and the same should be considered at par which shall not only benefit the corporates but the consumers are large. The similar being with airlines on the point of departure.” We are expecting the FM to ensure LTC benefits not utilised this year due to the pandemic should be permitted to be carried forward in the coming 2 years. Further to boost the economy all expenses made for travel, tourism, MiCE, adventure, domestic and religious travel, by the tax payer should be fully exempt from income tax for the next 2 years, states Mayal. The FM should also ensure 10% SIES credit to be adjusted completely under income tax. To ensure growth in tourism and all incomes from foreign exchange earnings should be given a tax holiday for a period of 2 years. TCS too to should be rescinded as it serve no purpose of tax collect and …