Travel portals see prospects in tourism sector after GST
NEW DELHI: The GST rates announced last week may have caused some heartburn to travel and tourism companies, but industry insiders like online travel portals and booking operators are encouraged by the prospects in a sector that has been growing at a quick pace since the Narendra Modi government took charge three years ago.
Government initiatives such as e-visas and visa on arrival, as well as the focus on tourism and infrastructure development, have kept the momentum high, industry players said. They expect steps like the new UDAN scheme for regional air connectivity to further boost growth.
According to data shared by Yatra.com, in the period between May 15, 2014 and May 14, 2017, flight bookings on the portal have increased more than 25%. While international flight bookings are growing at almost double the rate of domestic bookings, room bookings saw an increase of 30%. The average room rate dropped 10-15%, owing to increased availability of budget accommodation.
"This government has taken a number of decisive steps to make tourism a pillar of the Indian economy over the past three years. Schemes like the issuance of visa on arrival to visitors from over 180 countries, the UDAN regional connectivity rollout, the impetus to digital payments and the focus on infrastructure, have all given a big boost to the travel and tourism industry creating a multiplier effect and driving an increase in the overall economic growth in the country," said Sharat Dhall, chief operating officer (B2C) at Yatra.com.
Government initiatives such as e-visas and visa on arrival, as well as the focus on tourism and infrastructure development, have kept the momentum high, industry players said. They expect steps like the new UDAN scheme for regional air connectivity to further boost growth.
According to data shared by Yatra.com, in the period between May 15, 2014 and May 14, 2017, flight bookings on the portal have increased more than 25%. While international flight bookings are growing at almost double the rate of domestic bookings, room bookings saw an increase of 30%. The average room rate dropped 10-15%, owing to increased availability of budget accommodation.
"This government has taken a number of decisive steps to make tourism a pillar of the Indian economy over the past three years. Schemes like the issuance of visa on arrival to visitors from over 180 countries, the UDAN regional connectivity rollout, the impetus to digital payments and the focus on infrastructure, have all given a big boost to the travel and tourism industry creating a multiplier effect and driving an increase in the overall economic growth in the country," said Sharat Dhall, chief operating officer (B2C) at Yatra.com.