Domestic tourism is expected to return to pre-pandemic levels by 2024-25, while foreign tourist arrivals have surged by around 435% over the past three years, the government said on Wednesday.
Union Minister for Culture and Tourism G. Kishan Reddy, in a written reply to Rajya Sabha, stated that in 2021, there were 1,527,000 foreign arrivals. The numbers surged to 6,437,000 in 2022, indicating a sharp rise in tourism. In 2023 (January to November), there were 8,166,000 foreigners, reflecting continued growth compared to the previous year, according to government data.
The Ministry, he told parliament, is actively promoting niche tourism segments to further fuel this growth. Initiatives like sustainable tourism, rural tourism, adventure tourism, meetings, incentives, conferences, and exhibitions (MICE) industry, ecotourism, and medical and wellness tourism are being developed and supported.
Finance Minister Nirmala Sitharaman, in her recent budget presentation, highlighted the government’s focus on the comprehensive development of iconic tourist centers. This initiative, aligned with the vision of ‘Viksit Bharat’ (developed India) by 2047, aims to enhance India’s global tourism appeal.
States will be encouraged to participate by undertaking the holistic development of tourist centres, including branding and marketing them internationally. Long-term, interest-free loans will be available for such projects, along with a rating system based on facilities and services to ensure quality standards, she said.
Industry experts see this renewed focus on tourism as a positive step, particularly for the medical and wellness sectors. “The wellness tourism industry in India has seen significant growth, with a substantial increase in domestic visitor spending. The Indian government is enhancing its focus and investments in the tourism sector, introducing new regulations and subsidies. This has resulted in the growth of wellness tourism, particularly in areas like meditation, yoga, and Ayurveda,” said Dr. Saroja Asthana, Director of Ivy Leaf, a corporate wellness destination.
Asthana said that India’s rich heritage in Ayurveda and Yoga, coupled with scenic landscapes, positions it well as a wellness destination. “Though Covid has had a severe impact on this sector, the pace of uptake has recovered to better its pre-Covid growth, and the India wellness tourism market is expected to reach USD 19.43 billion in 2024, growing at a CAGR of 6.45% to reach USD 26.55 billion by 2029,” she added.
Many regions in India, across its length and breadth, are gaining popularity as tourist destinations. “The traditional Himalayan and Kerala regions are already well established. Maharashtra, with its captivating Sahyadri mountain range, is now emerging as a popular destination for corporate programmes and wellness tourism, thanks to improved public infrastructure,” stated Asthana.
The tourism minister also highlighted the Swadesh Darshan scheme, which provides financial assistance to state governments and UT administrations for tourism infrastructure development. The revamped Swadesh Darshan 2.0 aims to promote sustainable tourism through collaboration with states and local governments, targeting 57 destinations across 32 states and UTs for development. A third-party assessment conducted by the National Productivity Council in July 2019 highlighted the positive impact of the Swadesh Darshan Scheme on creating livelihood opportunities and employment for local communities during the construction phase, as per government reports, the tourism minister told parliament.
“As India envisions becoming the medical tourism hub of the world, policies to ease facilitation by Indian embassies abroad, insurance recognition for Indian providers, one-stop welcome desks at airports, etc., will boost medical tourism in India,” said Gautam Khanna, CEO of P.D. Hinduja Hospital & Medical Research Centre, Mumbai.
Experts also feel that the interim budget for 2024 will bring growth to the medical tourism sector. “The pledge to enhance iconic tourist centres not only beckons global explorers but also holds promise for the burgeoning medical tourism sector. With 40,000 rail bogies transforming to Vande Bharat standards and an expansion of airports to 149, connectivity becomes the heartbeat of accessible healthcare,” said Rajeev Taneja, Founder of GlobalCare, a global healthcare consulting organisation for international patient services.
“This leap in infrastructure aligns seamlessly with the needs of overseas patients, facilitating smoother transitions for pre-treatment arrangements and post-treatment rehabilitation. In addition to this, the latest Middle East-Europe-India corridor will also help in expanding Indian healthcare tourism and consulting facilities to overseas markets as well,” added Taneja.