India’s Tourism Potential May Come to a Halt

September 10, 2007	(Be the first to rate this story!)  Loading ...
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Tourism in India is zooming upwards with an impressive growth of 15.1% in first six months of 2007. Considering the lack of accommodation facilities in the country, maintaining such a surge seems a little difficult.

Surprisingly, around 30-35% airlines cancellation have been reported in the past few months. Shortage of hotel rooms in Delhi, Mumbai, and other metros are believed to be the underlying reason putting of the visitors. Construction of good accommodation facilities is moving at snail pace. The lack of hotel accommodations is likely to hit the India’s tourism potential in near future, say experts.

“Although, there is a considerable increase in number of tourists but we don’t know where to keep them”, says Rajji Rai, Vice – President, travel Agent Association of India (TAAI).

Stringent land policies, soaring property prices and other legal formalities are some of the factors discouraging the real estate industry from bringing more hotels required for the tourist arrivals.

According to the data showcased by HVS International, there are 155 hotels which are under development phases in different cities which will help to fulfill the shortage. Indian hospitality sector has gained much popularity owing to high performance of present hotels, existing demand and supply gaps in rooms, thereby preparing for major events like Commonwealth games.

News Published Under:   Hotel Industry in India |

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