Tourism & Hospitality

The Indian tourism and hospitality industry has emerged as one of the key drivers of growth among the services sector in India. Tourism in India has significant potential considering the rich cultural and historical heritage, variety in ecology, terrains and places of natural beauty spread across the country. Tourism is also a potentially large employment generator besides being a significant source of foreign exchange for the country. During January-April 2018 FEEs from tourism increased 17.4 per cent year-on-year to US$ 10.62 billion. India is the most digitally-advanced traveller nation in terms of digital tools being used for planning, booking and experiencing a journey, India’s rising middle class and increasing disposable incomes has continued to support the growth of domestic and outbound tourism. Domestic Tourist Visits (DTVs) to the States/Union Territories (UTs) grew by 15.5 per cent y-o-y to 1.65 billion (provisional) during 2016 with the top 10 States/UTs contributing about 84.2 per cent to the total number of DTVs, as per Ministry of Tourism. The number of Foreign Tourist Arrivals (FTAs) increased 10.8 per cent year-on-year to 3.88 million. The travel & tourism sector in India accounted for 8 per cent of the total employment opportunities generated in the country in 2017, providing employment to around 41.6 million people during the same year. The number is expected to rise by 2 per cent annum to 52.3 million jobs by 2028. International hotel chains are increasing their presence in the country, as it will account for around 47 per cent share in the Tourism & Hospitality sector of India by 2020 & 50 per cent by 2022. The tourism and hospitality sector is among the top 10 sectors in India to attract the highest Foreign Direct Investment (FDI). During the period April 2000-December 2017, the hotel and tourism sector attracted around US$ 10.90 billion of FDI, according to the data released by Department of Industrial Policy and Promotion (DIPP).

Types of Tourism

• ● Adventure Tourism
• ● Cultural tourism
• ● Medical Tourism
• ● Water tourism
• ● Wildlife tourism
• ● Space tourism
• ● Sports Tourism
• ● Archaeological tourism

Policy Regime

100% FDI is allowed under the automatic route in tourism and hospitality, subject to applicable regulations and laws.100% FDI allowed in tourism construction projects, including the development of hotels, resorts, and recreational facilities.

Major players of the Industries

• ● Country Club
• ● The Park Group
• ● Thomas Cook (India) Ltd
• ● Cox & Kings (C&K)
• ● Cleartrip Pvt Ltd
• ● Mahindra Holidays & Resorts India Ltd.
• ● Goibibo
• ● Yatra.com
• ● MakeMyTrip.com
• ● Taj Hotels Resorts

Legal services of Preach Law LLP

The firm provides advice on cutting-edge issues that cover multiple legal and business disciplines. Our expertise and understanding of the business is the foundation for providing full range of legal services including

• ● Arbitrations & Litigation
• ● Foreign Investments
• ● Regulatory
• ● Structuring
• ● Offset policy
• ● Statutory Compliances
• ● Joint Ventures
• ● Contracts
• ● Teaming Agreements
• ● Auction/Bid Management etc
• ● Tax & Regulatory Structuring
• ● Sourcing/Supply and Service Agreements
• ● Regulatory Approvals/Representations
• ● Advisory Services
• ● Information Technology Enablement
• ● Review/Appeal of Administration Decisions