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INDIA
Goa casinos await “transformational” policy changes Goa’s offshore casinos, which currently float in the Mandovi River, are waiting for the government to finalize legislation that will force them to shift onshore, which may prove a game changer for the industry in India.
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he government has said it wants all six of the casino boats to move to an area zoned for entertainment within the next four years. Details of the policy are not yet available, though the area is expected to be near the new international airport in Mopa. Goa and Sikkim are the only two states in India that allow casino gambling. The Union Territory of Daman in theory also permits casinos, though a license application from India’s biggest operator, Delta Corp, has been pending for several years. Moving to onshore locations will allow investment into a more sophisticated product offering, more similar to the IRs seen elsewhere in Asia and that may help to satisfy pent up
Asia Gaming Briefings | February 2018
demand. According to Delta, the industry in Goa has been growing at about 30 percent a year, even with the current limited supply and that growth is likely to continue, fuelled by an expanding middle class seeking a wider variety of entertainment options. “Operators should use the move onshore as an opportunity to redefine the gaming experience and industry in Goa,” said Kit Szybala, Partner and Executive Director of Operations at Global Market Advisors. “If they take the right development and regulatory steps, the boost in market revenue and regional economic impact could be considerable.” According to a report by Union Gaming Securities Asia Managing Director, Grant Govertsen, Goa has the potential to rapidly
become a $1 billion market, up sharply from the $150 million that the boats are estimated to generate at present. Overall, Govertsen says India’s casino industry has the potential to generate GGR of $10 billion to $17 billion. The move onshore is “transformational,” he notes. “We compare the Goa transition from riverboat to land-based as like the Midwest riverboat transition story on steroids.” Szybala, who has conducted in-depth research into the potential for India’s gambling market, notes that the current offering in Goa appeals to more gaming focused patrons. Introducing IRs with a wide variety of amenities, including attractive hotels, food & beverage outlets, entertainment, and retail options, will help to attract a broader audience and perhaps shift
