Date of Publication: 14/12/2015 RNI No. DELENG/2015/62794 Posting Dt. 12-17/12/2015 Postal Reg. No. DL(ND)-11/6180/2015-16-17
Vo lu m e 1. I s s u e 8 . d ec e m b e r 2 015 . ` 5 0
linking stakeholders for developing the big picture
Glamping in Kohima with Ultimate Travelling Camp
Smog bound Delhi could be a fresh deterrent to tourism?
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hile the climate change talks are going on in Paris, there is an heightened sense of urgency in how India is tackling environmental concerns. Pollution in our cities has become critical and the capital city is topping the charts. Not good for its citizens as alarming numbers are reporting in city hospitals; people with asthma find the air too difficult to breathe. Not good equally for the city visitors, many of whom are known to be coming from more pristine and well protected environment. Not good for the city’s tourism, as reports of
smog-bound New Delhi make the headlines around the world, many of them generating cities for India and New Delhi’s tourism. Not to say that we need clean Delhi for tourism; we need clean air first for its citizens and then only we can hope for more tourism numbers. Regardless, these reports could well be expected to be a fresh deterrent for tourism into the capital. Delhi is both a destination and also a gateway. On the latter front, however, clever re-routing of traditional tourist itineraries and their innovative marketing could help direct groups into neighbouring destinations.
Cox & Kings arm, The Ultimate Travelling Camp, is meeting the demands of both inadequate infrastructure as well as a true luxury experience.
Ultimate luxury supplements Infra push into the Northeast
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unique travel experience with ultra-modern facilities, ‘glamping’ is introducing travellers to Nagaland’s offerings. In dearth of accommodation facilities and adequate awareness, it is helping bring footfalls to an otherwise unknown destination. It is also generating employment for locals, besides preserving the sanctity of the pristine nature through its temporary structure. (More on page 24...)
Tehri to be the next big tourism frontier, says Uttarakhand CM
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Photo courtesy: The Ultimate Travelling Camp
ttarakhand government has drawn an ambitious plan to turn its Tehri region into an international scale tourism destination. Speaking at the inaugural session of Tehri Adventure Festival on 28th November, its chief minister, Harish R awat said the entire area will be given a serious rejig with the addition of defining tourism projects which will also give a major boost to the region’s economy. “We want to develop Tehri in a way that it becomes a major asset for the national tourism. It has to eventually emerge as an international leisure destination” he said on the occasion. On the sidelines of the annual adventure festival, Uttarakhand government also organised an investors meet giving the details of the massive project to the prospective private partners. As per the draft master plan, tourism development is slated to unfold in 168 square kilometer stretch around Tehri Lake in three phases. While adventure tourism will be the major base for future development in the region, investors will have plenty of options to set up greenfield luxury resorts, budget hotels, wellness and yoga centres, etc. (Detailed report on page 12...)
Investors commit `5700 crore for tourism in Rajasthan
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he Resurgent Rajasthan Partnership Summit 2015, the two-day global investment meet last month in Jaipur, attracted commitments of investments from 295 memoranda of understanding (MoUs) amounting to `21,199 crore with proposed employment for 2,39,694 lakh people. The largest number of MoUs were signed in the tourism sector. At 122, the investment commitments stood at `5783 crore. This is expected to generate 18617 jobs in the sector. The two-day summit witnessed investment commitments from entrepreneurs who had come from Japan, Singapore, South Australia, Italy and other countries. A significant chunk of proposed investment is believed to have come in the sustainable tourism projects. Early this year, Rajasthan government had unveiled a new tourism policy which, among other things, had cleared the decks for easy accessibility of land and speedy clearance of projects in the tourism sector. Ahead of the Resurgent Rajasthan Summit, the state government had organised a special session with the potential investors in the tourism sector in early November which had resulted in signing of 111 MoUs worth over `40,000 crore.
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this issue : december, 2015
Tourism could be a game changer for peace in South Asia
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or one reason or the other, these are unusually difficult times for countries in our region, our immediate neighbours and fellow constituents for what we may term regional tourism, which is the main crux of tourism anywhere in the world. For countries in the ASEAN region, those in the Middle East and also true of most of Europe, and elsewhere in the world, the bulk of the tourism traffic is regional, stemming from within the region. The Indian sub-continent has failed in this context on its inability to forge a tourism front for travel and tourism within the region. Regional tourism is more predictable, less vulnerable to overnight winds of change, and provides a steady source of visitors for diverse activities. For South Asia, we believe tourism could become an important game changer. That is certainly not the only reason why we are stressing how South Asia can move forward with tourism first on its common page. It is well understood that for many of our neighbours, tourism is indeed a very important economic activity – for Nepal, Bhutan, Sri Lanka and Maldives – and also equally for many of the Indian states adjoining these neighbours – the North East, Jammu and Kashmir and Kerala, among others. Apart from the industry perspective of providing basic numbers for the receiving country, it is the principle of tourismfirst that can possibly change the larger dynamics of the region – bringing people together, giving them an opportunity of creating a people to people contact – deeply creating that window to say how we are similar people, with mutually shared traditions, customs and values. Many years ago, our parent company put together the first contact in recent history in the area of tourism, organizing a common travel mart for the region in Colombo in 1997. Immediately thereafter, much changed and a realisation dawned among the neighbours that we could become the biggest contributors to tourism in our respective countries. Even more importantly, new friendships emerged and so did mutual trust and good faith. Verily, tourism is the biggest force for bringing peace and prosperity. When people travel, they learn, it is education at first hand. We recommend an early conference of South Asian countries on how tourism can be augmented within the region. How visas can be liberalised, whatever basis makes for the maximum comfort; without compromising security there can be a beginning. How we can improve connectivity within the region, without which very little headway would be possible. A small start can be made by allowing South Asian carriers to make two country ports of call within a single journey – for instance, allowing Sri Lankan airlines, for instance, to start from Dhaka, or Kathmandu, through an Indian city onto Colombo! Incidentally, Druk Air already does that – from Kolkatta it takes passengers into Kathmandu and then onto Thimphu. In some limited manner, opening up the South Asian skies for South Asian carriers. This small step in itself can provide for a quantum jump in tourism numbers within the region. As India and Pakistan are set on fresh engagements to mend fences, tourism too could be on the table.
Contents currents
state/destinationS
04 Asia’s largest visa centre will smoothen travel experience: Vinay Malhotra 05 Government set to open airport management to international operators 05 Aviation sector backs energy neutrality drive, Kochi’s example to be emulated 06 Pragati Maidan ‘2.0’ will be a game changer for exhibition industry in the country 07 Grand Simhastha to have a yoga sideshow; delegates expected from over 50 countries
12 Uttarakhand: Targets to develop Tehri as an international destination, epic-scale plan mooted 16 J&K: Moots multifold increase in footfalls; central assistance of `2200 crores to give big infra push 18 Guwahati: taking giant strides in sports tourism; MICE growing, asserts Vikas Ray
airlines & Airports 08 CAPA asks for a serious review of draft civil aviation policy provisions 09 Consensus building is not always possible, says Civil Aviation Minister
10 NCAER releases report on Emirates’ on India; tourism sector a major beneficiary
11 Emirates has to play an important role in the rising international segment to India”
heritage 19 India is unique, build upon its uniqueness, says Aman Nath
Miscellany 20 Need a ‘bottom-up' approach to mainstream new destinations: says NatGeo achiever
hotelscapes 21 Rational tax-regime, developing new circuits will attract investment: Vivek Nair
A joint statement issued by India and Pakistan at the end of the recent visit of Foreign Minister Sushma Swaraj Both sides agreed to a Comprehensive Bilateral Dialogue and directed the Foreign Secretaries to work out the modalities and schedule of the meetings under the Dialogue including Peace and Security, CBMs, Jammu & Kashmir, Siachen, Sir Creek, Wullar Barrage/Tulbul Navigation Project, Economic and Commercial Cooperation, Counter-Terrorism, Narcotics Control, Humanitarian Issues, People to People exchanges and Religious Tourism.
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Tony Tyler,
IATA CEO Responding to a projection that 2016 will be a profitable year for global airlines
This is an historic achievement for an industry that has been notorious for destroying capital. But let’s keep that achievement in perspective. … Achieving returns that barely exceed the cost of capital means that airlines are finally meeting the minimum expectations of their shareholders. For most other industries this is the norm and not the exception.
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Rajasthan CM Vasundhara Raje
In a recently published column in a national daily
Tourism is the world's biggest industry, it takes jobs to people rather than people to jobs, requires less capital per job created than most other industries, is more likely to employ women than men, and preserves culture in ways that the state never can.
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Mahesh Sharma Minister of Culture & Tourism
The message that is going out to the world whether Delhi is a polluted capital... will have negative impact on tourism in the country. Countrymen, especially people in Delhi, should take a pledge to make the city and country pollution-free.
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22 Accor opens its 3 brands at Aerocity; Casse is upbeat on hospitality accruals in 2016 24 Mandarin Oriental Group is focussed on quality at the top end, says Richard Baker 24 Luxury Camps create basic infrastructure, help sustained the pristine environment
Global Exchange 25 France sees new areas of engagement and travel as its commitment to new government priorities, says ambassador 26 Robust infra, plethora of engagements driving Indian outbound to Germany 28 With 19 flights a week in new bilateral, Korean envoy envisages more connect 29 Promoting similarity of culture, family based tourism is top agenda for Indonesia
THE LAST PAGE 30 The Learning Curve: Crafting of a Tourism Legend Santa’s Success Story
Ajay Singh Chairman and Managing Director, SpiceJet at a recent news conference in Dubai
We are in the process of placing a large aircraft order; the airline will order in excess of 150 planes - we hope to do that in this financial year. We're looking at both Airbus and Boeing. The (Boeing 737) Max aircraft as well as the (Airbus A320) Neo. We have received offers from both of them.
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Navin Berry navin@tourismfirst.org contributing editor: ritwik sinha ritwik@tourismfirst.org features editor: Priyaanka Berry priyaanka@tourismfirst.org senior writer: Shashank Shekhar shashank@tourismfirst.org editor:
Tourismfirst is owned, published and printed by Navin Berry and printed at Anupam Art Printers. B-52, Naraina Phase II, New Delhi. It is published from 36-37, 3rd Floor, Indra Palace, H-Block, Connaught Place, New Delhi – 110 001. Tel: 011-43784444. Total pages 32
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Asia’s largest visa centre will smoothen travel experience: Vinay Malhotra Boasting of visa application centre for 31 countries under one roof, the newly inaugurated VFS centre in the heart of Delhi is sure to improve the travel experience by creating a hassle-free environment. The gala-event, of the launch, was attended by the diplomatic community from 18 countries apart from Minister for tourism. highlights
The newly constructed building will host visa facilitation service for 31 nations. Sprawling across a mammoth 67,000 sq. ft., it is equipped to process as many as 12,000 visas in a day, making it Asia’s second largest visa facilitation centre Built in the heart of the capital, it boasts of a state-of-the-art structure – cafeteria, smart queue management system and executive lounges
Mahesh Sharma, Minister of Tourism and Culture along with Ambassadors, High Commissioners and senior dignitaries from 18 countries inaugurating the VFS Centre
By shashank shekhar
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sia’s largest visa application center, spread across a mammoth 67,000 sq. ft. at the Shivaji Stadium Metro Station, was inaugurated in the presence of high-powered dignitaries. Located in the capital’s prime commercial hub, Connaught Place, the centre was formally inaugurated in the presence of Mahesh Sharma, Minister for tourism and culture, along with Ambassadors, High Commissioners and senior diplomats of various client governments. The swanky centre is equipped to process in excess of 12,000 visa applications per day – which is expected to ensure smooth movement, service, and monitoring of applications. Sharing that this newly opened centre was going to act as a one-stop destination for travelers seeking visa to a number of countries, Vinay Malhotra, COO, VFS South Asia said that its location, facilities and infrastructure were unprecedented and it was going to help travelers save time and provide a hassle-free experience. “A traveller needs to come to one place for his visa and that is the VFS center. There is connectivity from the airport, and any part of the city, actually. This is downtown; Connaught Place is in the heart of the city. The next building is a car-park facility which has over 1400 parking slots. So, it is absolutely a rare thing in Delhi,” he explained. “So, it is
extremely accessible for people to come via train, bus, metro or otherwise.” he further added. Pointing towards a plethora of facilities available at the centre, he said that they had also kept in mind the needs of various kinds of travellers. “Once you are here, we are offering visas for 31 countries under one roof, so there is convenience. We feel we have catered to families by having a dedicated kids-play area; we feel we have also done our bit to cater to general visitors by having a cafeteria,” shared the COO. Further mentioning that the centre boasted of premium lounges and a waiting area, he said that, “once you have given your biometric details, you are in and out pretty fast.” Adding that this development was naturally going to benefit tourists and, ultimately, tourism, he noted that, “From all perspectives, we are giving them all the convenience under one roof.” Speaking about the centre, Zubin Karkaria, CEO – Kuoni Group and CEO – VFS Global, mentioned that “We are proud to launch services at our flagship centre, which is a representation of our efforts to provide best-in-class services to visa applicants in India and around the world.” Mentioning that as the nation continued to witness a steady rise in travel to and from the country, he expressed confidence in their efforts in ensuring a seamless experience for travelers, by integrating technology and security into the visa application process.
Facilities, location and handling of applications will transform visitor interface, says COO. He notes that constant dose of tech is helping create seamless experience for visitors by aggregating services under one roof
Incorporating technology to better customer interaction; app based service for Dubai to be launced shortly
vinay malhotra COO, VFS - South Asia
A traveller needs to come to one place for his visa and that is the VFS center. There is connectivity from the airport, and any part of the city, actually. This is downtown; Connaught Place is in the heart of the city. The next building is a car-park facility which has over 1400 parking slots. So, it is absolutely a rare thing in Delhi.
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e are currently present in nineteen cities in India. We have been around; only in May, this year, we processed one hundred millionth application,” shares Vinay when asked about their foot-prints in India and wider global market. He says that India, along with South Asian region, remains a very important market for them. “From here, along with our own office – which is next door – we cover Nepal, Bhutan, Bangladesh, Sri Lanka and Maldives. We can process up to
12,000 visa application in day,” adds the COO. Sharing that they still did not have all the countries here at the new centre; USA, Thailand, Malaysia and China are processed from other offices, he says that “Previously, we had 13-14 different offices at Nehru Place; now with all the offices under one roof, it is easier, both, for agents and applicants. It is the second largest centre for VFS.” In a bid to smoothen customer interface, a lot of new features are being constantly incorporated, we were told. “There is a strong impetus on corroborating new methods and upgrading technologies. We have also recently launched biometrics system. We are working on app based service. For instance, if you want to go Dubai, all you need to do is click your own picture from your cell-phone, put in your passport details and you can get your visa, hopefully, within two days – provided all the documents are in order, “ he informs. “It is going to be launched very shortly. Constructed according to International Building Code standards, the building housing the centre has comprehensive safety features, including inbuilt earthquake resistance (up to 7.5 Richter Scale), a fire refuge corridor running along the building, and multiple fire exits, we were informed. “So, we are putting in a lot of time and energy in the realm of technology as well,” stresses Vinay. Adding that technology was helping create a people-friendly center, he shares that “You will be allowed inside the centre only when there is a vacant counter. It ensures that there is minimum waiting time for an applicant.” He further notes that, “There are television kiosks providing real-time information to each applicant about the availability of counter and seating inside.”
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Government set to open airport management to international operators By TF Bureau
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ingapore’s Changi airport is slated to become the first foreign airport operator which will be given the command to manage any airport in the country. According to a recently published report in a national daily, the government has decided to allow Changi to manage two of the major non-metro airports in the country – Ahmedabad and Jaipur. Allowing a private player to manage an airport in the country usually requires selection through a competitive bidding process. However, this deal has been clinched by Changi on the basis of a negotiation at the government level during Prime Minister’s Narendra Modi’s last month. “This was signed in the last week of November, during Prime Minister Narendra Modi's visit to Singapore. It was a government-to-government decision and there was no bidding for the contract,” AAI chairman RK Srivastava has been quoted as saying in the report. Speaking on the sidelines of an event in Guwahati, AAI chief, however, clarified that the crucial parameters of the deal like the tenure and precise financial terms are yet to be finalised. As per the preliminary details available, there would be no concessional agreement in place for the proposed partnership with the Singapore-based airport company. Changi is likely to be paid a fee for the management of airports but AAI would not be setting up any special purpose vehicle in this regard as no revenue sharing has been
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contemplated. A team from Changi Airport is expected to visit India soon to hold discussion with AAI officials and work out the final modalities. In the list of non-metro airports in the country, Ahmedabad and Jaipur airports are considered to be two of the fastest growing having built a commendable base in the last five years. According to government statistics, Ahmedabad airport had handled 5.05 million passengers, including 1.22 million international travellers in 2014-15. In the same year, the airport at the Pink City had handled 2.20 million passengers. Out of this, the volume of international visitors had stood at 0.33 million. Both these airports are projected to see a major surge in the volume of passengers over the next one decade. By, 2023-24, the volume of passengers at Ahmedabad is expected to go up to 6.77 million, and Jaipur 3.75 million. The decision to grant airport management rights to Changi at two locations is significant in several ways. Firstly, it shows the growing interest of world’s leading airport operators in the dynamically changing Indian aviation scene where bulk of the action is slated to shift to non-metro airports at some stage in the medium if not the near run. This clearly is the major plus of the government’s draft civil aviation policy which has been praised for its thrust in giving big-ticket push to the regional connectivity segment even as it has been panned on several other fronts. Secondly, Changi’s entry in airport
highlights
The government decides to hand over the management contract of Ahmedabad and Jaipur airports to Changi Airport The deal was finalised during Prime Minister Narendra Modi’s recent visit to Singapore The financial terms are yet to be finalised Changi likely to be paid a fixed management fee, no SPV arrangement with AAI
R.K, Srivastava Chairman, Airport Authotity of India
This was signed in the last week of November, during Prime Minister Narendra Modi's visit to Singapore. It was a government-to-government decision and there was no bidding for the contract
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management on a stand-alone basis (AAI not involved) could well be reflective of the government’s intention to bring global expertise in non-metro airports. It could well open the doors for the likes of Swiss company Zurich Airports, Korea's Incheon, etc. to find ways to integrate more with the growing airport business in the country. These companies are clearly hanging around looking for emerging
Ahmedabad and Jaipur are two of the fastest growing non-metro airports in the country opportunities in one of the fastest growing aviation market in the world. However, before that happens, the government will have to make it clear if it is doing away with the process of competitive bidding in the airport management. For Changi, an exception has been made but this could not be the case everywhere given the existing provisions. Or maybe, it is government’s way to entice more global operators to be part of the management contract biddings in the future. Whatever be the case, the move reflects that the government is thinking to up the ante in the airport management sphere (by private parties) making it a more open game, creating space for more players.
Aviation sector backs energy neutrality drive, Kochi’s example to be emulated
ochi Airport, widely known for its efficient operations, has many firsts to its credit. It has been the first airport in the country (commissioned in 1999) which was developed on public private partnership (PPP). During its formative stage, it had turned heads when 10,000 non-resident Indians had pooled in funds for the development of this airport. In August this year, the airport notched a major distinction when it became the first airport in the world to run on solar power. Within the aviation circles, it was broadly seen as a trail blazing move which will become an example for other airports and a recent comment by the Union Aviation Minister testifies that now government has also begun pushing the large scale emulation of this solar model. Going by some recent media reports, the aviation ministry has asked Airports Authority of India (AAI) to draw a comprehensive plan to make all functioning airports in the country energy neutral and has specifically told the authority to ensure that solar panels
become functional at four airports before 2016-17 end. “I have asked AAI to work towards fulfilling their power needs by harnessing solar energy. Four AAI airports will be producing more than their requirement as they migrate to solar energy between now and February 2017,” Civil Aviation Minister, Ashok Gajapati Raju has been quoted as saying in a published report. Bhubaneswar, Madurai, Gaya and Varanasi are the four airports which government intends to cover in the first phase even as the civil aviation ministry wants solar panel installation exercise to start at other airports simultaneously. A recent comment by another senior civil aviation ministry official confirms that a momentum is building up in making Indian airports energy neutral on a larger scale. Five more airports – Ahmedabad, Chennai, Jaipur, Kolkata and Chandigarh are believed to be in the forefront of this drive where solar panel installation exercise is slated to begin by March 2016. At some of these airports, the solar power generated would be to the tune of 23 MW. The
avant garde Kochi airport is presently generating 12 MW out of its solar unit. Government stepping in to promote the practise of solar power usage in running airports is clearly a step in the right direction. Adopting solar power on a larger scale is not only the mandate of the government here but of the entire world considering the consistent environmental depletion. Solar power is not only more environmental friendly vis-à-vis other regular sources, but is also easy to sustain and cheaper in the long run. To augment power generation capacity in the coming years, the present government has its major thrust on solar power. The government wants solar power to account for 18 percent of total power generation capacity in the country by 2030 as against a meagre share of 1 percent presently. This entails linking many large-scale business operations with solar power and recognising airports in the early stages of this drive only mean making them future ready from the environmental perspective as well.
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Pragati Maidan ‘2.0’ will be a gamechanger for exhibition industry in the country Built in 1972, Pragati Maidan has long been the nerve-centre of capital’s trade and commerce. With the recent announcement of ITPO (India Trade Promotion Organization) undertaking an ambitious project to create a state-of-the-art exhibition cum convention centre, CMD L C Goyal believes that once completed it will, not only fulfill the aspirations of domestic markets, but also help India grow its international trade helping movement of people and services. An exclusive with the seasoned bureaucrat:
By shashank shekhar
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ince its inception, it has been host to countless trade fairs and exhibitions. But, because of several reasons, much of its revamp has been on papers. The idea of redeveloping Pragati Maidan has been on the table for quite some time, said Goyal. Assuring that it was a concrete push, he shares that he has decided to inject a sense of urgency into it. “It’s a mega project and involves the redevelopment of the entire complex,” he said. Informing that there was some distance that needed to be covered, he said that it could take a few months to finalise approvals. “It first needs to be cleared by the ITPO board and then Ministry of Finance will have to look at it. It may, even, be discussed at the level of CCEA (Cabinet Committee on Economic Affairs),” explained Goyal. “It highlights
With a cost of over 2,500 crores, it is one of the most-ambitious undertakings by ITPO. Once finalized, it will be able to host around 7,000 people in totality Expected to be completed in the next 42 odd months, it will help position Delhi as a premier exhibition and convention centre. It will address the aspirations of domestic markets apart from increasing India’s trade opportunity with neighbouring countries CMD has mooted a slew of measures to make this momentous undertaking a resounding success. They include multiple and hassle-free access to the venue through underpasses and other such interventions. A number of state-of-the -art facilities are, also, expected to be put in place The venue will also boast of parking space for over 4,000 vehicles, most of which will be underground. It will help maximum utilization of available space, says Goyal
L C Goyal Chairman & Managing Director, India Trade Promotion Organization (ITPO)
Ministry of Finance and Commerce, both, are very keen to carry this project through. Considering the time needed to construct the structure which should be around three years, it is prudent not to lose any more precious time. If we have state-ofthe-art facilities, I am sure that all these countries will make the most of it. It will also promote our trade within the region.
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is difficult to indicate a time-frame, but it is high on the agenda. From the zero date (the date of actual implementation on the ground), it could be three years,” he added. He mentions that the project would be completed in the next 30-36 months. “It will be undertaken in two phases. In the first phase, all the state pavilions and non air-conditioned halls will be demolished,” we were told. Sharing more details about the megaproject, he said “We will have close to 2 Lakh sq. meters of exhibition space, as against currently available 65,000 sq. meters.” To be constructed in two different phases, the first phase will comprise of some 1,15,000 sq. meters. “It will accommodate up to seven thousand people and will boast of individual halls – which will cater to different space needs,” added the CMD. Detailing the enormity of the complex, the CMD shared that the area comprised of more than 115 acres. “We have around 65,000 sq. meters of exhibition space, out of which around 44,000 sq. meters comprises of air-
conditioned pavilions,” he said. He asserted that the idea, not only was to redevelop and come up with world-class, state-of-the-art exhibition halls, but also to have world-class convention centers. “It’s a global practice to have exhibition halls with convention centers,” he said. Advocating the need for a few underpasses or other road amenities that needed to be created around paths linking the venue, he said that “these were not the part of initial cost. We are trying to see if these can be incorporated in the program.” Arguing these were essential to ensure unhindered access, he mentioned that he had made it clear that these were key interventions to ensure success of the project. To accommodate large crowds, a giant parking facility, too, has been mooted. “The complex will need a major parking facility. Right now, it is all too scattered. The idea is to have an aggregate parking of 4,800 vehicles and most of it will be underground,” he detailed.
Calling the revamp a part of the national agenda, he opined that the nation was on the right track and had a clear vision. “The agenda has been beautifully articulated by our PM in terms of ‘Make-in India’, ‘Skill India’, ‘Digital India’ and more recently ‘Start-up’ India, “he said. “The nation is in need of facilities that will enable stakeholders’ exhibit their products and services. We take pride in the fact that we are an important part of India’s vision being realized; we gave exhibition space to young entrepreneurs at half the rate for displaying their products,” he said. Divulging that he had been instructed to provide this facility to new entrepreneurs, he believes that it will lend visibly to ‘start-ups’. “The response was pretty good. This year’s theme was ‘Make-in India’ and I have already declared that the next year’s theme of IITF will be ‘Digital India’,” he told us.
Project critical to broader national agenda; will push movement within India and abroad
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nordinate delays and lack of proper coordination and implementation have often derailed big-ticket projects. Established in 1972 to host the ‘ASIA 72’ expo, Pragati Maidan, too, has had its share of hits and misses. However, the present CMD sounded extremely positive about the venture. “I am quite confident that this would gain momentum; I do not entertain any doubt,” he asserted. Adding that he would spare no efforts, at his level, to ensure that the project was completed on time, he adds, “I am not talking about the past where it did not move at a pace it ought to have; I am not getting into that. As far as I am concerned, this project is long overdue; its time has come.” He noted that the project was critical in realizing the broader national agenda. Mentioning that there was a sense of urgency which was missing a couple of years ago, he stressed that
“The criticality, urgency and relevance of this project is much more than ever before.” Explaining that the project was to incur about `2,500 crore, he said that he was in touch with the Ministry of Commerce and Industry. “We are on the same page. The funding will be a mix of ITPO’s own finance along with some institutional finance; we could also explore involving another country. All options are on the table and funding should not be an issue,” he divulged. “Ministry of Finance and Commerce, both, are very keen to carry this project through. Considering the time needed to construct the structure which should be around three years, it is prudent not to lose any more precious time,” said the seasoned bureaucrat. When asked whether such a facility could help accentuate India’s attraction in the region and make it a centre for exhibitions and conventions, he concurred,
“If we have state-of-the-art facilities, I am sure that all these countries will make the most of it. It will also promote our trade within the region,” he said. Further illustrating the power of trade in driving movement, he shared that as many as 295 companies from 28 nations participated in the India International Trade Fair this year. He believed that once completed, a revamped Pragati Maidan will give an impetus to India’s trade within SAARC region, South-Asia and even in the entire Asian region. Stressing on its strategic location, he noted that “Facilities can come up in Noida, Greater Noida and Dwarka, but this is in the centre of Delhi; and if I cannot leverage this advantage then it is a grave injustice to the potential infrastructure we have on our hands.” “So, it will be a great asset in promoting our trade, both, with in India and overseas, ultimately increasing movement,” added Goyal.
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Grand Simhastha to have a yoga sideshow; delegates expected from over 50 countries On the sidelines of the epic-scale Simhastha Mahakumbh in Ujjain next year, participants will also have the opportunity to take part in Yoga Kumbh which, prima facie, seems to be a unique initiative. About one lakh yoga enthusiasts are expected to participate in this sideshow which is also likely to draw a sizeable chunk of visitors from the overseas markets.
By ritwik sinha
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imhastha Mahakumbh (scheduled between April 22nd to May 21st next year) in Ujjain is slated to witness one of the largest religious gathering in the country in the recent years. Madhya Pradesh government is expecting a staggering footfall of over 50 million (including international religious tourists) to descend at the banks of the Shipra river to participate in the monthlong affair. While religious fervour will reach to its crescendo during the course of the event, Simhastha Mahakumbh is also promising to offer much more than that. India’s newly acquired recognition as world’s yoga land is likely to be exhibited on a large scale with the addition of first of its kind Yoga Kumbh event on the sidelines of Simhastha. Yoga Kumbh is an initiative of the world renowned yoga institute – Ujjain Yoga Life Society which is being supported by several Indian and global bodies. Madhya Pradesh government is supporting this side-show by providing 12 acres of dedicated space at the Simhastha site. “This is the first time that such a massive event is being organised during the Kumbh Melas. Given the surge in the world’s interest in yoga after that massive International Day for Yoga celebration last year, we thought Simhastha would be an apt platform to highlight our intrinsic strength,” said Pundit Radheshyam Mishra, Founder & Director, Ujjain Yoga Life Society. The society has been organising an international yoga summit in Ujjain every year since 2010 and for Yoga Kumbh, it has partnered with reputed global agencies like European Yoga Confederation and the US-based Amrit Yoga society. To offer the flavour of yoga in a holistic sense, the organisers have planned to conduct several activities under one
highlights
Yoga Kumbh to be organised on the side lines of Simhastha Mahakumbh next year in Ujjain The event will be a collaborative effort of several national as well as international institutes Madhya Pradesh government has provided a 12 acre plot for this sideshow About 7000-10,000 overseas visitors from over 50 countries expected to attend the yoga camp Delegates from Islamic countries also expected to arrive in large numbers roof. At the beginning of Simhastha, the Yoga Kumbh pavilion will feature an International Seminar on Pilgrimage where scholars from several countries will make their presentation. This will be followed by International Yoga Seminar (April 26th30th) which will have “Yoga for Peace and Humanity” as its central theme. At the beginning of May, the participants in Yoga Kumbh will be witness to an International Film Festival which will screen 12 best films on spirituality and yoga. Global Yoga Convention, stretched across ten days, will be the longest programme of Yoga Kumbh wherein participants will be given lessons in yoga for total life management. This spell is likely to draw major crowd as stalwarts from various social spheres (mostly religion and yoga) will interact with the yoga enthusiasts. Some of the prominent names which are likely to be present during the Global Yoga Convention include His Holiness Sri Sri Ravi Shankar, Baba Ramdev, Deepak Chopra, Louise Hay, Oprah Winfrey, etc. “We are getting support from several leading personalities and their presence will be a major strength for us to promote Yoga at Simhastha,” Pundit Radheshyam Mishra pointed out. The organisers are expecting to see the attendance of nearly a lakh yoga enthusiasts during the month long event with about 10 percent of them
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Pundit Radheshyam Mishra Founder & Director, Ujjain Yoga Life Society
This is one of its kind event and first time ever in history such a massive event is being organised during the Kumbh Melas. Given the surge in the world’s interest in yoga after that massive International Day for Yoga celebration last year, we thought Simhastha would be an apt platform to highlight our intrinsic strength.
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coming from the overseas market. “All our national and international partners are promoting this show quite aggressively and so far we have received confirmed registration from nearly 40,000 participants on a cumulative basis. Out of these, over 4000 registrations have come from the foreign markets. And this number is going to grow as the d-day inches close. We expect participants from over 50 countries to attend this unique event,” Mishra emphasised. An official of Ujjain Yoga Life Society confirmed that most of the overseas registration have come from European countries like France, the UK and Norway. A major delegation of over 300 from Brazil will be participating and they have booked a charter with Emirates to arrive in the
country. Apart from these, the surprise confirmations are pouring in from Islamic countries. “A delegation comprising 40 members from Pakistan has just informed us of their participation. Similarly, we are noticing a surge in registration from Gulf countries. This simply goes on to show that the brouhaha over Surya Namaskar on religious grounds which we had seen a few months ago in the country was meaningless. Yoga, as an ancient wellness treasure, simply transcends all religious divides and our gathering at Yoga Kumbh will prove it,” Mishra asserted. Meanwhile, organisers are claiming to make an expansive arrangement at the 12 acre site which the state government has provided to host the Yoga Kumbh. To be shaped as a distinctive complex, the zone will have a large size auditorium (with seating capacity of 5000), over 1000 weather-proof luxury tents, concierge center with international calling and wi-fi facilities, etc. All through their stay in this complex, the yoga enthusiasts will be catered typical yogic cuisine. Going by the version of the organisers, Yoga Kumbh seems to be poised to enhance the appeal of the grand Simhastha Mahakumbh. On a much larger basis, it could also be a testing ground of the assumption that India’s most potent soft power can also generate bulk tourists footfall to the country.
Involving leading personalities in unique tourism projects could be a game changer
romotion of islands and lighthouses as tourism products has clearly emerged as intrinsic pillars of the union government’s intent to give a new identity to Indian tourism in the recent times. A country which, as a tourism entity, is looking for solutions to enhance its experiential offerings, the government has clearly indicated that development of these segments would mean going beyond the ordinary. In an interesting recent development, the union government has asked renowned Yoga Guru Baba Ramdev to take up an island in Andaman and develop it as a unique Yoga destination. The
proposition in experiential terms means, a scenic island which will offer yoga on the beach. Addressing a recent industry gathering, Union Shipping Minister Nitin Gadkari confirmed that the government would want Baba Ramdev to come forward and develop an island as a unique yoga destination in Andaman. The Union Shipping Ministry has identified islands and over 70 lighthouses all across the country which can be developed as tourism destinations. Directorate General of Lighthouses and Lightships ( a wing attached to Ministry of Shipping) has recently conducted two roadshows in the country offering land parcels
adjacent to lighthouses in as many as 78 locations to develop for tourism activities (refer to our story in October edition – Pitch for lighthouse tourism). The government is encouraging the private sector to participate in these tourism projects on public private partnership (PPP) basis. Developing an island or even a lighthouse as tourism magnets by involving the leading personalities of the day with massive mass following certainly seems to be the right approach to pursue these new tourism streams which do not belong to the ordinary basket. Having somebody as eminent as Baba Ramdev spearheading a yoga island project would
undoubtedly create more buzz around it (in their process of development, you are actually creating a battery of anticipating consumers) and could well encourage more entrepreneurs to jump in the fray believing that there is seriousness at the top. Having a noted brand ambassador for other upcoming tourism segments could well be the game changer in a major way. Just to cite an example, if stalwarts like Sachin Tendulkar are brought on the board as the lead figure for a sports tourism academy, it will undoubtedly make a world of difference. Clearly, a noble idea which needs to be pursued diligently.
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airlines & airports
CAPA asks for a serious review of draft civil aviation policy provisions
Global aviation think-tank CAPA has recently come out with a paper which evaluates the provisions suggested in the draft civil aviation policy. While the agency has praised MoCA for its intentions to bring big-ticket changes, it has also pointed out some critical areas which need a serious review. Excerpts from the report:
By TF Bureau
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APA welcomes the new Draft Civil Aviation Policy (DCAP) which signals a positive intent to provide a clear direction and structural lift to India’s aviation sector. The draft policy has a sense of purpose and reflects that the government is serious about delivering genuine change and meaningful outcomes. During the first 18 months of the administration, we observed a restoration of institutional trust and integrity at the Ministry of Civil Aviation, providing an important foundation for the DCAP which is focused on creating a sustainable longterm framework for the sector. For an economy such as India’s, which is expected to emerge as the third largest in the world by 2030, air transport will play a critical role in national transformation by supporting the movement of people, goods and ideas, enabling tourism and generating employment, whilst supporting industrial productivity, ‘Make in India’ and social cohesion. World class cities, financial centres and manufacturing hubs need local and global connectivity. For this reason it is critical that the final Civil Aviation Policy (CAP) is not only aligned and integrated with India’s national economic objectives but is clearly-defined, well-thought and implementable. We are very pleased to see that the draft policy recognises that liberalisation, ease of doing business and lower costs are central to a viable and vibrant aviation sector. But we also believe that certain critical issues remain unaddressed, while others require clarification and greater detail.
Key weakness in the draft policy: A complete overhaul of the DGCA is necessary. The DCAP does not move the regulator towards achieving the structural change that is required. There is a critical need to conduct block-byclock institutional strengthening of the DGCA. This process would culminate in the transition to the proposed Indian Civil Aviation Authority (CAA) which was to be an independent and professionallymanaged regulator for the sector. We were surprised by the absence of any reference to the CAA. ● The strengthening of the Bureau of Civil Aviation Security is another issue
on which no compromise is possible. In the new security environment risks are heightened globally and India remains a target. This will require significant investment in developing a new security architecture supported by intelligence, technology and training. BCAS, like the DGCA, must be equipped to be ahead of the curve in terms of what is expected of the agency. ● We would have liked to have seen much more emphasis on addressing the negative fiscal environment which airlines face e.g. sales tax on ATF, lack of regulation of ATF pricing, service tax on fares, TDS on service tax, TDS on the Passenger Service Fee component of airport charges, and withholding tax on aircraft leases. ● There is no reference in the DCAP to the future of Air India. The government’s ownership of the national carrier negatively influences policy decisions and has cost the Indian taxpayer USD3 billion in recent years. Losses of around USD600 million per annum may be as good as it gets in the absence of radical restructuring, especially as domestic and international competition is set to intensify. Government ownership of Air India cannot continue indefinitely and at this critical moment, when a new CAP is being formulated, it is appropriate to develop a plan for the future. Air India needs to be privatised or at lease prepared for privatisation. ● The AAI requires a new business model that better reflects the changed environment and its strengths and weaknesses. Instead the policy indicates that the AAI will be faced with an ever increasing range of diverse responsibilities and pressures which it is poorly equipped to handle, such as the development of low cost airports and supporting regional connectivity, in addition to its operation of existing airports and airspace. But the business model for these core activities is broken and the AAI remains viable only because of the significant passive revenue share from PPP airports. A new structure is required rather than maintaining the status quo. ● There is no reference in the DCAP to capacity planning for the airports sector, nor is there any sign of a longterm master plan. A shortage of airport infrastructure is a looming crisis for Indian aviation. Several leading states are faced with the prospect of their
highlights
CAPA recommends major overhaul of DGCA and strengthening of Bureau of Civil Aviation Security Serious measures needed to do away with negative fiscal environment Clarity on the future of Air India is a must Too much reliance on Airport Authority of India for future infrastructure development should be discouraged No master plan for capacity addition in the airports sector is a major short-coming Institutional strengthening at MoCA also required major airports being choked in the next few years, including Maharashtra, Gujarat, Tamil Nadu, Bihar and Uttar Pradesh. Meanwhile, Navi Mumbai which is critical to economic activity in India’s commercial capital - and by
consequence to the national economy continues to be delayed and is unlikely to open before 2020/21, by which time the current airport will have been saturated for several years. ● CAPA estimates that India may require 50 new airports to have been built or to have commenced construction by 2025. But this will require coordinated forward planning between airport operators, airlines, and local, state and central governments overseen by an independent National Airports Commission. In the meantime there a need to for a task force to ensure that the productivity of existing airports is optimised whilst new infrastructure is being built. ● A new Ministry of Civil Aviation (MoCA) has to emerge to be able to ensure the implementation and execution of the Civil Aviation Policy. Institutional strengthening at MoCA is also required because the outcomes of the DCAP will be dependent upon implementation capability. To move from a document to develop detailed sectoral plans and to implement them at a time of fast growth and increasing complexity will require significant management capabilities. Without implementation the policy will not deliver outcomes.
Target fare of `2500 in regional circles may not be feasible
According to CAPA paper, the focus on regional connectivity is critical but requires to be looked into again. Making the AAI responsible for the RCS would be a strategic mistake.
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egional connectivity is central to so many economic and social issues, from industrial development, ‘Make in India’, and supporting small businesses in the hinterland, to opening up new tourist destinations and enhancing national integration. For these reasons the emphasis on regional connectivity and spreading traffic beyond the metros to smaller towns and cities is an important objective. However, even with all the significant concessions that have been proposed, a target fare of `2500 for a one hour flight may not be feasible and needs to be reconsidered. It is not possible to expect that
this fare level can be achieved across all aircraft types carrying from say 9 to 100 passengers. For example, our analysis based on equipment from two European aircraft manufacturers seating less than 20 passengers indicates a direct hourly operating cost per passenger of close to `6000, and a total cost of `8000+ including overheads. There is a chasm between these costs and the proposed fare cap of `2500. Aircraft in the 9-30 seat commuter category have quite different economics to 50-100 seater regional equipment and need to be considered under separate frameworks rather than being combined together.
Meanwhile airlines operating aircraft in the 50-100 seat category have significant capital requirements. CAPA estimates that a start-up venture in this segment would need to have `150-200 crores of funding. Promoters committing such a significant amount of capital would likely consider the `2500 fare cap as increasing their revenue risks which would dampen investor interest. Although collection of the 2% cess should commence from Jan-2016 so that the corpus of funds can be builtup, we believe that it will take several more months to define and design an appropriate RCS and that Apr-2016 is too ambitious a timeline.
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airlines & airports
Consensus building is not always possible, says Civil Aviation Minister The Ministry of Civil Aviation may announce the new civil aviation policy before the month end. But it may not emerge out of a broader consensus which the Ministry of Civil Aviation was aspiring to have with various stakeholders.
highlights
After unveiling the revised draft policy around October end, the Civil Aviation Ministry extended the feedback deadline to 30th November The final policy likely to be announced before the year end According to Civil Aviation Minister, no consensus has emerged on ATF tax rationalisation
By ritwik sinha
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hen Union Civil Aviation Minister Ashok Gajapathi Raju spoke at an industry summit in Delhi late last month, the pangs of having found no middle ground with concerned stakeholders on the contentious issues of the draft civil aviation policy was quite evident. While the revised draft policy unveiled around October end has been welcomed by all for clearing the decks to promote regional connectivity in a major way (refer to our story published in November edition – Government unveils draft civil aviation policy: Will it be that ultimate panacea?), it carried no assurance on reducing the taxes on aviation turbine fuel (ATF). For the
Thrust to improve regional connectivity will be the defining strategy airlines, this is the mother of all expectations they have from the new civil aviation policy and the union aviation ministry is also keen on it. But this could only be possible when the states come on to board. And going by Gajapathi Raju’s comments (TourismFirst briefly caught up with him on the sidelines), it was pretty much clear that the civil aviation ministry is no longer in the mood to hold more consultations to build a consensus.
“We are not even thinking of consensus now. Some states have responded positively, others are yet to come back to us and one state (Delhi) has even gone to the extent of indicating an increase in VAT on ATF even as we are collectively looking for a solution. I think consensus is impossible,” Raju said when questioned by TourismFirst if the civil aviation ministry will wait for some more time to get all the states on board on the critical issue of tax rationalisation on ATF. The new civil aviation policy (to be unveiled after a gap of 19 years) has been in making for over a year now. Late last year, the first draft was released for feedback from the industry stakeholders. And a revised version of the draft policy was released around October end with three weeks’ time given to the industry stakeholders for their final comment. Following requests from some industry quarters, the civil aviation ministry had further extended the feedback deadline by ten days which expired on 30th November. According to the Civil Aviation Minister, the government is contemplating to unveil the final policy before this month end so that new provisions are there for aviation industry from the beginning of 2016. “This policy has been in making for quite sometime. We have put it in public domain twice for stakeholders’ feedback. Now we want to implement it and we are targeting to do so before the beginning of the new year,” the minister said. Speaking on the occasion, Civil Aviation Minister Ashok Gajapathi Raju also commented that the big-ticket promotion of regional connectivity is the major highlight of the new policy as it is the next big frontier for Indian aviation. “The future of Indian aviation lies in taking aviation facility to the larger population and opening up of new centers. We have enough smaller airports in the country and regional connectivity has to be given a major boost at this stage,” he underlined. However, he refused to respond to the issue of no clarity on abolition of 5/20 (foreign flying rights for new carriers) issue which has emerged as a major disappointment for the industry stakeholders. He, however, strongly opined that in a dynamic sector like aviation, there should be swift policy intervention. “It shouldn’t take so much of time for policy formulation for a sector which is poised to grow fast. There should be periodic review,” he emphasised. The obvious reference is the new policy which is being put in place after nearly two decades. Going by his comments, the ministry seems to be getting ready for finally lifting the curtains on the new policy even as it may still have some constituents which may not please all the concerned stakeholders. Even the grand plan on improving regional connectivity which entails to facilitate `2500 ticket to passengers on regional routes (less than an hour flight) will need states’ approval since they will be only available at the airports where VAT on ATF has been reduced. Clearly, the unveiling of the final policy may well generate more heat than the ministry would have wanted.
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airlines & airports
NCAER releases report on Emirates’ on India; tourism sector a major beneficiary
Country’s premier economic research agency NCAER has unveiled a report which underlines that the Gulf-carrier’s contribution to Indian economy has significantly grown with its expanding wings in the past. The report comes at a time when the global aviation giant has slipped to third position in India’s international passenger segment and is asking for more flying rights. By ritwik sinha
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he impact study presented by National Council of Applied Economic Research (NCAER) clearly testifies that the Gulfbased airline, in the process of its expansion in India in the last 10-15 years, has adequately contributed to the country’s GDP. Emirates is the largest foreign carrier operating in the Indian market (with around 185 weekly frequency and ten Indian destinations on its route map) and till recently used to lead the pack in ferrying international passengers to/from India. The report underlines that the carrier has a highlights
Country’s premier economic research agency NCAER releases a report which underlines that the impact of Emirates’ Indian operations amounts to around $850 million Report says this contribution could go beyond $1 billion, if the airline is given over 13,000 more seats on Indian routes A projected 74,000 seat capacity (as against 60,200 now) would bring more than $2 billion in Foreign Exchange Earnings The report categorically points out that Emirates’ has also contributed in enhancing the inbound tourism base of the country Emirates is pitching for more flying rights, is ready to deploy bigger aircrafts formidable operational base in India and considering the projected growth in the country's aviation sector, the national economy is going to benefit more if Emirates get the opportunity to further expand its wings in the Indian sky. Emirates presently offers 60,200 seats on a weekly basis on Indian routes and seeking more entitlement to further expand its wings in one of its key markets globally. NCAER report, in that sense, validates Emirates’ claim of more flying rights by not only taking into consideration the economic opportunity emerging out of airlines present operational base but also poses hypothetical equations. That is how the present economic benefits could multiply if the airline is given a longer rope. The report projects three scenarios and per the present operational scene of Emirates in India, the airline at its present scale is making a positive impact of US $ 848 million on India’s GDP. The calculation has been undertaken on the base of 60,200 seats which entail supporting over 86,000 Indian jobs and generating almost US$1.7 billion in foreign exchange earnings. “The NCAER study underlines the importance of air transport and its role as an economic driver in India. Aviation facilitates trade and tourism, and creates employment in many different industries. Emirates’ annual operations alone support more than 86,000 jobs
Source: NCAER report
across India and contribute US$848 million to the economy. We are confident that with increased capacity, we can contribute even more to India’s economic growth and development by opening new conduits for trade and investment, through our growing worldwide network.” Adnan Kazim, Divisional Senior Vice President – Strategic Planning, Revenue Optimisation and Aeropolitical Affairs, Emirates Airline said in a press statement. NCAER’s scenario two envisages a situation wherein Emirates has been given the rights to add about 4,500 more seats in its kitty. And according to the report, an increment of this nature would result in the overall impact figure shooting up in the vicinity of $900 million (refer to the graph) with a further increase in job numbers to 91.806 and foreign exchange earnings to $ 1.84 billion. An increase of 4,500 seats is slated to result in a commendable surge in Emirates passenger volume to/from India – to 5.57 million passengers annually as against the present base of 5.3 million. The third scenario is based on an entitlement of over 74,000 weekly seats which will take up the passenger volume to over 6 million figure. The projections underline that an expansion of this nature will create an economic impact of nearly a billion dollar with the number of jobs created going past one lakh figure. In terms of foreign exchange benefits, this scenario would
result in a cool earning of over $2 billion for the Indian economy. “The current NCAER report observed that Emirates makes an important contribution to the Indian air transport sector in terms of passenger traffic and foreign exchange earnings (FEE). The airline’s economic contribution to the air transport sector is seen to percolate to the economy at large through various multiplier effects. The study predicts further escalation of economic benefits for the Indian economy as Emirates grows the number of seats into India,” Dr.Saurabh Bandyopadhyay, Project Leader, NCAER said while releasing the report. That Emirates’ consistent growth in India has seen its economic impact to the national GDP improving is further testified by the fact that a similar report released by NCAER in 2012 had pegged the multiplier impact at $596 million (base year 2010-11). Around that time, Emirates had a weekly entitlement of 54,200 seats ferrying 4.65 million passengers to/from India. In February 2014, the aeronautical authorities of India and the UAE negotiated the first expansion of seat entitlements since 2008. As a result, Dubai-based carriers were awarded an additional 11,000 seats per week. Emirates, as a result, has 60,200 seat capacity for the Indian market now and its economic impact has also grown to $ 848 million.
Emirates, on its part, is claiming that it is well-positioned to undertake any expansion in the Indian market and contribute more to the Indian economy. According to Emirates officials, if the incremental seat entitlement is to the tune of over 20 percent as against the present base, the airline will deploy bigger aircrafts on the Indian routes – something that has been pointed out in the NCAER report too. “We can phase out A-330 and Boeing- 777 Classics which have been presently deployed on Indian routes if more seats are given to us. They can be replaced with wider gauge Boeing 777 300 ER aircrafts,” Essa Sulaiman Ahmad, Vice President – India and Nepal, Emirates Airline emphasised. Emirates officials are also pitching hard for more flying rights on the ground that the international passenger segment to/from India will grow to 85 million by 2020 (as against the current base of slightly over 50 million) and given the proven expertise of the airline in linking India to new destinations across the globe, it is the right claimant to be given the green signal to expand its wings. “Emirates provides India with unique links and connectivity. Of the passengers who travelled on Emirates India services in 2014-15, 90 percent travelled to/from Dubai or to/from points on Emirates’ global network that are currently not served by Indian carriers,” pointed out an airline official.
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airlines & airports
“Emirates has to play an important role in the rising international segment to India” The recently unveiled National Council of Applied Economic Research (NCAER) report on the economic impact of Emirates’ operations in India strongly bats for allowing global aviation major a larger turf to play. TourismFirst caught up with Essa Sulaiman Ahmad, Vice President – India and Nepal, Emirates Airline on the sidelines of the report release event trying to get a sense of the airline’s prospective moves in the future – more specifically on the more flying rights demand of the airline. Edited excerpts of this conversation:
see the Jet-Etihad combine playing out in the Indian market especially in terms of posing a serious challenge to you? Their outreach is in no way less impressive than yours. Linking Indian travellers to innumerable global destinations via your Dubai hub has been your major USP and this also is a major plus with Jet-Etihad combine. It’s a question you should ask them. As an airline, Emirates has always been in the forefront and we have always been innovating and we will continue to do so.
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How much of revenue is your Indian operation contributing to your overall kitty? I don’t have that figure because we don’t look at India in particular but rather look at our overall base. What I could tell you is that we have enjoyed a great thirty years run and we expect this journey will become much stronger.
By ritwik sinha
n the popular perception, no other foreign carrier has grown as much as Emirates in the Indian market in the last 10-15 years. You indeed have quite a formidable base. And that is what NCAER report seems to validate while also emphasizing on the potential benefit of allowing more flying rights to you. How would you respond to it? There is no denying the fact that India is a very important market for us. In 201415, the airline had carried 5.3 million passengers from India. We account for 10.4 percent of India’s international traffic. 90 percent of Emirates’ passengers from India either travel to Dubai or to those points in the carrier’s network where no other Indian airline flies. Out of 5.3 million passengers on Emirates network from this country last year, about 37 percent travelled to/from the major hubs – Delhi and Mumbai. Remaining 63 percent travelled from nonmetro airports. It shows our wider reach within the Indian market. Our seat factor in India has been quite commendable – in the range of 85-90 percent with the highest seat factor registered in our Kochi operations. And we have no doubt that this market is going to grow robustly. The estimate is that by 2020, 85 million international passengers will travel to/from India. This obviously can’t be facilitated by the domestic carriers alone. Given our positioning in the Indian market, we foresee a major role for us in the emerging scenario. So in an operational sense, what is your next big frontier after creating a formidable base? For that, firstly I will tell you what we are doing globally. If you are asking about our next big frontier, let me tell you that it has always been a consistent pursuit with us to take our product and offerings to the next level. That explains why we only operate wide-bodied aircrafts. We are a major buyer of A-380 and we have introduced them on many important destinations. Recently we have announced introducing third A-380 flight to Jeddah. We understand that the passengers have the right to choose and, therefore, it is important to keep on improving your products. A quick example would be a family going
to New York; they have the choice to choose which airline it would be. But they would look at Emirates in a different way because of our offerings – 2000 entertainment channels, with the soft toys we give to kids which keep them busy. Our multi-cuisine offering is a major draw. We keep on innovating our product offerings. My question was specifically on India. How can you further expand your base? You need to look at our historic journey in the Indian market in a holistic way. I will draw your attention to thirty years ago when we had started and look where we have reached. We have always demonstrated to our customers that we provide quality service on all fronts and that has helped us grow. It has taken us 30 years to reach to the level of over 60000 seats. It is how we have grown over the decades. We always had confidence in the market, in our products and even the destinations we brought in our network. Now going forward, we will keep on spending on our products and make them better. But right now, your options are limited for enhancing the frequency and touching more destinations here in India. I think within the parameters of existing bilateral, we have exhausted our options. But there will always be talks between both the governments to see how they can look at it and issue more rights. Plus, the Indian government has huge ambition with 85 million international passengers with 2020 timeline. We are looking at it positively because that requires 67 percent increase in the next four years and Emirates will have to play a major role in it. Emirates coming down to number three position in terms of ferrying international passengers to/from India, is that a setback for you? No, not at all. Why should it be? At the end of the day, what counts for us more is what best we have provided all through this journey. And we are quite satisfied where we are. Other airlines will also grow and at the end of the day we have to see how we can deliver better. Let me ask you this straight – how do you
Essa Sulaiman Ahmad Vice President – India and Nepal, Emirates Airline
You need to look at our historic journey in the Indian market in a holistic way. I will draw your attention to thirty years ago when we had started and look where we have reached. We have always demonstrated to our customers that we provide quality service on all fronts and that has helped us grow. It has taken us 30 years to reach to the level of over 60000 seats.
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Are you looking for any strategic partnership with any Indian carrier? Any plans to pick up stake in any domestic carrier here? The simple answer is no. Emirates is keen on organic growth. We are more eager to explore new product offerings. For instance, introducing shower facility in our A-380 offering. For us, the entire focus is on making our product better than before.
Emirates has contributed in expanding India inbound base
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he NCAER report on the impact of Emirates’ operation on Indian GDP clearly identifies the sectors where this effect theory has actually played out. These include air transport, petroleum & chemicals, manufacturing, trade, banking and insurance, etc. And another sparkling component of this impact basket is tourism. This was a point which was stressed by both Emirates officials as well as NCAER functionaries at the release of the report. “In cases like these, you come across a set of what we call induced or indirect impact. If we judge Emirates’ success in India, tourism has been a major beneficiary by way of being an induced impact. The airline has certainly linked tourists from various countries to India,” Dr.Saurabh Bandyopadhyay, Project Leader, NCAER told TourismFirst on the sidelines. As per the report findings, Emirates at its present scale of operations
is bringing 673,544 international tourists to India. At 2010-11 base, the airline was used by 529,928 foreign tourists to visit India. Going by the comparison between 2010-11 and the present figures, Emirates has contributed to a surge of around 1.5 lakh foreign tourists to India in the last five years. In terms of future projections, NCAER says Emirates will continue to contribute to Indian tourism by bringing in more international tourists to the country. At a projected enhancement of 4,500 more weekly seats to/from India, the Gulf carrier is expected to connect 711,244 foreign tourists to the Indian soil. If the airline is allowed to add over 13,000 more seats to its Indian inventory, the jump in foreign tourists could be as hefty as 784,042. The gradual addition in the volume of foreign tourists as earmarked by the NCAER report, would obviously result in a higher
foreign exchange earnings for the country. At the present operational scale, Emirates’ impact on the Indian economy vis-à-vis foreign exchange is to the tune of $ 1.7 billion. A projected addition of over 13,000 seats will take this figure to beyond $2 billion mark on an annual basis. “On the parameters like tourism or foreign exchange earnings, Emirates indeed has made a contribution to the Indian economy. These points need to be taken into the consideration when policy makers draw the long-haul growth path of the Indian aviation business,” Dr.Saurabh Bandyopadhyay emphasised. A senior official of Emirates present on the occasion also pointed out that the carrier has major global expansion plans in the next five years which includes bringing in new destinations on its route map and a strong linkage with India will only help it to bring tourists from new markets.
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states / destination
Uttarakhand
Targets to develop Tehri as an international destination, epic-scale plan mooted
This could well be the most ambitious tourism projec t which Uttarakhand government has ever undertaken. Going by the draft master plan of Tehri Lake project, the area in and around Asia’s tallest dam will be converted into a world class leisure tourism hub comprising assets in a holistic sense.
By ritwik sinha (In Tehri)
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hen one talks of the noted tourism destinations in Uttarakhand, some of the names which come immediately to mind are: Dehradun, Haridwar, Rishikesh, Mussorie, Kedarnath, Badrinath, Prayagnath, Nainital, Almora, Kausani, Pithoragarh, Ranikhet, etc. But if intentions expressed by the state government on those two sunlit days (28th-29th November) on the banks of Tehri Lake (near Asia’s tallest dam) are any indication, then there could be a significant addition to the above-mentioned list in the future. A colourful crowd from the nearby villages had assembled and there were sparkling performances from the local cultural troupes, not to forget the revving sound of steam boats floating in the nearby Tehri Lake and a group of para-gliders criss-crossing the sky above. Around 11 AM on 28th November, the excitement at the site touched its crescendo with the arrival of the state chief minister Harish Rawat and country’s tourism minister Mahesh Sharma. And the next one hour at Tehri Cultural Festival saw repeated assertion from all sides that epic-scale tourism centric developments are well on the cards in the region which will position Tehri as a new tourism magnet in the country. The sheer scale of the envisaged project clearly sets it apart making it the most ambitious tourism project which Uttarakhand has ever embarked upon. The idea is to develop a new hill station with multiple avenues along the stretch of 160 square kilometres in and around Tehri Dam. In terms of size, this could well be ten times bigger than Nainital. “The economic potential of Tehri Projected images of tourism products to be created in Tehri region
region with tourism as a key driver is immense and we clearly want to develop it to the scale of a major international tourism destination,” said Uttrakhand CM on the occasion. “Development of the tourism sector will generate employment opportunities for local youth and put brakes on migration from the hills in search of livelihood,” said tourism minister Mahesh Sharma while adding that the union tourism ministry will provide all possible support to the state government. An hour later about 150 meters away from the main inauguration pandal, an investors meet (with around 40 participants from different corners of the country) was organised in which senior officials of state tourism highlighted the details of the project which further reinforced the point that the vision is gigantic. The noted finance and consultancy firm Infrastructure Leasing & Financial Services (IL & FS) has prepared a draft master plan which covers the different strands of this massive project which even the senior government officials admit will take 10-15 years to completely fructify. “Ultimately the target is to put Tehri on the international tourism map,” Shailesh Bagauli, Tourism Secretary, Uttarakhand told TourismFirst after the meeting with investors (read his interview). The central motive behind this project is to develop Tehri Lake area as a world class leisure destination in the lap of the holy river Ganga and the Himalayas, with adventure tourism avenues as a major component. The idea is to develop a new hill station without hampering the natural beauty of the location. “We do not want it to come up as a cluttered hill station,” a senior official of IL & FS commented. The location has many inherent natural strengths – the urbanisation level is minimum, it has a huge green cover, the
highlights
Uttarakhand government decides to make Tehri Lake area a worldclass tourism destination The master plan, being prepared in consultation with IL&FS, will be ready before March end The draft plan proposes creating distinctive tourism zones in an area covering 160 square km around Tehri Lake Hotels, adventure sports activities, wellness resorts, rural tourism products, retail shopping zones, etc. will be defining pillars of the project The project will be completed in three distinctive phases State government seeking aggressive participation of investors in the project, assures all support including lucrative fiscal incentive
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state : uttarakhand climate is quite moderate (in peak summer season, the maximum temperature goes up to 20 degree Celsius), and the scale of water edge is quite expansive. To improve the connectivity to the location (nearest town is Rishikesh which is about 70 km away), the master plan has proposed further development of Chinyalisaur airport (presently used by Indian Air Force) making it capable of handling smaller passenger aircrafts. Also proposed is a helipad in the Tehri region for direct connectivity from Delhi and the state capital Dehradun. To improve road accessibility, the state Public Works Department (PWD) has been entrusted with the responsibility of putting in place a twolane road network all along the 125 km lake edge. The proposed land use of Tehri Lake area (spread across 160 square kilometer) has several components and have been identified as clear leisure and solitude, sports and adventure, and live and learn (for educational centers) pockets. In a more macro-sense, the draft master plan talks about setting up such facilities as hotel units, camp sites, retail shopping zone, special recreational zone, sports complex and mini stadiums, cultural and religious centers, etc. (refer to the perspective plan graph). To create these welldefined pockets and facilities, the IL & FS proposal has recommended built intervention in an area of 80 square kms while greener interventions have been proposed for 84 square km area. The draft plan paper further emphasises on the possible contours of each segment. For instance, in sports and adventure zone, facilities would be created to promote activities like para-gliding, trekking, mountain walk, mountain cycling, water sports, etc. Similarly, leisure and solitude zone will boast of facilities like spa, wellness centers, luxury resorts and rural tourism products. “In all the segments which we have proposed for this grand project, there would be ample scope of units of different size and scale,” IL & FS official told TourismFirst adding that separate land parcels have been identified for budget hotels ( 5 plots, 2 acres), luxury resort (2 plots, 10 acres), wellness center (4 plots, 20 acres), and ten plots will be allocated to put up camping and adventure facilities. As per IL & FS recommendation, the entire project will be developed in a phased manner (three stages of development) with the first phase expected to close in the next five years. The state tourism department on its part has assured the investors that they will find very supportive business environment if they choose to partner in this project. As per the provisions of the new Micro, Small and Medium Enterprises (MSME) policy of Uttarakhand government (it covers some of the tourism pillars like hotels, vocational sports, catering & food craft, and civil aviation related training), many of the proposed ventures at Tehri Lake area will be supported with suitable fiscal incentives. Under this policy, Tehri has been recognised as category B district wherein investment subsidy of 35 percent (for projects upto `35 lakhs) and interest subsidy of eight percent (for projects upto Rs 6 lakh/unit) will be provided. In addition, there would be reimbursement of VAT, 100 percent for the first five years and 75 percent thereafter, and heavy concession will be provided on stamp duty. “The process of doing business in Uttarakhand has become very easy now. The Single Window Contract and Facilitation Act has been cleared now which provisions for clearance of any project within 15 days to a month. Investors will get all support from us,” Tourism Secretary Bagauli emphasised in his briefing to the investors. Prima facie, the plan for Tehri Lake development is indeed grand on all possible judgemental points and many of the investors who came from outside the state could not simply hide their sense of excitement. It would be interesting to watch how Uttarakhand Tourism will convert this excitement into concrete commitment as the process is pushed to the real stage of implementation after the master plan is finalised before March end.
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In his inaugural address at the recently held Tehri Cultural Festival & Investors Meet, the Chief Minister of Uttarakhand, Harish Rawat underlined that Tehri would be that next big tourism offering from the ‘Dev Bhumi’ land while emphasising that the state machinery is firing on all cylinders to take Uttarakhand tourism to the next level. Excerpts from his speech:
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t is no secret to anybody that tourism is one of the major draws of Uttarakhand. And in our scheme of things, its strategic importance is only going to grow. This obviously entails modifying the products we have and also making subtle additions in our portfolio. Our focus in developing Tehri as a world class tourism destination now is an ample proof that we are moving in this direction. The economic potential of Tehri region with tourism as a key driver is immense. The natural beauty of the entire region is unique and if we could manage to put in right tourism components, it will not only significantly uplift the economic condition of the region but could also emerge as a major asset for the national tourism. Here I must admit, we have been somewhat slow in giving a push to the tourism development of this region. But now we are committed to go all hog on it. To attain our ultimate objective of making Tehri a world class tourism destination, we must evolve a participatory culture wherein the concerns of the local and their upliftment should be given the paramount importance. It should not be just seen as a function of getting private investments. I have instructed the local authorities to encourage local participation. We must have a comprehensive plan with twopronged strategy. Firstly, there should be a robust skillset development programme which should help local youths to embrace new opportunities in tourism in the region (e,g., guides, personnel for the hospitality industry, etc.). And secondly, the pace of the tourism growth in the region should be such that it should promote local entrepreneurship as well. This region can well embrace some of the natural strengths which we have developed elsewhere in the state. For instance, watersports can become a major attraction here. The nearby destination of Shivpuri is already well-recognised for water based activities and is, in fact, called the capital of river rafting. River rafting has evolved as a culture giving employment to thousands of locals which can be emulated here. Even on a broader basis, developing more tourism centric sites in the state is a key pursuit for us now. Pancheshwar for instance has a lot of potential and we are keen to develop some new tourism sites there. Para-gliding and mountaineering are the key
activities wherein we want to scale up our offerings. We have plenty to offer to the nation and the world and I must appreciate the center and the union tourism ministry in providing us with adequate support. We have started Himalayan- Darshan scheme (helicopter services for tourists to view mountain peaks) which will significantly add to Uttarakhand Tourism profile. We have also drawn a plan to give a further boost to our religious tourism segment which is a stronghold of the state. We have many ancient temples which are relatively lesser known and we will push them to the spotlight zone by creating lakes around them. A major positive trend which we have noticed in the recent past is that the typical state cuisine is also becoming popular with our visitors and we want to tap this segment in a major way. I have instructed the tourism department to promote and standardise the outlets which are at strategically important tourism locations in the state. The entire idea is to emerge as a major tourism powerhouse in the next two-three years. It will create thousands of jobs making tourism development inclusive going ahead. We had considerable momentum to attain this objective before but the natural tragedy two years back had slowed the process. But the good news now is: tourists have begun coming back to our main draw, Char Dham, in large numbers again. I am happy to share with you that we noticed a footfall of about 10 lakh religious tourists to Char Dham this year and in 2016, this number is likely to further shoot up to 14 lakhs. So we are getting back to the normal mode again. We have also planned to supplement the new momentum with a series of year round cultural festivals which could be another significant addition to our portfolio. Very soon, we will come out with a cultural calendar. Our big vision on tourism certainly includes apt support from the investors’ community. And there is ample opportunity for them on several fronts starting from hotel units of all kind to basic facilities in mountaineering and also training. From the state government side, I can assure all assistance and support to the investors who would like to partner our journey to take Uttarakhand tourism to the next level.
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The tourism potential of Tehri is immense: Harish Rawat
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state : uttarakhand
Floating Marina has become a major attraction for visitors coming to Tehri Lake
The recently inaugurated adventure sports training academy at Tehri Lake
“We can double our arrival numbers in next four years” Immediately after briefing a gathering of investors at Tehri Lake on the occasion of Tehri Cultural Festival and Investors Meet, State Tourism Secretary Shailesh Bagauli spoke with TourismFirst underlining the strategic importance of developing Tehri region as a new tourism destination. He also commented on the broader objectives of Uttarakhand Tourism in the medium run which, among other things, also include doubling the arrival base in the coming years. Excerpts from the conversation: The sheer scale of this project which entails turning areas around Tehri dam into a noted international destination seems to be massive. Is it the biggest project which you have embarked upon in the recent times? Yes. As far as Uttarakhand tourism is concerned, it is the most important project which we have launched recently. We are still working on it, giving it finishing touches in consultation with different stakeholders. The ultimate objective is to put Tehri region on the global tourism map. We will be investing about `200 crore in this project in the near run. We have already put in some money in tourism development in the region and another `100-150 crore of funds will be pumped in soon. As you are aware, we are working on a master plan and according to the preliminary details of this plan, we will need to invest about `500 crore in improving roads and other basic infrastructure in the next few years to give a push to our tourism drive in this unique region. Some of the highlights of the proposed master plan which you have shared today makes it amply clear that this project is going to be a long-haul story. Something that will take 10-15 years to fructify completely. Absolutely. For building total infrastructure which is part of the master plan, it will take anything between 5-10 years. But the key components of the proposed infrastructure like roads and sewage treatment plan, we will pursue them on a war footing. When do you envisage your master plan to get ready? I think, it will be ready in three-four months’ time. We have prepared the draft master plan which has been circulated in the market. We are seeking opinion from tourism industry stakeholders as well as other sections of the society. Once we get it, we will examine their suggestions and give a final shape to the master plan. Uttarakhand already has a number of destinations which are unique and popular for various reasons. In that sense, does this emphasis on developing Tehri and its surroundings entail adding one more unique destination to your portfolio? It is true that we have many well- known
destinations in our portfolio. And yes, Tehri has now become a big focus for us in the tourism sense. But we are also focusing on initiating various activities. Like for paragliding, Uttarakhand can be one of the best destinations in the world. We are promoting that and we are equally keen to promote mountain trail biking very aggressively. Plus, water sports activities is another key focus area for us. Since the draft master plan which you shared with us does not specifically underline the level of investments which will be required to lay the basic infrastructure in this long-haul project, is there any guesstimate which you can share with me? If I look at next five years’ time frame, my feeling is: it will need something close to `1,000 crore investment in developing Tehri as a major destination. Let me draw your attention to some other aspects of Uttarakhand tourism. You have this Ardh Kumbh starting next month which I am sure will draw a big chunk of religious tourists from all over the world. What kind of preparations have been made on the ground? The Ardh Kumbh festival is being looked upon by the state Urban Development Ministry. But from the government side, we are ready to host a large number of
What is the kind of footfall you are expecting this time? It is difficult to say at this stage. But it will be quite large. That’s what we are expecting. What is your overall arrival base trends currently, especially the religious tourism segment? As far as religious tourism is concerned, about 10 lakh tourists visited Char Dham this year and a lot more came to other religious destinations which we have. On an overall basis, we are getting a footfall of three crore domestic tourists and about two lakh international tourists.
Shailesh Bagauli Tourism Secretary, Uttarakhand
This year we have seen about 10 lakh tourists visiting Char Dham which is about 50 percent of what we used to get before the tragedy had struck. I am very sure that the confidence in tourists is coming back and from the next year onwards, we will have the full crowd at Kedarnath which we used to get earlier.
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tourists in Uttarakhand. We are ready to welcome them. We have made very sound preparations and like in the past, it is going to be a grand show. From the tourism department side, we would specially organise Yoga Kumbh sessions. Visitors coming to Uttarakhand for Kumbh this time can also indulge in basic yoga practices if they want. This is a major initiative from Uttarakhand Tourism this time for the Ardh Kumbh festival.
Despite being a prominent destination among states, your international arrivals still remain very weak. Some observers even say you are losing out in a major way here. What are you doing to change the trends on this front? That is true. We know it and that is what we have to focus right now. We are receiving two lakh international visitors and it can go up by ten times, at least, from the present base in the coming years. While aggressive promotion abroad would be a key pillar of our drive to get more international footfall, it would also entail creating different kind of activities, different kinds of events linked with segments like paragliding, water sports, mountain trekking, etc. We need to create some attraction. Uttarakhand undoubtedly has pristine beauty but it has to be supplemented with activities which foreign tourists like. We are working on this front. The massive natural calamity which you had suffered two years back was a serious setback to your tourism sector. It had undoubtedly created a fear factor. What is the scene now? Do you think that fear factor has been neutralised to a considerable extent? My opinion is: that fear has completely gone now. And that is testified by the recent arrival trends. This year we have seen about 10 lakh tourists visiting Char Dham which is about 50 percent of what we used to get before the tragedy had struck. I am very sure that with the efforts of the state government to redevelop Kedarnath, the confidence in tourists is coming back and from the next year onwards, we will have the full crowd at Kedarnath which we used to get earlier. In your presentation to investors, you said that the target of Uttarakhand government is to double the existing arrival base. Is there any particular time line which you have set to achieve this milestone? I think, it will take three-four years to double our arrival base. It is quite possible.
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state : uttarakhand
Will investors loosen their purse strings for the grand Tehri project?
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n important projection coming out from the presentation of the state tourism department on the grand Tehri Lake project stated – the carrying capacity of the region would skyrocket to 50,000 tourists per day from the present base of 2000 after the entire over 160 square kilometer area has been developed. Locals will tell you that presently even a crowd of 2000 on a single day is a rarity (mostly coming from Rishikesh on weekends on a short joy trip). There is no hotel around the lake area and the nearest accommodation points are either New Tehri or Chamba towns which are about 15-16 km away from the lake (the draft master plan has also proposed a massive ropeway service between New Tehri and the lake area covering a stretch of 6 km). But coming back to the projection, the state tourism department believes the fructification of their grand plan will escalate the potential footfall by as many as 25 times in the next 10 to 15 years. Of course, as the project rolls and the area subtly makes it to the larger tourism map, the benefits too will start pouring in at a much early date for the enterprises who are keen to jump on to this bandwagon. When investors gathered at Tehri Lake were asked if the project excites them, there was a resounding yes from their quarters. However, some of them vented out critical concerns making it clear that when it actually comes to loosening their
purse, the response may well be not that prompt. “It is important to understand the kind of clearances the government will be providing when it hands over the land. What kind of support is the government willing to lend if the land given to the private investors gets entangled in some environment issues? There are many such cases under the consideration of the National Green Tribunal (NGT) in the country,” Cyrus Madan, VP ( Development & Feasibility), Lemon Tree Hotels pointed out. Another hotelier present in the meeting strongly cautioned the state tourism department not to offer blanket investment invitation to anybody who is ready to put in money on the table. “There are companies and entrepreneurs who only have interest in creating land banks and are hardly aligned to the
project objectives. If Uttarakhand tourism wants to develop this grand project in the right spirit, such possible entrepreneurial moves should be discouraged,” he said. The investors are seeking the land on a long-term lease hold mode (at least 60 years) and well-defined Request for Proposal (RFP) modalities. The tourism industry stakeholders are also wary of their past experiences in terms of getting required clearances from the official machinery clearly pointing out that the envisaged metamorphosis of the location would only be possible if there is a significant change in the clearances procedure at the ground level. “ Last year, I had put up some tourist camps in a nearby spot but when I asked to set up make-shift toilets, the request was denied. I had to ultimately wind up my camp site,” said Kiran Bhatt Todaria, a local
The annual event at Tehri Lake could become a bigger affair
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or any outsider, what unfolded at the site near Tehri Lake on 28th and 29th November could not have been anything less than a macrocosmic experience of what Uttarakhand Tourism is quintessentially all about. On one side, stood the recently constructed three glass buildings complex where adventure training curriculum is slated to commence from the next year – a formidable symbol in its own way underlining the state government’s intention of making tourism big in the region. Just 100 meters away in front of it was a huge pandal where scores of local cultural troupes were performing. Drumbeats, at times, were touching deafening high. And the vast expanse of the nearby Tehri Lake was filled with activities galore with locals and some tourists who had mostly come from Rishikesh enjoying canoeing, rafting, boating, etc. Some dare devilry display
by trained para-gliders, applauded by a crowd of over 3000, turned out to be a major add on to the festive spirit. In terms of cumulative impression, the site offered a perfect mix of the cultural assets of the state as well as its main calling cards in adventure tourism. A subtle blend between traditional and modern tourism avenues. The occasion was Tehri Lake Adventure Festival, a recent initiation by the state government (this was the second edition) which clearly is in its infancy but could become a much larger affair going ahead. In fact, senior officials of Uttarakhand Tourism vouch the festival could well be seen as the beginning of the process of giving a rejig to the location with strong tourism orientation. “Somewhere behind this initiation is the basic objective of creating more buzz about this location now that we have decided to
vivek chauhan deputy director, uttarakhand tourism
Though these are the early days, we certainly want this festival to grow bigger in scale. That would be strategically important as well since the idea is to turn this region into a world class destination. We would, therefore, need to create a show which should be talked about internationally. Something on the lines of a Khajuraho festival. We are looking into the possible solutions to make it happen.
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entrepreneur. Another entrepreneur, who is based in Dehradun, had a similar tale of woe to share. “For two years, many of us were trying to create facilities around Sattal lake area (near Bhimtal in Nainital district) but it was so frustrating to get the required licenses that we ultimately gave it up,” he rued. That Tehri Lake should be projected as a unique upcoming world class destination and it should not be tagged along with Rishikesh as the major catchment area also emerged as a major advocacy during the meeting with investors. “If you say that Rishikesh is the major catchment area, businesses will be reluctant to come here. The scope of getting crowd from Rishikesh is too limited and therefore no business house planning to put in money here could imagine getting good returns on his investment even in the long-term. It has to be projected as an extraordinary destination right from the word go and it has to be developed with that prime objective,” advised Vinay Chaturvedi of Aquamax Maple Floors. So looking at the nature of the deliberations which unfolded at one of the three buildings of the recently constructed Sports Complex at Tehri Lake (training institute for adventure activities), the investors may display a cautious approach in taking an operational position in the region. “Prima facie, this project looks to be too grand and this location certainly has all the attributes to be a world class destination. But accessibility is an issue and they will have to do a lot to improve the basic infrastructure,” Jagbhan Singh, Zonal Head (North), Stayzilla who attended the investors meet told TourismFirst.
turn it into a world class destination through a gradual process. That is why this year’s event has been held on a much larger scale and we have also clubbed investors meet with it so that our prospective private partners could get a first hand experience,” Vivek Chauhan, Deputy Director, Uttarakhand Tourism said. In terms of cultural display, Tehri Festival figured two days of live performances by cultural troupes from the nearby locations and also other parts of the state representing different communities. In terms of spectators, it mainly drew crowd from the nearby villages (there are over 150 village units in the Tehri region) and towns like Chamba and New Tehri. But according to Chauhan, the festival has begun to find favours from the easily accessible urban pockets of the state too. “The buzz about this festival is growing strong and we are now noticing sizeable crowd coming from Rishikesh and Mussorie too. The diversity offered by this festival – cultural as well as adventure activities at one location– is clearly its USP,” underlined he. Displaying its rich cultural heritage through various fairs and festivals has been a stronghold for the state in the past (as exemplified by Uttaraini Mela, Gauchar Mela, Maga Mela, Vishu Mela, etc. apart from scores of religious fairs) and Uttarakhand Tourism now clearly intends to turn the annual adventurecum-cultural event at Tehri Lake into a bigger affair. “Though these are the early days, we certainly want this festival to grow bigger in scale. That would be strategically important as well since the idea is to turn this region into a world class destination. We would, therefore, need to create a show which should be talked about internationally. Something on the lines of a Khajuraho festival. We are looking into the possible solutions to make it happen,” Chauhan stated.
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state : J&K
Moots multifold increase in footfalls; central assistance of ` 2200 crores to give big infra push Jammu to develop as an independent destination
Farooq Shah has donned many hats in his illustrious career. Having served as the Director Tourism for seven years and CEO of JKSCCC; he is a widely travelled man. Recently appointed as the Secretary, he envisages the state as a golfer’s paradise in the years to come. Also, high on his agenda is to widen the tourism offerings of the state by developing Jammu as an independent destination by harnessing the potential of its untapped products. By shashank shekhar
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alling the state’s tourism potential and offerings unmatched, Tourism Secretary mentioned that J&K happens to be a unique state which has a mix of high-end luxury and budget destinations and products, allowing them to cater to wide variety of tourists. “Name any product – be it in the high-end or the budget segment – we have them all. If we talk about high-end tourism, we are the best golfing destination in the country,” says the senior bureaucrat. He described the state as a golfer’s paradise, saying that the state had the capacity to have around forty golf courses. “We have world-class golf courses in Srinagar, Pahalgam, Gulmarg and Leh. We are mooting a golf course in Jammu as well. So, we are making J&K a golfer’s paradise,” he says. Divulging that five more golf courses were to be added in the next five years, he said that the Kashmir Golf Course – which is the second oldest in the country – was farooq shah Secretary tourism, Jammu & Kashmir
As far as offerings go, we are a complete destination and do not have any competitor. Our Hon’ble CM is also committed to developing Jammu as an independent tourist destination by improving destinations like Patnitop and Sanasar.
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in the process of getting a makeover. “We are developing one in Leh; it will be one of the highest top-greens in the world. Basically, we want to have a golf course in every area of the state” he adds. He shared that adventure tourism was another area which remained important to them. “We have huge scope in skiing
highlights
J&K aims to position itself as a premier golf tourism destination; plans a number of new courses in the coming years. A high-powered Tourism Advisory Committee has been constituted under the chairmanship of CM Mufti Sayeed. It has mooted a number of recommendations.
Single-window clearance, creating cinema shoot related infra will help us become a favoured destination again
The state has also unveiled a ‘single-window clearance’ for cinema shooting. Long-lost, it aims to re-position itself as the preferred shooting destination in the country. In a bid to harness Jammu's potential as an independent product, a number of new initiatives have been put into motion. Huge infra push, helicopter service and developing destinations have been planned. – Gulmarg is already recognized among the best skiing destinations in the world; it has the world’s highest skiing point at over 13,400 ft and plethora of high-quality hotels to accommodate guests,” explains the Secretary. “If we talk about trekking and mountaineering, we are the best in the business. Ladakh is already at the cusp of becoming a numero uno in the realm of adventure sports,” he shares. Water-based sport is another area which has been earmarked to be developed in the future. “We have concentrated on water-sports by having rafting, kayaking and canoeing facilities in Sonamarg area. Baglihar in Doda and Ranjeet Sagar Dam in Basoli are also on our radar for developing them as major water-sports destinations,” he informed. “Just like Bir-Billing in Himachal, we want to cultivate Sanasar in Jammu and
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hether it was the Shammi Kapoor starrer ‘Kashmir ki Kali’ or Shashi Kapoor’s ‘Jab Jab Phool Khile’, Kashmir has long been central to Bollywood’s story telling. It is this age-old relations that the state government wishes to re-establish, said the Secretary. “Bollywood and J&K have had a very old relation. Once upon a time, there was no movie without the mention of our state,” he says. “During the turmoil period, of course, there was little traffic. But, recently we have had some major movies shot in the valley. Bajrangi Bhaijaan, Jab tak hai Jaan and Haider to name a few. So, we are hopeful that now they will
return in huge numbers,” he reasons. Mentioning that the state had recently put forth a single-window clearance in place, he mentions that it will enable procurement of all shooting related permission in 48 hours. “We are also exploring the possibility of having basic shooting related infrastructure in place to ensure that whatever can be made available locally is taken care of. It will ensure that they need not carry all the bulky equipment to Srinagar for a shoot,” he reveals. Terming affordability as another important aspect of shooting in the valley, he shares that, “Whether it is shooting in the gardens or
elsewhere, our charges are very reasonable.” He further details that the state had been participating in road shows and cinema tourism events making its presence felt. “Recently our Hon’ble CM was in Mumbai and met a number of producers and film stars urging them to come back to the valley. Why should our industry go to Switzerland and other European destinations?,” contends the Secretary. He asserts that the state had received encouraging response from the film fraternity and it was a matter of time before it reclaimed the status of being a favoured cinema shoot destination again.
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state : J&K Dara in the valley as premier para-gliding destination,” we were told. Thanks to an age-old Sufi culture ingrained in the valley, there is no dearth of places with spiritual significance in the state as well. Hoping to tap this huge segment, he said, “We receive over ten million tourists to Vaishno Devi temple; it is very famous. We have ample offerings for almost everyone. Apart from Vaishno Devi, we have Raghunath temple in Jammu and Kheer Bhawani in Kahsmir. Shankrachrya temple and Amarnath ji shrine are other extremely important components of our religious tourism pegs.” Adding that they also had a good number of Muslim shrines, he contended that if Ajmer Sharif was attracting over five million pilgrims, why could not their shrines achieve the same feat? “We have Dargah Hazrat Bal, Baba Reshi and Ashmuqam that are quite famous and are revered in the region; so there is huge potential also in that area,” detailed Secretary Shah. “We want to give it some publicity, so that people know we have these important places on offer,” he adds. Pointing towards the presence of ample shopping options at hand, he asserted, “it will not be wrong to say that it is a shopper’s paradise.” “Our handicrafts
are world-famous. Shawls, carpets and intricate wood-carvings are some example of our excellence in that area,” he explained. He further noteed that in the arena of culinary offerings too, the state remained miles ahead of others. “Our food is the king of cuisines. Wazwan – a traditional multi-course meal – can comprise of sometimes, fifteen dishes of lamb,” detailed the bureaucrat. “So, as far as offerings go, we are a complete destination and do not have any competitor,” he confidently adds. Stressing that the government remained serious about utilizing the full potential of state’s tourism assets, he mentioned that, “Our Hon’ble CM Mufti Mohammad Sayeed is also taking care of the tourism ministry, and under his dynamic and visionary leadership we are hopeful that we will improve a lot.” He shared that the state was aiming to cater to five million tourists, in the next five years, in the valley alone. He further asserted that the government was aiming at developing Jammu as an independent tourist destination. “Our Hon’ble CM is also committed to developing Jammu as an independent tourist destination by improving facilities in Patnitop and Sanasar,” we were informed.
Slew of infra projects, high-powered tourism advisory board reflect our seriousness towards tourism
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ighlighting the recently inaugurated chopper service from Srinagar to Pahalgam, Farooq Shah stressed that these measures amply demonstrated state’s seriousness in ramping up tourism. “Helicopter service is another example of how we want to spare no effort in attracting tourists. Those who want to use it must be able to. As of now, we have started a chopper ride between Srinagar and Pahalgam. There is no need to go to the city; a tourist can opt for a chopper ride from the airport itself,” explained Shah. “Our introductory tariff is extremely reasonable at only `12,000 per person and there has been a huge response to it. We are also looking at extending this facility to other destinations,” he added. Informing that there was serious intent on part of the J&K government for connecting Vaishno Devi to Patnitop and Srinagar in coming days, he told us that “In Kashmir region we also want to link Sonmarg with Srinagar. Helicopter service will also open up a number of destinations in the hinterland – which are extremely beautiful – for tourists.” He, however, pointed that any destination, no matter how beautiful it was could never really flourish without adequate connectivity. farooq shah
CM’s persistent engagement with the Railways has paid. It has decided to roll out a ‘Paradise on wheels’ on the lines of ‘Palace on wheels’ – it will ply from Kazikund to Baramulla. They are quite serious about it and hopefully it will be operational by the next July. It will certainly give a boost, not only, to tourism but also to trade and local industries.
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“We are grateful to Hon’ble PM and the central government for announcing a package for the highways,” he said referring to the recently announced package of over two thousand crores meant for boosting state's dilapidated highways network. “SrinagarJammu highway has been in a shoddy state. Once the highway is completed by 2017, one can reach Jammu from Srinagar in matter of four hours,” he shared. Stating that the state government was also focusing on improving state highways, he told us that “We want to have world-class roads from Srinagar to Leh – which will be dotted with roadside amenities.” He further announced that the railways, too, had planned some big-ticket projects for the valley. “CM’s persistent engagement with the Railways has paid. It has decided to roll out a ‘Paradise on wheels’ on the lines of ‘Palace on wheels’ – it will ply from Kazikund to Baramulla,” divulged the secretary. “They are quite serious about it and hopefully it will be operational by the next July,” he added. Expressing certainty that these developments would materialize in the coming three to four years, he hoped that as railways, too, penetrated deeper into the valley, “it will certainly give a boost, not only, to tourism but also to trade and local industries,” he concluded.
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state : assam
Indian Soccer League is creating ample interest in Guwahati thanks to football's popularity in the Northeast
Guwahati taking giant strides in sports tourism; MICE growing, asserts Vikas Ray
As Guwahati gears up to host a flurry of sporting events including FIFA under-17 World Cup and the South Asian Games; It emergence as a major hub of sports tourism is on the horizon. With Radisson Blu in the fray, it is also re-engaging with corporate clientèle –who preferred Ranchi and Kolkata owing to limited convention capability. By shashank shekhar
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uwahati can be dubbed as the gateway to the Northeast and rightly so. It, compared to the neighbouring region, has the most developed infrastructure and a busy airport – which serves as nodal point of connectivity to the rest of the states. It is in proximity to several prominent tourist destinations and has seen a flurry of activities in the recent months. However, it is now beginning to create a unique niche by positioning itself as a sports tourism destination, said Vikas Ray, General Manager, Radisson Blu Guwahati. He credits the increase in investment and business activities in the city to a number of new initiatives in the realm of sports. “With the launch of Indian Soccer League (ISL), and now Guwahati has its own team, we have been getting brisk business. This event, alone, which stretches for ninety days gives hotels, in the city, over 4,000 room nights,” he shared. “We got a lion’s share of that inbound with over 3,000 room nights – which is a great prospect for us and the city,” he added. Soccer, being a loved sport in this part of the region, is becoming a major component of city’s tourism profile. Another important event, South Asian Games, is slated for the next year which is sure to have a positive impact on city’s visibility and footfalls. “ISL is just the beginning; the city will host South Asian Games next year – which will get us good traffic from the neighboring countries. Also, FIFA is planning an under-17 World Cup in the city in the first quarter of 2017. It could well be a game-changer, given that FIFA events are global in stature and the exposure it will lend to the city is unparallel,” said Vikas. All these activities are already beginning to improve tourism numbers, he tells us. He shares that since his hotel has come up, it has helped pull back a lot of conference and MICE activities that had moved to Ranchi and Kolkata in dearth of a decent convention capability in the city.
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Guwahati has become the nerve center of corporate and MICE activities for the entire Northeast region, thanks to vibrant airconnectivity and, now, availability of substantial convention capability The city is set to cash in on the craze of football in the Northeast with the recent launch of ISL. With FIFA under-17 World Cup slated to be held in 2017, sports tourism is getting a major fillip in the region Due to inadequate marketing of local gems like the Deebor Bil wetlands and Kamakhya temple – city’s potential in leisure tourism remains untapped Cruise tourism in Brahmaputra remains under-utilized. Unavailability of international standard accommodation reason for its failure in growing as a major tourist attraction “Almost 80 percent of corporate and MICE clientele that chose other destinations over Guwahati are back here. Dignitaries of IG and DIG conference stayed with us – which was an annual affair in Delhi, and came to our city for the first time. The event was presided by the Home Minister,” said the GM. “We also hosted a large-scale exhibition by NHAI which was a one of a kind event for the city,” he added. It is also due to its upper-class luxury offerings that the hotel has been able to clock an average of over fifty percent of room occupancy in the past one year of its operation. Crediting a substantial inventory of 196 rooms, two restaurants and ample conference space for its success, he informs that the hindrance of not being able to host large-scale events and its ripple effect in splitting
vikas ray GM, radisson blu guwahati
With the launch of Indian Soccer League (ISL), and now Guwahati has its own team, we have been getting brisk business. This event, alone, which stretches for ninety days gives hotels, in the city, over 4,000 room nights.
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of venues has been addressed now. It is one of the reasons that almost 85 percent of their clientele came from corporate and MICE background, he shares. “Our clientele is heavier on the corporate side with almost 45 percent individual corporate travellers. Leisure segment forms 15-20 of the total incoming clientele, he said.” Sounding extremely optimistic about business and footfalls in the coming months, he says that the government’s focus on the Northeast has brought it in the center of national discourse that augurs well for the city and the region as a whole. “There has been a lot of buzz in the region, thanks to government’s proactive focus on augmenting infrastructure and business. With state elections slated in the coming year, the speed of development will only intensify from here on,” he shared with us. “This new found enthusiasm, coupled with the focus on making it a premier sports tourism destination, will help Guwahati expand its reach into newer audiences and that will translate into more footfalls,” he concluded.
Guwahati yet to become a leisure destination; lack of marketing of top draws major constraint Given its proximity to Deebor Bil Wetlands and mighty Brahmaputra flowing through it, Guwahati with right marketing could become a top leisure draw too.
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iting the lack of adequate visibility and a concerted marketing push in positioning key tourism assets of the city as chief reasons for its failure in growth as a leisure destination, Vikas said that it has led to clientele heading to nearby places like Shillong – leading to serious loss in room occupancy for hotels in the city. “Leisure clientele prefer to head to Shillong that has well-known attractions. Kaziranga National park is another top draw, but guests prefer to stay there instead of driving back to the city – which is a three and a half hour drive,” shared Vikas. “The city has become a gateway to the Northeast, but sadly has not developed as a leisure destination in itself,” he added. Guwahati has a plethora of products, varied in experiences, that can lend so much more lustre
to its leisure profile, we were told. “Kamakhya temple is a major center of spirituality and attracts good footfalls. But there is ample scope to increase its visibility,” he added. Another important aspect is the cruise service in Brahmaputra River, but it needs serious up-gradation of facilities and international standard accommodation to become a contender for tourism, he opines. “Many foreign and national tourists would love to experience the majesty of Brahmaputra from the comfort of a high-quality cruise, but with limited accommodation and lack of international standard facilities, it is yet to kick-off in the real sense,” said Vikas. Informing that hidden treasures like Deebor Bil that hosts over 200 varieties of birds and is a Ramsar convention site remained unsold to the wider world, he said that “it is only the avid nature enthusiast who knows that a place like this exists. If more people come to know about this exquisite wetland, it will bring many more people to us. And, given its proximity to the city, it will also increase the number of night-stays helping bolster business activities.”
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heritage
India is unique, build upon its uniqueness; revisit its symbols, says Aman Nath India has a unique continuity of time and space – which needs to be pushed as our USP, says Aman Nath. He also asks for a change in attitude by not looking down at commercial activities around heritage as taboo.
By shashank shekhar
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alling for a complete change in mindset while engaging with heritage monuments, Aman Nath calls for a relook at the way we view commercial activities around them. “Commercial activity around heritage structures need to be seen as efforts for conserving them and not as some taboo that needs to be resisted,” he said. He argued that it also allowed the local community to re-bond with their heritage and generated employment for them – which provided a long-term assurance of commercial viability of any project. Stressing that adequate reuse was also essential for long-term preservation of monuments, he mentioned that “Creating an economic asset out of a building was not frowned upon anywhere else in the world.” He stressed on imbibing ‘Indianness’ in hospitality and service. Citing the example of Neemrana Hotels, he shared, “Our staff is mostly from the local community in Rajasthan and they have a certain dignity in the way they serve. They are courteous yet have a certain air about them,” he said. Cannot we sell that ‘Indian’ way of serving? Why can’t it be used to create a USP?” he further added. Lamenting the urge to seek a certificate from the western world, he points towards the abject failure of Indian bodies in reaching out to the wider global community. “It is sad that ‘international’ recognition has become a must to get a so called ‘status’. Absence of Indian bodies in pushing forward our own heritage to the wider global community is a grave omission and must be addressed,” he pointed out. He pointed towards a vacuum in projecting Indian heritage and mentioned that credibility crunch or plain negligence may have caused this vacuum. “India is the only country in the world which has a unique engagement with history. Besides being the only continuous civilization in the world; our association with history is also based on a broader spectrum of being a part of an ongoing evolvement,” he explained. “It is nowhere else in the world. Western world has a linear sense of chronology,” said Aman Nath. Heritage conservation has the power to reverse the purpose of its being. Citing the example of Neemrana hotels, he said that “Forts which were built to keep
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Commercial undertakings are important means to ensure long-term sustenance of heritage monuments, opines hotelier Aman Nath. He believes that it was about time to stop considering commercial activities in these structures a taboo Lack of projecting authentic national symbols has hindered India’s outreach in the global markets. Our USP remains a unique symphony of past and present interwoven as a seamless experience. It is important to accentuate these aspects to bolster India’s credentials Ensuring survival of local craftsmen key to continuing heritage preservation, believes conservationist Ratish Nanda. He firmly believes that as long as their engagement remained financially viable, heritage conservation would continue to flourish people away now welcome guests with open arms. We must understand the power of transformation that heritage holds.” Touching upon the uniqueness of continuity of space and time in the Indian milieu, he contended that “ancient, modern and medieval co-exists here in India. You may find an elephant strolling around a swanky building or Naga Sadhus displaying their hundreds of years of tradition using the most modern means.” Adding that such a situation would cause disarray elsewhere is perfectly accepted way of life here in India, he quipped “Imagine an elephant strolling next to the Eiffel tower or naked Sadhus loitering around the Statue of Liberty. It will bring the traffic to a standstill. But, we do not even bother to give it a second look.” Adding that it may well be the biggest USP India could put forth, he suggested marketing it in the right earnest. “Why do we need to do what others are doing? We can market this continuity”, he said. Raising a pertinent question about
India’s authentic symbols of welcome, he reasoned that the world had many such masterpieces that signified their own values and ideals. India had sadly focused on manufactured history –which had little resonance with our long history. “Cities and towns across the world have symbols of welcome. New York has Statue of Liberty – which signifies liberty. France has Eiffel Tower. What are our symbols of welcome and what do they signify?” he rightly asked. “India Gate signifies British Empire’s dominance and is remotely a part of our authentic heritage,” added Aman Nath. He concluded by asking for reexamining our engagement with symbols and taking pride in what was uniquely Indian. “The world does not come here to see what they already have. It is high-time we take pride in our own culture, history and heritage. Only then we will be able to truly project our uniqueness,” he said.
Create more activities around sites; save craftsmen for conservation efforts to remain alive: Ratish Nanda
Speaking at the LILA PRISM lecture series, Ratish Nanda calls the takeover of heritage maintenance by archaeologists from conservationist groups the biggest travesty for projecting Indian history to the wider global audiences. He bats for looking at heritage as a means to sustain, not only the preservation of the structure itself, but also the development of city by making them more engaging for tourists and putting the money back where it came from.
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ourism and heritage are not mutually exclusive, said Ratish Nanda, Projects Director of Aga Khan Trust for Culture. “The point is that we need somebody’s money to push the envelope forward and somebody needs to pay for that. Whoever is giving that money wants something out of it,” contended the illustrious conservationist architect, when asked about how heritage structures could be made self-sufficient for its maintenance and regular upkeep. “Sometimes, it is recognition; sometimes it is the feel good factor; sometimes it is contributing back to society. So, I think we should create an atmosphere where funding for conservation projects by private sector is encouraged and incentives are given for that,” he added. Touching upon the issue of sustainability in heritage efforts and that of site maintenance, he points towards global practice and calls for a policy for every region that kept heritage preservation in the fore-front of engagement. “Every site or region should have policies in place to make heritage preservation sustainable. It is done all over the world – it is the simplest thing to do. It cannot be done if you do not make it happen,” he passionately said. Pointing towards a unique anomaly in the Indian context, he said that top Indian heritage structure were not priced enough for visitors – and calls the lack of ‘add-ons’ a major reason for this lacunae. “The problem in India is that you go to the Taj Mahal and you get only the Taj Mahal. You do not get a café and a souvenir shop; ticket for a day’s shoot of filming is fifty thousand rupees – it should be five lakhs a day. Morning passes for monuments are doled out at seventy-five rupees a day; it should be five thousand rupees a day,” reasoned Ratish. He illustrated Humayun’s Tomb success in bringing in footfalls since its makeover. “We have done proper commercial studies – and after the conservation efforts over two million visitors have come to visit it; the revenue generated just
Ratish Nanda Projects Director, Aga Khan Trust for Culture
Very site or region should have policies in place to make heritage preservation sustainable. It is done all over the world – it is the simplest thing to do. It cannot be done if you do not make it happen.
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from ticket sales is ten crore rupees,” he told us. “So, in every sense it is sustainable, but that money generated is not ploughed back – it goes where your and my taxes go,” he explained. However, he also had a word of caution. He said that ticket sales and add-ons can help only in day-to-day maintenance and that “you cannot go ahead with acquisitions and other important activities,” said Ratish. Explaining that conservation of heritage needed a vision and then able people to fulfill that vision, he asked that “Should the Taj Mahal not be paying for Agra’s development? So the vision is not only to maintain the Taj Mahal, but to make our society respect heritage,” he added showing a way forward. “The society at large will only respect heritage when people gain economically; if they improve their quality of life,” Ratish noted. He also bemoaned the lost art of conservation, saying that “India has been doing conservation for over three thousand years and we have conveniently forgotten it in the last hundred years.” Pointing towards armchair conversationists – who had little thinking, decide the conservation strategy for this country taking over the reins of heritage in India– he called for going back to our roots. “Most importantly, we must keep our craft skills alive. With our craftsmen slowly vanishing, how can we conserve our heritage in the 21st century,” he concluded.”
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Miscellany
Need a ‘bottom-up' approach to mainstream new destinations: says NatGeo achiever NatGeo’s Mission Explorer achiever, Arjun is integrating local communities, pitching their local assets improving footfalls.
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ommunities and panchayats can set up localized towers and boost local connectivity. It’s a cheap technology and extremely feasible,” explained Arjun – who has been instrumental in setting up a local network of information sharing called the Cow MESH. He shared that he had started working on it in 2013 and deployed his first working network in the beginning of this year only. “We were living in a remote village, in a forest sanctuary, in there is tourist spot right behind the hill – which is known as Devarayanadurga; it is a temple town in Tumkur district. It gets almost 10,000 tourists every weekend – and the group we were working with was keen that we use these footfalls to get more data about the place, about its offerings, essentially about its varied flora and fauna,” detailed Arjun. Sharing that the place had little infrastructure and not much awareness about it, he contended that “one way to publicize it is to involve people in the process. So, if people come there, they already have a vibrant network that helps them understand its unique offering; and instead of being just using the information, they can be an active participant in making it a vibrant network of knowledge of the local ecosystem – which will further its outreach to a wider audience,” he put forth a logical argument. Explaining that the feasibility of ‘home-grown’ network lied in the fact that its incremental cost was extremely low, he said that “MESH
will run well when people begin to realize that it will connect them to a bigger marketplace. For instance, when a taxi driver realizes that by the virtue of being on this network, he can connect with tourists planning to go back to Bengaluru before anyone else,” he substantiated. “So it is a viable business case. Then people will start putting in the effort to maintain these networks. And the cost is less than what you pay for maintaining your router at home,” he added. Sounding a word of caution on the modus operandi of how we choose to develop a destination and its consequential outreach to a wider audience, he pointed out that “We are focusing on customers and not on service providers. Our knowledge of a destination is limited because the content is coming from people who cover them. The place and local communities nearby do not have much say in it.” “The content is coming from ‘top-down’ and not ‘bottom-up’,” added the techie. Noting that there were thousands of places in the country –which may become new destinations, but unavailability of network and connectivity have kept them in oblivion, he mooted that “Those are the places where you would want the future of tourism to grow. The future of travel and tourism is going to be escape from city life and into wilderness.” He concluded by batting for technology and connectivity to address these lacunae. “Infusion of technology can help provide luxurious living without messing up the environment,” he noted.
Arjun Venkatraman open solutions architect
We were living in a remote village, in a forest sanctuary, in there is tourist spot right behind the hill – which is known as Devarayanadurga; it is a temple town in Tumkur district. It gets almost 10,000 tourists every weekend – and the group we were working with was keen that we use these footfalls to get more data about the place, about its offerings, essentially about its varied flora and fauna.
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Rumourss sky villa lends unique architectural element to Lonavala’s hospitality offering
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odeled on the lines of Japanese tree house chalet, this new addition to Lonavala’s tourism profile is being dubbed as an architectural feat. Boasting of villas that are erected on a single iron mast at a height of about 30 to 40 feet is one of a kind and the resort, courtesy its eye-catching design, is likely to become a destination in itself. Sharing that it was unique architectural elements and exclusivity that lend to its USP, Devang Badiyani, Managing Director added that “We house only eight villas in the entire resort. Four of them are sky villas and four ground villas. This will enable us to provide quality service to each of our guests.” The resort, itself, has been constructed with eco friendly material to retain the mood of the destination. “During the monsoons, guests can enjoy the view of Tata lake right from their Sky villas or visit a private waterfall,” he further explained. Divulging that a conference hall is being added to the inventory, he told us that “It will help us host small gathering and corporate meetings. With a capacity to accommodate 70 guests, we are again aiming at exclusivity and top-notch service.” Being one of the popular weekend destinations for both Mumbai as well as Pune residents, it is getting its maximum clientele from these cities seeking a break from the hustle and bustle of the city life. “Almost 80 percent of our clientele have been from these two cities. However, it is heartening to note that we are already gaining traction among foreign guests,” he shared in an exclusive conversation. Adding that the concept itself was unique and he had not seen any such property at least in Maharashtra, over the next two years, he plans to come up with more projects featuring signature style villas across India.
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hotelscapes Rooftop swimming pool at The Leela Palace New Delhi
Rational tax-regime, developing new circuits will attract investment: Vivek Nair
In a report titled ‘Discovering and unleashing India’s tourism potential’ Vivek Nair, CMD, The Leela Palaces, Hotels and Resorts has outlined some key insights on trends in global and Indian tourism. He bats for streamlining taxation and tweaking policies to attract FDI into hospitality and tourism sector, besides seeking a revamp in infrastructure to adequately tap an ever-growing domestic market. An excerpt of the report: By navin berry
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t has been a difficult year for tourism, especially in the wake of spate of terror attacks in Kenya and Paris – which has been further compounded by Ukraine-Russia crisis, mentions the report. However, Africa despite being marred by contagious diseases and political instability has registered an overall growth in numbers, it further mentions. Adding that Europe’s overall growth was weakest, it highlights that India, along with South Asia and Middle East, were the fastest growing regions globally in terms of travel and tourism’s total contribution to GDP. Meanwhile, taking a note of a number of smaller countries that have been termed as ‘hotspots’ for growth in the past year, it read that “Armenia, Oman and Sri Lanka have grown stronger in percentage terms than fast growing markets like India and China.” Calling tourism the biggest generator of employment in the nation, it quotes statistics from the Ministry of tourism saying that travel and tourism accounted for 5.9 percent of the GDP and 9.2 percent of employment – which made it the largest employer in the nation. It also highlights that travel and tourism created more jobs per capita investment than any other sector. In order to attract investment, it calls for creating adequate facilities for domestic tourism keeping in mind the increase in the number of domestic tourist visitations from 900 million at present to 1600 million in 2020. It stresses on the need to augment air passage capacity, airport infrastructure, road connectivity and last mile connectivity to achieve the desired target. Mentioning that a number of policy initiatives had been undertaken by the ministry of finance to achieve the needed investment, it highlights hotels being included in the infrastructure lending list of RBI – which would make them eligible to avail the benefits of infra-lending as applicable in other sectors like airports and ports. “The tenure of such loans could be for 15 years if the total project cost is up to `5 billion and for projects over `5 billion, it could go up to 25 years based on the new 5:25 scheme announced recently by the finance minister in the fiscal budget 2015-16,” it reads. It refers to the recent
announcement made by the apex bank where in Indian companies were entitled to offer offset India-Rupee dominated bonds. Noting that the hedging for this was to be procured by the investor/ lender, it says “It is expected that the bonds could be available at about 5 percent in Indian Rupees under the aforesaid scheme.” Giving a special reference to FDI, the report says that FDI has been allowed under the automatic route in hotels and tourism related projects, apart from mooting massive investments worth over 5,800 million USD in strengthening national highways, state roads and lastmile connectivity roads to tourism sites; it further reads that the government planed constructing 200 low-cost airports in the next 20 years to connect tier-2 and tier-3 cities. Pitching for a cumulative tax of 8 percent on hotels and restaurants as against 29.5 percent, it hopes that to be implemented GST (the goods and services act) would consider this important course correction to keep India in the run against its neighbors – Singapore charged a measly seven percent, while Hong Kong did not levy any tax! Seeking a unified, rationalized and competitive tax regime for travel and
Vivek Nair Chairman & Managing director, The Leela Palaces, Hotels & Resorts
FDI investment in the major 35 destinations would be welcome as they are totally uncharted territory and a huge demand exists for setting up functional 3 star hotels. It can continue to provide substantial employment to majority of the youth looking for employment every year.
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tourism industry, it moots making the road tax for tourist vehicles a one-time affair and uniform across the nation. Rationalization of tax structure on airfares and airline turbine fuel charges and reduction of multiplicity of taxes on aviation sector also remained high on the list of suggested reforms to boost tourism in the country. Linking development of circuits and destinations to enhancement in investments, the report calls for identifying 35 major circuits and destinations having the potential to attract large number of travellers seeking their development. “FDI investment in the major 35 destinations would be welcome as they are totally uncharted territory and a huge demand exists for setting up functional 3 star hotels,” it read. It, also, roots for identifying clusters of villages having unique craft, ethnic art form for development of tourism products. To conclude, the report emphasizes that tourism is not an elitist activity but generates highest employment in the nation. It calls for according the due priority it deserved. “Thus it can continue to provide substantial employment to majority of the youth looking for employment every year,” noted the report.
1.8 lakh more rooms needed to meet 2020 target of FTA; E-Visa roll-out, multiple projects are a welcome start
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oting that the ministry of tourism had proposed to increase India’s FTA share to one percent of international arrivals by 2020 from the current 0.60 percent, it moots adding 1,80,000 guestrooms to already available 1,20,000 strong inventory of classified hotels. “A capital expenditure of USD 19.39 billion is required to be added if the target of 14 million is to be met by 2020. The total inventory would then have to rise about 3,00,000 guestrooms to cater to the demand from the additional FTAs and domestic tourists,” it highlights. Drawing a parallel between Indian and globally renowned international heritage sites, it said that while 1.9 million tourists
visited the famous Ankor Wat temple in Combodia, only 1,00,000 foreign guests set foot in Hampi – also known for a beautiful temple complex and rich history. Lauding government’s key programs like ‘clean India’ and points to a reinvigorated emphasis on talent development and
performance enhancement, the report appreciates the rollout of E-Visa in augmenting foot-falls. “E-Visa facilitation for 113 countries in 2015 has been rolled out; while 680 million US dollars for over 1200 tourism projects have been initiated,” it reads. Referring to a study done by WTTC and
UNTWO in 2102, it forecasts that India will gain significantly from improvements of its visa regime. “The research estimates that improved visa facilitation could result in up to six million more international visitors for India, resulting in USD 8 million more spend and creating 1.8 million jobs over three years,” mentioned the report. The report, also, raises serious concern over tourism facing the brunt of incessant negative coverage by international media on periodic incidents of crime against women foreign tourists. It suggests implementing a two pronged strategy to counter security threats and negative publicity by ministry of tourism in conjunction with other important ministries.
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hotelscapes
Accor opens its 3 brands at Aerocity; Casse is upbeat on hospitality accruals in 2016
Accor Hotels opened Pullman and Novotel recently, and now has over 1000 rooms to offer at New Delhi’s Aerocity. TourismFirst catches up with Accor’s India CEO, Jean-Michel Casse to get a sense of what it would mean to market his three brands, and equally what it will take Aerocity to become a successful destination. By navin berry
You just referred to the market in Delhi, now that a good 7-8 hotels are open in Aerocity and Accor, with three of your formidable brands, ibis, Novotel and Pullman, is the largest stakeholder of Aerocity, what kind of cooperative spirit do you foresee as critical for the future development including marketing of this destination? First I believe we have a role to play because as you rightly said, we have now three brands here. We have the GM of this hotel saying that this property is an Airbus 380; I have my economy section that goes to the ibis and then the premium business to Novotel and then first class that is Pullman. We have a huge inventory but in three different class and the common point is that this adds into a significant capacity for MICE between the three. This enables you for conferences and weddings and events. What about a common forum for Aerocity? Do you think for this development to succeed, some sort of joint action may be desirable? Yes, as the Aerocity is settling down, with all the existing operators and the hotels and those due to open, we really need to sit down and discuss together in terms of promoting the destination. Mainly, because it is a huge MICE destination that needs to be promoted. We may have to at a certain point put in some common resources to be able to sell this destination so that we do not put into jeopardy the business that goes into Gurgaon or Delhi but that we are able to generate our own business. Because when you look at any destination in Asia, if you look at the business and the traffic jam that you have in Malaysia or in Indonesia, it is becoming a nightmare for everybody. In Mumbai it is the same. Here
On Business sentiments ow has the year going by been for Accor in H India? This year we have been able to grow our revenue, we are in line with our budget. Our only regret is that we still continue growing by volume not growing by quality. By quality I mean average rate. We have been improving our average rate but not as significantly as we would have expected. When you realize the stability of India in 2015, when you realize that there are no more elections, we all said and thought this year would be a year of growth. The demand now has overpassed the supply and this is a good sign for us. The major supply that has come, it has been in the past 5 years. It is frustrating to see that we are not able to grow the average room rate. Do you see any change in the coming year? This year was probably a transition period but now the trend is continuing because the demand keeps up. We believe next year our growth will come from improving the ARR. There is fresh demand in the air, we believe. Is there a possibility, from last year to now, as you said business has improved in volumes but there was a lot of unsold inventory so therefore the rate has not gone up? Yes, you are right. But now this inventory is getting absorbed. If the average occupancy of India is now 60%, anything above 60% should enable you to improve ARR because again every city is different. Mumbai is very
different. The supply in Mumbai in the last two years has all been in upscale and luxury so why are the prices dropping. But Mumbai is still very dynamic. Delhi is also good. The demand is there. We should be able to raise the ARR in the coming year. Beyond Delhi, if you look at an all India picture which cities are showing more promise to you as Accor? Well Mumbai, because only in Maharashtra we have 8 hotels and we have another 2-3 in development. So definitely we believe that Mumbai and Maharashtra are going to be very dynamic. Pune, where we have two hotels, the Novotel and the ibis, has been struggling for the past 5 years but this year in Pune we have witnessed growth. And now all hotels are doing well in Pune. And other than Delhi, the other big city is Bangalore, which is stabilizing because too much supply came in suddenly but now the demand is being absorbed and the city is growing again. It is a key market that perhaps got affected for a year or so but in the long run it is a healthy market. Another one, a market which is not doing good is Chennai. But really we continue investing in Chennai and we believe that in the long run it will also be an important market. What is your presence expected to be in Chennai? In the coming two years, we will have 8 hotels in Chennai.
in terms of MICE and in terms of meetings, you arrive at an airport and you are 5mins from the hotel. You can attend a day meeting or a day conference and fly out that same night. This is giving us, with all these MICE facilities so close to the airport, possibilities that no other capital city in Asia has. It is obvious that we have to speak with other hotels as well because, though we have three brands of our own, we are often having massive group requests for which even I with three hotels, don’t have enough rooms. So we need to speak with the JW Marriott and the Holiday Inn, as well as the Lemon Tree and the Red Fox to put in these resources together. We need to put together the combined room inventory regardless of whoever benefits as the main venue, which should be fine. Because no one is willing to give 100% of their rooms for any MICE activity because you have your own crews and corporate accounts that you need to maintain. So really the objective is to speak with our neighbours to promote one single destination called Aerocity. How do you see the business coming in for Pullman or Novotel? Apart from MICE, or apart from layover traffic from the airport, are there any other specific segments that you will be looking at? Yes, we have other segments. If we think about the crew as an airport hotel, though the crew is not necessarily a priority in any other hotel, in this hotel it is becoming a necessity because it gives you the base business. The crew is going to be a big base component for all the hotels here. Then there are corporate accounts. We realize that in the corporate accounts we are midway between Delhi and Gurgaon, you have a very convenient location. Please also remember that many big company accounts are moving into Aerocity for office space. So there is WorldMark – they are already offering amazing spaces for offices. So we are becoming more and more attractive for these accounts. We at the Pullman have an entire office block . These companies cannot find enough spaces in Delhi or even in Gurgaon. How is the competitiveness in terms of rate for the office space you are creating? These are almost the same. Even as Accor we were contemplating moving here. We believe that for the time being it is a little bit too expensive so we will stay in Gurgaon for a year and will evaluate again. But today what you can find here in Aerocity, I would say you would be paying between `170-200 per sqft. But big companies are coming here, including some big worldwide NGOs. All our offices are being taken over by Kotak Bank. And then a bank like that is receiving all their partners and people coming in for training so it is really generating business. Another segment that we should not ignore is leisure. By being at the airport you realize that for international leisure, most of the international flights arrive between midnight and 2-3am. And they are taking off 2-3hours later. At this time in the night, you cannot take a bus to Agra or Jaipur so there is always 1 or 2 hours before or after taking your flight. There is real business in this segment and it is better than staying in Delhi. So leisure will become increasingly important. How much has the Aerocity development cost you? That we are not at liberty to share. We are one of three owners, it is a fund called Triguna in which 1/3rd is InterGlobe, 1/3rd is ourselves and 1/3rd is a fund venture from Singapore. We have the Pullman and Novotel in Delhi, we have the combo Novotel and ibis in Bangalore, we have a Novotel in Chennai and we have another combo of Novotel and ibis to open in Chennai in the coming year. So there are 7 assets within this joint venture.
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hotelscapes
On Accor’s brands Expansion Where is the next Pullman going to be? In terms of our brands, Pullman and Sofitel, whatever was the development pipeline we have been able to materialize it. There is nothing concretely under construction today. So really now when we see the Sofitel Mumbai, next year will be 4 years, this is what it takes to come good in the market, specially for a new brand. So it has taken 4 years to have Sofitel recognized not only for its quality but also to be recognized as a good performer. Sofitel we have managed to have a good brand positioning its performance is now good. How do you see your future brand expansion? I think as far as the Pullman and the Sofitel brands are concerned, if we were to look further elsewhere in India, we would like to see these brands settling in India. If you look at Sofitel, we don’t aim to have 20 Sofitels in India. We have one in Mumbai and possibly one in the future in Delhi and one probably in Rajasthan and one probably in Goa. Then we will be happy with that. Today, we will need another Pullman in Mumbai, and at best another major metro as well. We are not looking at volume presence with these brands, volume is coming from elsewhere from other brands. Would you say for volumes, it would be the leisure market? We are opening another ibis in Goa next year, this is a leisure type property which is different. Actually our biggest leisure hotel, you will be surprised when I say it, is ibis Delhi Airport, there are amazing volumes of leisure transit traffic in the city. Has that been a very pleasant surprise? Yes, we don’t know what the reason is for this. We believe it was the right product, the right location and the right price position. We are looking at the forecast today for the next three months and it is looking good.
How is the India scene happening ? You talked about a 60% national figure and increased ARR in 2016; any pressure on hospitality, particularly from the point of view of inbound tourism into India? Not only for the group, but inbound tourism is important in the sense that in all our brands across India, about 70% of our business is Indians. So …….. Contribution for importing leisure, importing global accounts from the rest of the group but the hotels in India are meant for Indians. So when we look at the potential of India for the future, even leisure or corporate is the same. And when we refer to our budget brand, that is Formula One you really realize that this is becoming with online distribution very important because the person emerging and having access to these kind of hotels at a Formula One price point and quality and design and reception, with changing lights in the shower, complimentary breakfast etc. We have made a product which we want it to be fancy and different Have you been somewhat slower in finding an acceptance for Formula One? I don’t know if we can say we have been slower, it is just a new product. We have one in Noida, Ahmedabad, Hyderabad and two in Pune. We have another one opening within this year and four to open next year. So I think we are getting there, steadily enough. There is also one in Whitefield. At what price points does this brand operate? And how does this carve out against the ibis and other brands? We would like to position Formula One closer to `2,000 but we are presently below that. One or two hotels are getting close. And ibis today will be in the range of `3,500-4,000. While some ibis, such as the one at Mumbai airport, is treading much above that. When you see the Rev Par of this hotel in Mumbai today, it can compete with any luxury
five star property today. It is just because of the location and the small inventory. But when I was saying that we wish to improve the ARR for next year, it is really about a few ibis where we must bring the rates up. With regard to Novotel, these should not be below `4,500, but then it also depends on the location and city. Juhu Novotel is working good. The owners are now investing a lot so we are updating and upgrading because it is a good location, recognized product and is doing very well. The Gadda Da Vida (the open air Seg Lounge at Novotel Juhu) is amazing. At night with the lights and the ambience, it remains unparalleled to any other place in Mumbai. Talking of convention centres, as you have a formidable presence with centres in Hyderabad, Lavassa and Vizag, how is the new convention centre coming up in Jaipur? You took over that a few months ago? We have our team there but we have not as yet taken over fully the centre. We want to operate the convention centre along with the exhibition centre within the premises of the hotel which is still under construction. It is a Novotel and the entire management contract is ours. However we have not started as yet because the hotel is not going to be ready before July. So we are saying that we are going to support the owner to import the resources while we prepare to manage. The hotel is going to be 240 rooms with new generation of rooms. It is a good venue for social functions as well. Would you think Jaipur is a better market for wedding business than Lavassa or Hyderabad? Yes, no doubt. But on the macro scene, what we are missing so far at Lavassa is still to have more hotels there to allow people to be able to spend the night there. Vizag is an amazing convention centre as well. We are opening a small 30 room resort there as well. This is a Novotel Resort.
On inbound tourism and Accor
On Marriott’s buy of Starwood How is competition in the Indian market? What are your comments on the Marriott buying out Starwood which will give them the largest room inventory in the country? Competition is going to change a lot. As you have heard recently, so have we, that the two Marriott and Starwood become one……I have been trying to figure out from different people what it can represent to the market. It cannot be bad to have a strong presence of one strong operator in India. And we will continue to compete as usual, it will be business as usual for us. How many rooms do you have now in India? We have 6000 which is not small. It is a considerable inventory. By next year end we will be nearly 8000 rooms. Right now we are 34 hotels, next year we have about another 14 hotels to open, so we should be close to 50. We are not too far off from Marriott. But then you also have to take into account that they have been around for a very long time. Once you realize that next year we are going to celebrate the 10th anniversary of Novotel in India, we are young yet in the country. So when you talk about competition, you are saying it is still early days to have the understanding. Yes, for the big association that has been announced it is a bit early to know. Other than that provided the market continues growing as it does then there is a fair share for everyone. In the years that you have been here, how do you find the level of professionalism in the industry? Do you find that somewhere we are picking up? I know Asia globally has high hotel standards. To do this you need to have the right service. The more I travel to Bangkok, it is amazing service. Yet, to my mind, we have a still higher level in India. There they smile and say yes to everything but the delivery does not always follow. Here you have young Indians, you train them and motivate them, they are giving you amazing attention. There is delivery and they do good work. What kind of training modules does Accor have in India? In India we have a virtual academy, whereby we have certified trainers that are based in the hotel and are being trained on different set of modules. We are running 40-50 different modules on different levels including the GM. We have one training manager per hotel, paid by the hotel and this manager is trained centrally. It is working very well.
I
n terms of India’s inbound tourism, is there something we can expect more from Accor. Is there any way you are promoting your properties in the overseas market and getting foreign tourists? We do but we are limited again. For example at the last World Travel Market in London we were there with an important delegation of ours, we do that. But to be more active in this segment we need more hotels in leisure. And today it is a fact, if you look at where the leisure is going, the leisure is going to Rajasthan where we don’t have a property. We have a hotel in Goa but it is not enough. We have a strong base here in Delhi we have a Novotel in development and I don’t think Ibis for the international market will really be the brand. We have a Novotel in development in Agra and Jaipur as well. Both projects have been delayed but it is sad because I really believe that we would have an edge over
the market and being able to support better one paying you the best but it is a segment in the inbound business had these two properties which we must have a presence as well. But to been in operation. do this you have to have the right property. When are these expected to open? You now have a formidable presence in Goa, There are in sleep mode…. One has started. with two leading properties in the North? It is not our investment right. So whenever What has been your experience? you go into a management We do support leisure in agreement there is a still a Goa but then when you We have a Novotel in development in Agra certain degree of things you speak about Goa, Goa in and Jaipur as well. Both cannot control. So we are Europe is just known very projects have been even thinking about existing slightly in some markets. delayed but it is sad hotels where we can have a Again, Goa may not be the because I really believe commercial association. best destination because that we would have an So can we say that once you of the distance and many edge over the market have the products you will be and being able to support other things including direct better the inbound there? connectivity. So in Goa you be business had these Yes. I would not say that successful with Danish and two properties been in globally for Accor, leisure is British people, to some extent, operation. a priority because we know but the recent successes had leisure is cyclical and is not the been more from Russia. So
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when you promote only from Russia, you don’t need to go there – it is the price and charters that is going to give you that volume. But do you want these customers, not many, I would think, because of the price. If you look at the occupancy in Goa, I believe it is the only city in the country that got so affected with the drop in Russian business in the earlier part of this year. That business that you dropped in Goa on account of the Russians, we have been able to gain with having a better domestic occupancy, and you managed to replace that occupancy to a great extent by better paying customers. Who were these customers? They were Indians. Because the beauty of the Indians travelling to Goa is that they travel all year round. You go not only for the beach but even for the rains and the food. We have seen that Goa is becoming more attractive domestically.
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hotelscapes
Mandarin Oriental Group is focussed on quality at the top end, says Richard Baker One of the world’s iconic luxury brands in hospitality around the world, Mandarin Oriental, has for long kept out of India. In this exclusive interview, we recap the strengths of MO and also the possibility of their India entry. Excerpts of interview with Richard Baker, Executive VP - Operations, Director - Asia.
H
ow is luxury happening? Many of the world economies continue not to do well. How is this impacting luxury travel? Luxury Travel is about personalization. The expectations are that when a customer pays a (typically higher) price for their experience, they expect value. Value is created by the provider of the services in the form of understanding the traveller's needs wants and preferences. ‘It’s expensive, but it’s worth it to me” is important in today’s world of luxury travel, which continues to grow. Is the trends same or different between business and leisure travel in your space? Leisure guests tend to spend more than business travellers. They stay longer and therefore have more time to experience the facilities, such as restaurants, bars and spas. How are you reconciling the more recent war on terror with the hospitality
business? What is the impact in cities in Europe in specific? As a global brand there are unfortunately dangers and threats in every part of the world in which we operate, including terrorism, natural disasters and pandemics. As well as having stringent safety protocols in place to assist our hotels and ensure our guests and colleagues are safe, we also benefit from our a varied portfolio and geographic diversification. How is the understanding of luxury changing within the hospitality space. Is there something like tradition in this space? And, conversely, is there any new age/modern luxury space? Or, fundamentals remain unchanged? Our strategy, which is to be widely recognised as the best hotel group in the world remains unchanged. At Mandarin Oriental we believe that true luxury lies in creating legendary hotels through the perfect combination of tradition, quality
richard baker Executive Vice President, Operations Director – Asia, Mandarin Oriental
India is an important and growing market for the Group and in time we would love to have a property in this destination. While our development team continues to review opportunities around the world, we have nothing to announce at this time.
and innovation over a period time. To this end we are focused on providing exceptional facilities and legendary service. How do you see the difference between dabblers in luxury, those that are in all segments, against specific luxury citadels, like MO hotels for instance, can the two genuinely compete? There is room for all in a growing global tourism market, where Mandarin Oriental is positioned at the very top of the luxury sector. How will the forthcoming merger of Starwood and Marriott make any difference for you? It is an interesting time for the hospitality industry. Mandarin Oriental however has never aimed to be the biggest hotel group, but we do aim to be the best and to this end we remain focused on our own strategy. A standard question - how do you see India emerging, and when do we see an MO property here in India? India is an important and growing market for the Group and in time we would love to have a property in this destination. While our development team continues to review opportunities around the world, we have nothing to announce at this time.
,, Luxury camps create basic infrastructure, help sustain the pristine environment
Cox & Kings camping arm, The Ultimate Travelling Camp, has been catering to this niche market. The market for experiential travel is growing around the world and also in India.
C
amping has often been associated with modest living. It is after all an experience that involves moving out of the comfort zone and experiencing wilderness and nature in its true being. However, giving a twist to this concept by incorporating uber-luxury to authentic camping, the Ultimate Travelling Camp is not only creating a unique experience for its patrons, but also adding to Nagaland’s growing vibrancy as a destination. Spread across six acres of land, deep in the woods, it is essentially creating a new tourism product in the middle of wilderness, otherwise inaccessible owing to lack of infrastructure and awareness; but is also generating employment for locals – who are mostly bereft of opportune engagements. Functional only for a couple of weeks in a year to coincide with the famous Hornbill festival – which celebrates tribal traditions of the Naga state – it may be credited for bringing high-spending tourists to the state in the middle of festivities. Build to cater to high-end luxury seekers, this ‘glamping’ experience is being received well, especially,
by foreign tourists who are on their second visit to India and seek new experiences beyond the usual destinations on offer. It is no surprise, then, that a whopping 60 percent of their clientèle have been foreigners and come mostly from the USA and the UK. There are only eight tents, but they feature all the modern luxury that a traveler can expect to have. There are 38 staff members to cater to 16 guests; a private butler to attend to individual requests and ‘British-era’ furniture that creates a rustic vibe aptly adding to nature’s tranquillity. Solar-power lighting has further reduced their carbon-footprints. It remains no secret that the Northeast has been long seen as a potential tourism powerhouse. However, due to a number of reasons, some political and some socioeconomical, it has failed to achieve its true potential. Perhaps, it needs innovative undertakings like these that have circumvented hindrances and turned a destination’s shortcoming into its biggest pull. Tourists are flocking to seek experiences away from the hustle and bustle of city life; and what better than having every facility under the roof, surrounded by a dense jungle by all sides. The idea of ‘Glamping’ makes sense because a major portion of the Northeast has pristine jungles and creating permanent structures may well harm the eco-system in the long run. By creating experiences and preserving the environment, in the same breath, the idea merits a serious consideration.
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global exchange : france
France sees new areas of engagement and travel as its commitment to new government priorities, says ambassador France and India have been all-weather allies. The bilateral ties between the two are only going to deepen from here on, feels His Excellency Francois Richier. Speaking exclusively to TF, he shared his deep commitment towards PM Modi’s pet projects. He also believes that it was time for the wider Indian tourism fraternity to enhance its outreach into the French market, highlighting destinations that are yet to catch the attention of discerning French travelers. By shashank shekhar
W
hen asked about ways to improve French footfalls on the Indian shores, he admitted that India had a very limited number of foreign tourists. “The numbers are very low, somewhere around eight million. French tourists are mostly going to Delhi, Rajasthan – which is their favourite destination – and also in the south to Pondicherry (Puducherry) and now Kerala,” we were told. Showing a way forward, he opined that the key to more footfalls lied in marketing destinations that have not yet come onto the French tourist’s radar. “It will be great if the Indian tourism sector is advertizing other regions, because French know south and western Indian very well. They are a little shy, may be, to go to other regions. So, if they discover treasures in other regions, it will work very well for the tourism fraternity here,” he explained. Sharing his experience of Indian tourism products and destinations, he told us he was recently in Gujarat, in the Rann of Kutch. “There is a gentleman who runs a well-settled camp in the desert. So, you can go and experience the desert, animals and raising horses; it was very beautiful. It started a couple of years ago and the owner decided to target the French market, and now French constitute seventy percent of his clientele,” he divulged. “By managing prices very intelligently, he even has visitors in May and June – when the temperature literally They (French) come in small groups, but it clocks high fifties. So, if marketed well, it can work and shows how French are French tourists are very enthusiastic about it. All it took was ready to go to places a little marketing and outreach, it worked automatically,” where there is very noted the top diplomat. limited tourism, like in “Most of the French do not travel the whole of India Bihar. So, promoting unexplored destinations in groups. They generally travel in very small families or on a larger scale will yield small circle of friends. They prefer to have their individual very good results. journey,” he added. He had another experience to share. He told us that it was during one of his visit to the Asia’s largest cattle fair in Bihar, he got to know that many French tourists had been visiting it. “They have a book in which they register each and every foreign traveller’s data – and there are not many. I enquired from the authorities there about the number of French citizens and I was told that they were almost forty percent of the total foreign guests,” he shared. “They come in small groups, but it shows how French are ready to go to places where there is very limited tourism, like in Bihar. So, promoting unexplored destinations on a larger scale will yield very good results,” he substantiated.
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Belief in freedom and liberty best response to terror ; inflow from India still intact
e will have to see what the impact of it “W is by the next year. Frankly, I have not noted any drop in the visa applications as of
yet,” responded the Ambassador when asked whether the dastardly attacks on the French capital had an immediate impact on the Indian outbound. Saying that India was a country that had its brushes with terrorism, he noted that “They also come from a country that knows what terrorism is; it does not happen every day, but time to time. So, I am confident that the influx will remain intact.” However, he did agree that there were certain countries that could be more skeptical than others. “But, speaking for the Indian market, there is no such thing,” he asserted. Sharing that tourism remained an important asset for the French economy, he explained that “We received over eight-four million tourists last year – which is a lot more than our total population. So, we are used to having a lot guests. We know its importance for the economy and its contribution towards increasing interface with foreign cultures for our people.” Further noting that there was no lurking fear or suspicion in the minds of the local population about foreigners, he quipped that “It is true that French are a little grumpy, but we are grumpier
at each-other than at our guests.” He also informed us that France was still issuing the same number of visas as before. “There is no restriction of any kind as far as visiting France is concerned. We issue a visa in 48 hours – provided the documents are in order,” added the ambassador. Coming down hard on terrorism and signalling France’s resolute response in tackling its menace, he said that the most befitting reply to terrorists lied in disowning terrorism. “You must show the world that you are not afraid and that you are a part of those who take up the ideal of freedom. If people outside your country believe that you are not a strong nation then they will be afraid; whereas, if you visit a country which is perceived to be strong, then you have no reason to be scared,” asserted the seasoned diplomat. “Secondly, it must be ensured that whatever your hardships, you define your culture and way of life. This is why despite whatever had happened, we continued with hosting the Climate Change Conference – PM Modi was there,” he said. Informing that France was going to continue with its scheduled regional elections immediately after the Climate Change meet, he noted that “Terrorism must not stop democracy and diplomacy, and of course it should not stop tourism.”
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global exchange : germany Potsdam: Lange Brücke bridge, St. Nicholas's Church, old town hall
Robust infra, plethora of engagements driving Indian outbound; Germany aims to reach a million mark by 2020 Driven by attractive incentives, in-expensive travel and plenty of activities on offer, Germany is gaining momentum as a preferred getaway in Europe. As German National Tourist Office pitched for more Indian clientèle with a massive contingent showcasing their offerings in the back-drop of French terror attacks; it will only be a temporary blip to an otherwise promising tourism connect between the two nations, opines Romit, Director Sales & Marketing. By shashank shekhar
“R
ight from romantic and exquisite cruise routes, it has cities like Cologne and Baden-Baden – which are great getaways. Then you have the Northern shores and enchanting castles,” explained Romit as he shared what Germany has on offer for the discerning Indian traveller. Sharing that the inspiration of the Disney castle came from the famed Neuschwanstein castle – which is a wonder in itself, he further added that “It is high on festival quotient; the Oktoberfest is a world-renowned gathering. We also have Cologne carnival which is the second biggest carnival after Rio carnival in Brazil.” Debunking the myth that Germany was an expensive destination to visit, he contested that it was an affordable destination and shopper’s paradise. Stressing on the availability of high-class infrastructure for its success, he cited the example of high-speed rail network – which ensured that one could travel from anywhere to anywhere without fuss. “Self-drive using Autobahn – a network of 11,000 kilometers of road with literally no speed limit is another fascinating way to explore Germany. Indian auto-mobile license is valid in Germany, so Indians can take advantage of that,” he shared. Developed air-connectivity is another reason for its increasing prominence, we were told. “It’s not only Lufthansa that cements our fantastic air-connectivity
between the two nations. Air-India plays a very important role; Air-Berlin with their Etihad connection and Jet Airways have bolstered connectivity,” added Romit. “Emirates and Turkish Airlines, too, have helped us expand our reach. So, to be honest with you, we have been lucky enough to have a number of carriers flying into Germany,” he said. Commenting on the possibility of opening of flood-gates, if the archaic rule of 5/20 is scrapped in the near future, he said that “I hope that happens. We do know that German Airports have been in India and have tried to pitch different air-careers to come to their airports,” he says. Frankfurt airport used to be a part of the GMR arrangement here in Delhi as well. So, we are hoping that more players do join in,” he further added. Divulging that the focus of the German Tourist Board lied in promoting major cities, he shared that “essentially, these are the important destinations which see majority of Indian outbound. In terms of region, Black Forest holds prominence. Another, noticeable trend is that a lot more people are going in for MICE and corporate travel, so incentive business has picked up a lot; we get anywhere between twenty and a two -thousand people.” He further noted that some major insurance and paint companies had visited them. He credited this surge to the availability of sixteen VFS (Visa Facilitation Centre) in India, making visa processing hassle-free. With fourty percent business travellers; around twenty-five percent in MICE travel category and the rest falling in the leisure
highlights
Romit Theophilus Director Sales & Marketing, German National Tourist Office
The response has been great, and a lot of them have come back with their families. We are happy to share that we are closing in on 7, 00,000 overnights – which is remarkable for us – and we are hoping to achieve 10-12 percent growth over the last year in terms of footfalls.
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travel segment, now, the focus has been on convincing the incentive and exhibition clients to spend a few days around important destinations and get a first-hand view of what’s on offer, we were told. “The response has been great, and a lot of them have come back with their families. We are happy to share that we are closing in on 7,00,000 overnights – which is remarkable for us – and we are hoping to achieve 10-12 percent growth over the last year in terms of footfalls,” he shared. He shared that they were eyeing an ambitious target of reaching one and a half million visitors from India by 2020 and over two million overnights by 2030. This mega-push could not have been timed better. In the back-drop of a dastardly terror attack in Paris that left the world dumb-folded, Germany National
Gunning for a million Indian tourists by the 2020, and driven primarily by MICE, Germany is seeking deeper foray into the leisure segment Its extensive infrastructure, excellent road and rail connectivity and validity of Indian driver’s license are helping it in creating traction among outbound Its careful preservation of monuments, despite facing the full brunt of Second World War, is a remarkable feat and worthy of emulation. Much of Cologne’s tourism is attracted due to its architectural marvels Tourist Office has done well to re-engage with its Indian clientele. Commenting on the tragedy, he said that “My heart goes out to the people of France and we would like to extend all help to the French Tourist Board as well. I would urge people to not get dissuaded to travel to France.” Reassuring Indian outbound, he mentioned that Germany had been ranked as one of the safest countries in the world. “Even though, France is a close neighbour of Germany; I would recommend that there is no issue and no one should get discouraged by such acts,” explained Romit. However, he agreed that there may be a short-term impact on the numbers, especially on the slowly emerging winter tourism segment. “Yes, in the short term, it will remain in the minds of travellers, and unfortunately it will remain there at least till the Christmas break – but things will be back to normal by March-April, when we get our maximum traffic from here,” he argued. “As winter tourism has also picked up in the past couple of years, so the actual impact on the ground is will be far less,” he added.
27
global exchange : germany
Baden-Baden
Affordable luxury our USP; slowly evolving as a niche sports destination, shares Radhika
Baden-Baden: paragliding, view of Baden-Baden and Mount Fremersberg
Known primarily as a niche spa destination, BadenBaden is also gaining a toehold in the adventure sports segment, we were told. Besides boasting of a numerous shopping and wellness centers in its arsenal, its fantastic connectivity to Stuttgart and Frankfurt are helping it to maintain its pull. By shashank shekhar
‘B
ad’ literally translates into bath in German. So, it would not be too difficult to guess that this cozy little town in the foothills of Black Forest is home to some of the most exquisite spa-hotels. But, beyond the luxurious hotels and worldfamed wellness centers, it also boasts of some Star-awarded restaurants, cozy taverns and delightful shopping experience for travellers looking for a high-end luxury escapade. “Basically, Baden-Baden is a niche spa destination known for its casinos and Spas,” said Radhika. “Initially, of course, when people thought of a European sojourn they would think of Italy, Switzerland or France, but slowly, over the years, that notion is changing for good,” she told us. Sharing that in terms of knowledge about the destination and its tourism
Cologne
product – there has been an increased interest for sure, she added “the greatest factor for Baden-Baden is its location – which is an advantage; it is very close to France and Switzerland. So, if somebody wants to do a packaged tour, they can come over to enjoy a serene getaway,” she explained. However, she was quick to add that Baden-Baden was not only about luxury but affordable luxury. “What’s unique about Baden-Baden is, of course its affordable luxury. We call it affordable luxury because even if a traveller is spending somewhere around 700 Euros wants value for money,” she said. “Whether you are spending a 100 Euros or 700 Euros – we believe that BadenBaden gives you value for your money spent,” she further explained. Detailing the profile of clientele, she Radhika Krishnan agreed that they came primarily from the Head Sales & Marketing leisure segment “however, we do get some The German National TOurist office corporate and FIT’s as an overflow of the What’s unique about Baden-Baden leisure segment. It has casinos and spas; is, of course we talk about luxury, but so there are corporate groups who look for its USP is affordable luxury. We call it affordable luxury because even night time activities do come to us,” she if a traveller is spending somewhere told us. around 700 Euros wants value Pointing to its proximity to busy centers for money. of trade and commerce, she shared that “Essentially, a lot of corporate and MICE goes to the Black Forest region and Stuttgart and Frankfurt are pretty well connected, so we are also helped by these factors,” she explained. Besides being an undisputed spa and wellness destination, it was slowly beginning to make a mark in the realm of adventure sports, we were told. “In terms of niche sports and derby we have been able to generate some interest. Winter sports activity is a segment which is picking up slowly,” she shared. “Activities like hot-air ballooning, paragliding are catching up. People are beginning to consider Baden-Baden as a centre for adventure sports. We have had guests who previously chose New Zealand are heading to our shores, although we are yet in a nascent stage,” divulged Radhika. “Also, in the region, there are a few more sports activity centers in the Southwest, so we benefit from them as well,” she further added.
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Cologne's heritage management a lesson for India; Indian outbound doubles in the past five years
Calling the tourism offerings of Cologne multi-faceted, he hopes to cash in on its growing awareness among the Indian outbound and its positioning as a major centre for exhibitions and fairs. He terms heritage management as a major area of mutual engagement – where India could learn from Germany. Cologne/Rhine: St. Martin's quarter, medieval town houses on Fischmarkt square and Great St. Martin’s Benedictine Collegiate Church (13th century)
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ologne’s recall as a destination, to a layman, is best summed up as the birthplace of perfume. However, delving a little deeper into its tourism offerings, one realizes that it has plenty more for the discerning traveller. “It is not only one of the oldest big German cities and a major tourist hub; it is also one of the major centers for exhibitions and trade fairs, congresses and business meets – not only in Germany, but in the entire Western Europe actually,” informed Gregor. Sharing that these MICE and conferences acted as a major component of the tourism-connect between the Indian outbound and the city of Cologne, he told us that many of these world fairs were attracting a large number of Indians. “We are also attracting a substantial FIT’s families coming for holiday part of it; they come to see the famed chocolate museum, cathedrals, river cruises on KD cruise and to visit the zoo,” divulged Gregor. “They also visit the 4711 fragrance house, so we have a plethora of offerings to keep our Indian guests engaged,” he added. Calling the Indian market an important one, but yet a small portion of the total inbound, he shared “Percentage-wise it is not the biggest market, but is a growing market of course. In 2014, we had approximately 40,000 overnights from Indian guests. In general, we had 5.76 million overnight, so it is small in terms of overall percentage. In the Indian context, five years ago, we had half the numbers.” Adding that these numbers were heading north in the last five years, he informed that “We have doubled that influx. They have been to Munich and Berlin already, so they want to explore other big German cities, and Cologne being the fourth biggest city, it is getting its piece of the cake so to speak.” He hoped the numbers reaching to 60,000 overnights in the near future, expressing hope that the overnight component grew. “A lot of tourists come in the morning, visit sites and leave. I would love to see more Indians
spend at least a couple of nights soaking in the experience of the city and its vibrant offerings,” explained Gregor. It remains a fact that Germany bore a major brunt of the devastation that engulfed much of the world during the Second World War. What has been fascinating though is its phoenix like resurrection. Its top-notch maintenance of heritage and architecture has much to teach to India. Gregor Gosciniak “There are great opportunities to learn from head of Marketing, each other. What we are doing pretty well Cologne Tourism board not only in Cologne but in other German We are aggressively promoting cities is to preserve our heritage quite well; Germany as a destination in India; because in the Second World War a lot of its there is ‘Visit India’ in Germany as well, but they are not as active. India architecture and buildings were sadly lost. could participate a little more and work We do not have much left, so we treat what towards creating more visibility. we have as treasure,” he agreed. Adding that what India could learn to a certain degree was to promote its nation and cities in terms of tourism. “Germany is very experienced and the German National Tourist Board is doing a great job. We are aggressively promoting Germany as a destination in India; there is ‘Visit India’ in Germany as well, but they are not as active. India could participate a little more and work towards creating more visibility,” he advised. “India has diversity, heritage and is full of architectural gems besides being a culinary delight. It is huge; they are not promoting it as well as they should have. May be this is an area where they could work on and catch-up,” added. Gregor. Commenting on the ghastly terror attacks on France and its impact on the tourist numbers, he opined that “From the perspective of the Cologne Tourist Board, there has been no drop in numbers at all. From a German perspective, as well, we have not noticed any drop in the inbound. Of course, unfortunately there will be an impact on France.” Adding that terror issue was a ubiquitous component of our daily lives, he believed that it was an issue which was going to be an agenda for the whole world to deal with. “India too had its share. We are not promoting our country as a safer destination than other European countries; frankly speaking these incidents can occur anywhere and everywhere,”he said. “Although, it is an issue we all have to face, it is an issue which will affect the travel industry. But, speaking in general, Europe is a safe destination,” concluded Gregor.
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global exchange : korea
Haenyeo (Women sea-divers from Jeju island): Started as a strictly male profession in the 5th Century A.D., it has, now, become a completely women dominated profession. A huge tourist attraction, it further demonstrates Korea's relentless pursuit for preserving its history as it embraces modernity and development.
With 19 flights a week in new bilateral, Korean envoy envisages more connect Speaking at the Korean Night 2015 held in the capital, Korean Ambassador CHO Hyun divulged that a MoU between the two nations has been recently inked, increasing the number of flights per week to 19 from existing six. He opines that with better connectivity and more exposure, time was ripe for the next big leap in the relations between the two nations linked by a shared past and sacred thread of Buddhism. By shashank shekhar
I
nvoking the age-old relations cemented by matrimonial ties between Princess of Ayodhya and the Korean Prince, Korean Ambassador called it the most opportune time to take bilateral ties to the next pedestal. Praising the Modi government for its pro-active engagement with the wider world, he said that businessfriendly governments at both ends will ensure that movement of people and services reaches a new peak. “I am happy to share that we have reached an understanding on a long-pending demand of increasing the number of direct flights from India to Korea. Coming January we can accommodate 19 flights every week as compared to six,” he shared with the gathering. Pointing towards the fact that more connectivity meant more business and increased volumes of trade, he said that times were most exciting for both the nations and it was up to the business community, of both countries, to tap this unprecedented opportunity. Calling Korea an important partner in India’s key undertakings like the ‘Make in India’ and ‘Digital India’ campaigns, he believed that India was about to take-off . “The elephant is about to launch itself,” he quipped. “This essentially means that an already substantial middle-class is going to grow further – which will make India a key market for trade and commerce,” he added.
Inviting more Indians to visit Korean peninsula, he mentioned that it was unique in the sense that besides being an unknown destination to a vast majority, it was also known because of its world-famed companies like Samsung and LG that had huge stakes in the sub-continent. “Korean companies are household names in India, they know us; now, we want Indians to get a first-hand feel of what we have to offer as a nation and a destination,” he said. He believed that tourism was one of the most important mutual engagements that had plenty in it to be explored. Terming India a fascinating destination, he said that he was mesmerized at its enormity, history and culture. He also made a reference to Indian intervention in the Korean Peninsula in the war that engulfed the Far East in the 1950’s. “More than 7,000 Indians came to our shores and helped us in a time of crisis. We also remember them as we look ahead towards a bright future,” he said. Calling Buddhism a shared treasure, he acknowledged that while India was the cradle of Buddhism, one-fifth of Korean population also followed it. “You will find that Buddhism is an important component of our wider connect. It is, therefore, important to note that we share a lot more than what we think we do,” said the Korean Ambassador. He further noted that now it was up to the tourism fraternity to establish these links giving impetus to bilateral movement and trade.
CHO Hyun Korean Ambassador
I am happy to share that we have reached an understanding on a long-pending demand of increasing the number of direct flights from India to Korea. Coming January we are going to have 19 flights every week as compared to six.
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Language and food no handicap; want to make inroads into the leisure segment, says Director (Tourism) Korea’s positioning as the third top destination, globally, in the MICE and corporate segment is no fluke. Besides offering world-class hospitality, and facilities, its fame is also bolstering thanks to its highflying hip-hop culture and experiential components that have plenty in them to make it a robust leisure destination as well.
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eyond the ‘mystic’ Korea – which is accentuated by monasteries and heritage structures dotted across its beautiful landscape – its growing influence on the urban youth, courtesy its music
and hip-hop culture, most recent being the global smash-hit Oppan Gangnam Style, is making Indians more aware of what we have to offer, says Byungsun Lee, Director Korea Tourism Organization. Speaking at the gala event hosted at the Hyatt Regency, in the capital, to celebrate the Korean Night 2015, he mentioned that it was primarily the corporate and MICE segment that gave them repeat clientele – which also manifested into leisure travelers. Further noting that after the USA and Singapore, Korea was the third top destination globally in the MICE segment, he added that, “we offer world-class facilities and second-to-none hospitality to our patrons. There are so many experiential offerings that add more value to money making us a preferred getaway for corporate meetings.” Pointing towards a steadily growing interest among Indian
travelers in Korea’s varied offerings, he divulged that it was for the first time that the numbers were expected to touch hundred and fifty thousand. “I’ve noticed a growing interest in Korea tourism from various parts of India. Korea
is gradually moving to the top of the destination charts of new and potential destinations for the Indian traveler,” he said. Mentioning that over the past five years, the number of Indian tourists to Korea had increased by more than seventy percent, he hoped that with the signing of MoU between the two nations on enhanced airconnectivity, these numbers would only grow from here. “Now that we have an agreement of tripling the number of flights per week, I am more than confident that it will help grow businesses and movement, translating into enhanced footfalls,” he said addressing a packed hall. Terming Korea as a perfectly placed destination, on the world map, he said that it takes only seven hours from Delhi and eight from Mumbai to reach us. “We are conveniently located,” he said. Calling it a unique nation where one could witness serene beaches
and snowfall in a matter of hours, he noted that not many countries could boast of such diversity in such a short distance of travel. He further dispelled the myth that food remained an issue for a majority of vegetarians coming from India to the Korean shores, saying that “besides having a plethora of Korean cuisines that are soothing to the taste buds, we also have a number of Indian restaurants serving authentic Indian dishes to ensure that you do not miss your food.” Adding that most of the population spoke English and it was not an expensive destination, he stressed that, “Language and communication are no barriers as many perceive them to be. Prices are reasonable and there are ample accommodation options ranging from budget to uber-luxury. So, we would want more Indians to experience our nation and its amazing hospitality.”
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global exchange : indonesia & hong kong
Promoting similarity of culture, family based tourism is top agenda for Indonesia
Indonesia has too much in common with India. However, lack of awareness and direct flight connectivity, between the two, remains biggest handicap in exploring these commonalities, says Bambang. He hopes that with this concerted marketing push and recently announced Visaon-arrival for Indians will boost their credentials as a preferred destination for outbound. By shashank shekhar
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ver 13,000 islands, 117 golf courses, rich heritage and culture are some of the chief ingredients that have given its tourism product a unique luster over the years. In Bambang’s own admission, they compete with Malaysia and Singapore to create a unique positioning in a crowded Asian market. Describing key pegs of its offerings, he shares that apart from marine tourism – which, also, includes a concoction of ecotourism and adventure sports – resort and county-side tourism remained important aspects of their profile. Stressing on the need to reach out to Indian family clientele, he shared that there was a need to highlight the degree of similarity between the two nations. “We have to find ways to develop Sharing that the number of Indian outbound to Indonesia had family based tourism between India and Indonesia. Coming from registered an increment of over 16 percent on a year-on year basis, similar cultural background, we do value family time and that is compared to the last year, he called it a positive sign amidst lack something we are planning to accentuate on,” he shared. “We are of direct air-connectivity – which remained a grave omission in developing economies, populated countries and democracies realizing the true potential of the tourism connect between the that are grappling with similar issues – especially how to make two nations. “We also lack direct air-connectivity to Indian cities – tourism grow and make it an important engine of our economic which remains another crucial factor in creating the desired pull. In Bambang Sunaryo growth,” he added. He pointed towards the need to fully realize the terms of sheer numbers, we welcomed over two hundred thousand Msc, Rep Ministry of Tourism - Indonesia value tourism held, saying that, “I think this remains a vital area of guests; this year until September we have almost reached those We have to find ways to develop family concurrence for the two nations.” numbers, so we are on course of registering a double-digit growth based tourism between India and Noting the resounding success of Singapore as a destination of outbound from India,” he shared with us. Adding that India Indonesia. Coming from similar cultural amongst the Indian outbound, he mentioned its strategic location remained one of the top ten countries in terms of tourist arrivals, he background, we do value family time and substantial Indian Diaspora key reasons for the same. “When added that “It is an important market. Most of the top markets for and that is something we are planning to accentuate on. we talk about Singapore, we have to understand that it benefits Indonesia incidentally come from Asia itself.” Singapore topped the immensely not only because of its strategic location – being the list and Malaysia followed on the second spot, we were told. gateway to the Far East; but substantial Indian Diaspora, too, He divulged that almost thirty percent of their Indian guests plays a pivotal role in making it a preferred destination for the came from MICE, corporate and FIT’s – heading mostly to Jakarta outbound,” he said. and Bali – while the rest came from leisure segment. Robust Air-connectivity remains a key to seamless travel and ensuring footfalls. Even Upbeat by the surge in numbers in the past year, Indonesia has set its eye on an though a number of international carriers with the likes of Garuda Airlines – which ambitious target of twenty million international visitors by the end of this decade. “We connected India via Singapore, Cathay Pacific via Hong Kong, Malaysia and Thai want more Indians to be a part of our overall inbound, especially when, now, we are Airways connected the two via Kuala Lumpur and Bangkok respectively – lack of direct providing free visa for thirty days (Visa-on-arrival) for our Indian guests coming to our air-connectivity remains an impediment. shores for tourism and recreation,” he further added.
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Hong Kong: The ‘family-friendly’ city registers 19 percent growth in Indian outbound
Hong Kong, till September 2015, has already received over 45 million tourists. Its success in attracting such massive footfalls is an outcome of a unique synthesis of ancient and modern. Thanks to its growing exposure to wider Indian audiences through diverse media platforms – it is, also, attracting a considerable outbound from home. By TF Bureau
H
ong Kong is one of the most densely populated metropolises in the world. But, it has not deterred it from creating an envious infrastructure comprising of swanky shopping malls, well-oiled public transportation systems and sky-scrappers – which signifies its economic rise. However, what makes it a marvel is the varied experiences on offer. “A quick stroll takes you from a traditional street market to a, state-of-the-art shopping mall, passing incense-filled temples. A short ride transports you from towering, iconic skyscrapers to unspoilt panoramas of sand and sea,” said Peter Hoslin, Regional Director, Europe and New Markets He points towards a synthesis of rich Chinese tradition growing well again this year and for good reason. We are proud to coexisting with cutting-edge and global trends. “It is a place where have such a welcoming and safe destination where Indians feel at the ancient and modern live side by side; it is perfect for those ease and love our family-friendly city,” said Hoslin. seeking to experience a diversity of unique travel experiences in He also pointed towards a similarity with Indian culture and one compact destination,” he explained its USP. referred to unique 'East meets West' in Hong Kong that brought “A morning spent hunting for antique watches can be followed rich and diverse culture – which is just like Indian culture. “The city by an afternoon hiking on an uninhabited island and capped off is vibrant, visitor friendly with festivals and events throughout the with an evening sampling the latest trends in modern gastronomy,” year. Themed attractions like Hong Kong Disneyland, Ocean Park, Peter Hoslin he added, substantiating how there was no dearth of engagements. The Peak and Ngong Ping Cable Car are just some of the instances Regional Director, Elaborating on the visitor profile, we were told that although which have visitors thronging to this beautifully lighted city,” he said. Europe and New Markets leisure travel to Hong Kong had seen an increased prominence “The surrounding Islands, serene beaches, magical temples are all A quick stroll takes you from a traditional over the last year; corporate travel also continued to increase fitted so well within the landscape which makes a visit to the city street market to a, state-of-the-art alongside meetings and incentives groups. It is, therefore, no enticing,” added Hoslin. Calling it an Indian visitor’s haven for family, shopping mall, passing incense-filled temples. A short ride transports you from coincidence that it has steadily grown to be one of the most visited group, couples and solo travellers, he said that the city inspires you towering, iconic skyscrapers to unspoilt destinations. Apart from China – which continues to hog a lion and was amongst the safest destination. panoramas of sand and sea. share of total inbound – Taiwan, Korea, USA, Japan are the major India, in the foreseeable future, will remain an important market sources of visitors to Hong Kong. for us and new means to engage with the discerning traveller have Saying that Indian outbound was on an ascent, he pointed been constantly put to use, we were told. “Last year, Hong Kong towards their convenient location with less than six hours of flying Tourism Board in collaboration with Star Plus hosted the famous distance from any part of India with a free visa entry of up to 14 days to Indian visitors as soap Sasural Simar Ka. This year, we saw a Life Mein Ek Baar in collaboration with Fox important factors contributing to its growing recognition as a getaway. “We have become Life which was a tremendous success and we are hopeful to see more collaboration to increasingly popular with Indian travellers over the last few years, up 19% in 2014 and showcase Asia’s World City’,” he concluded.
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the last page
The Learning Curve: Crafting of a Tourism Legend Santa’s Success Story By Hugh and colleen gantzer
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e was a born in Turkey in AD 280, so we couldn’t, possibly, have met him. But we did. We met Santa Claus, shook his hand, spoke to him and we have a video recording of our conversation. And thereby hangs an incredible tale of how legends are created, moulded by image makers, and evolve into a very successful globespanning, fantasy. . To start with no Christian is required to believe in Father Christmas, though Santa is customarily associated with Christmas. Similarly, crackers are social customs associated with Diwali but they are not an essential part of a holy ritual. . Both fireworks and Father Christmas were free to evolve as societies changed. The Turkish-born Saint Nicholas, who became Santa Claus, was a gaunt and grim judge of good and evil. His image make-over, as the jolly, rotund, white-bearded gift giver we know, was done by a political cartoonist in 1881. It stuck because it’s easy to relate to a portly, grandfatherly figure, Ho! Ho! Hoing! his jovial way Into our hearts! Finding out what people want and then designing your product to meet their needs is the secret of good marketing! This is what Finland did, creating one of the greatest tourism success stories of today. In an increasingly mechanised and digitised world, people hunger for the balm of fantasies regardless of how unreal they might be. They’re prepared to spend money to escape into the imagined worlds of Harry Potter, Hobbits and Star Trek. These, however, are only two-dimensional encounters. What we experienced in Finland transported us to a whole new wrap-around level of reality
To start with, Finland itself is a beautifully unreal experience, The dark forests of the taiga spread on both sides of the road, rising out of shimmering fields of snow. , A Reindeer stag with superb antlers stepped out followed by a female. We slowed, stopped. Majestically, taking their time, they clip-clopped across the road. Our guide said: “This is Lapland!” Lapland! Tales out of the lantern-glow of our childhood welled up in our minds . Evocative legends of elves and trolls and a white bearded man flying through the sky on a Reindeer-pulled sledge. *We’ve arrived.!” Beyond gateposts with conical tops, like wizard’s hats, the village spread: brightly-lit log houses and a particularly large one with Santa Claus painted on its ice-cream cone tower. Most of the houses were single storeyed with wooden-tile, shingle, roofs; a few with those curious towers. Under the platinum sky, against the dark green wall of the conifer forest, it looked like the set of a wild-west movie with elves, reindeer and wands, not cowboys, horses and guns. A signboard painted like an illustration from a children’s bed-time story said
Santa Claus Village Arctic Circle
Carried on the crisp, chill, air was the sound of Christmas Carols and the mouth watering aromas of every Christmas party we’ve ever attended: flaky pastries and hot fudge, plum cakes, sizzling roast, crumbed ham and warm, crusty, bread fresh out of the oven. We crossed a square, crunching fresh snow underfoot, stepped over a line marked Arctic Circle and into the porch of the large wooden building. This was the mansion of the wondrous man we had come to meet. We trudged up a flight of steps, past a board, painted like an antique manuscript. It described The Earth’s Rotational Speed Regulator with a huge pendulum that, apparently, stopped exactly at midnight on Christmas Eve. It held back time so that Santa could deliver all his gifts around the world before Christmas day. We were living in a fairy tale where all logic ceased to exist and the impossible was wonderfully believable, We sat on a bench while the great pendulum tick!-tocked! tick-tocked tick-tocked! bringing the world closer to that great night. “Santa is a busy man”, we were told, “but he still likes to meet one visiting family at a time”. We wondered how he converses with people from around the world. Does he really know so many languages or does he have a team of interpreters? Our thoughts were cut short when the door opened and a tall, ginger-bearded, elf beckoned us in. There, sitting on a throne on a platform, was that great, lovable, living, legend: Father Christmas, as large as life. In fact, very much larger! His silky white curly beard flowed down to his waist. His eyes twinkled on his spectacled cheeks. He raised his right hand in welcome and then, to our delight, he put his palms together and said, in a deep voice
“Namaste! We’ve been expecting you!” We were enchanted. He asked us to step up and sit beside him. He told us that he had visited India: naturally, naturally, we’ve all received presents from him at Christmas! And all the while, the elfin man photographed us, projected our pictures on a screen, and recorded our audience with the world’s best known gift giver. Santa towered over us but he was so warm and benign that we were completely at ease in that comfortably untidy and cosy room. There were large, register-like, books on shelves, a fat-bellied little bottle that probably contained a potion to bring good cheer when he rode across frosty winter sky, an antique globe and a half-filled sack. We forgot to ask him how such a giant of a man managed to slip down the narrow chimneys of many houses. But if one can stop time and the rotation of the globe, floating down chimneys should be easy; even teleporting through locked windows like Star Trekkers did! It’s always thrilling to encounter a legend and we were bubbling over with excitement when we left Santa, allowing another family to meet him. From the shop below his audience chamber we bought photographs and the CD of our close encounter with Father Christmas and then wandered around the village. Here, every day is Christmas. Shops with wreaths of fir, and decked out for the festive season sold everything anyone could want for Christmas, and much more besides. There was even a crib showing the greatly loved nativity scene. We visited Santa’s Post Office. There, in the mass of fan mail, was one from a child in India. “Yes. Santa wrote to him” said one of the elfin postmistresses. “The only mail he does not acknowledge are those with illegible addresses.” A little boy, gripping the hand of his large father, asked, “Where are Santa’s reindeer?”
The postmistress smiled at him : “They’re out grazing in the forests.” She turned to us “Do you have reindeer in India?” “No we don’t. But we do have elephants” She clapped her hands in delight. “Ah! Elephants. How magical!” We also have the greatest treasure trove of myths and legends, and professional illusionists of the world’s biggest film industry. We need to bring them together to create magical year-round living experiences based on tradition, not religion. We saw no sign that Father Christmas was once a Christian Bishop born in Turkey: that would have made it slightly divisive, excluding people of other lands and faiths. Here, they marketed the warm, universal, spirit of human festivity. That is the real secret of this superb tourism project.
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