Hotels Check-Ins Up, But Margins Tight

With the hotel industry being seasonal in nature, it is likely to post a muted growth in profits during July-September. While sales are expected to rise at a healthy pace, surge in costs is likely to rein in profits. Financial performance during October-December is likely to be healthy, driven by festive demand and events such as the Grand Pix Formula-1 to be held for the first time in India.

Tourism in India: June 2011 Update

 Foreign Tourist Arrivals (FTAs) during the period January-June 2011 were 29.19 lakh with a growth of 10.9 %, as compared to the FTAs of 26.32 lakh with a growth of 8.9 % during January-June 2010 over the corresponding period of 2009.

Foreign Exchange Earnings (FEE) from tourism in terms of US$ during January-June 2011 were US$ 7811 million with a growth of 14.2 %, as compared to US$ 6842 million with a growth of 36.6 % during January-June 2010 over the corresponding period of 2009.

FEE from tourism in rupee terms during January-June 2011 were Rs. 35163 crore with a growth of 12.1 %, as compared to the FEE of Rs. 31373 crore with a growth of 27.1 % during January-June 2010 over the corresponding period of 2009.

 

Tourism in India in 2010: An Update

Foreign tourist visits to the country registered an impressive growth of 24.2% in the year 2010. Similarly domestic tourist visits also showed a growth of 10.7 % last year.

The number of domestic tourist visits to the States/ UTs during the year 2010 was 740 million as compared to 669 million in 2009 and 563 million in 2008.

Indian Hotel Industry: Way To Go

Post the global slowdown in 2008-09, the hotel industry has taken a while before returning on the growth track. There are a number of factors adversely affecting the Indian hotel industry. Some of these are explained below. 

Commonwealth Games impact on Tourism

October 2010 was expected to be a cheerful one for the tourism industry as Commonwealth Games (CWG) 2010 was scheduled for the month. According to a tourism ministry statement in September, “about four lakh foreign tourists are expected to visit Delhi during the 12-day Commonwealth Games.” However, only 75,606 foreign tourists arrived in New Delhi during the CWG fortnight October 1-14, according to immigration authorities at the Delhi airport.

The tourism ministry said the number of foreign tourist arrivals (FTAs) to New Delhi had increased by over 5% during the Games. However, this 5% figure is lower than the national average increase in FTAs of 9.2% in October.

Medical Tourism in India: A rising industry

Medical tourism or health tourism is described as the practice of travel to different parts of the world to receive specialised health-care treatment. Medical tourism offers immense opportunities for development of various industries in developing economies like India and China.