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The Ladakh administration has decided to grant industry status to hotels and guest houses registered with the tourism department in a move aimed at strengthening the hospitality sector and boosting tourism-led economic growth, officials said. Lt Governor VK Saxena on Wednesday approved the grant of 'Industry' status to registered hotels and guest houses in the Union territory, they said. The decision, which will come into effect from June 1, 2026, is expected to provide a substantial fillip to tourism establishments through incentives, concessional utility tariffs and easier access to institutional finance, they said. Officials said hotels and guest houses would now be eligible for electricity and water tariffs at industrial rates, which are lower than the commercial rates which are currently applicable to such establishments. They would also qualify for concessional bank loans under various state and central government industrial policies besides exemption from property tax, they
Hotel Association of India on Wednesday called policymakers to prioritise sector-specific reforms to drive growth and resilience in the hospitality sector, while reiterating demand for infrastructure status and allowing of industry benefits to hotels. Sharing the hospitality industry's expectations in the upcoming Union Budget, Hotel Association of India (HAI) President K B Kachru said the hotel sector should be given due recognition for its significant contribution to GDP, jobs, and foreign exchange earnings. Kachru, who is also Chairman, South Asia, Radisson Hotel Group, urged "policymakers to prioritise sector-specific reforms to drive growth and resilience in the hospitality sector". "The hotel sector should be given due recognition for its significant contribution to GDP, jobs, and foreign exchange earnings. The key policy interventions are according the infrastructure status and allowing industry benefits to hotels," he said in a statement. This will encourage investments in
As yet another new year dawns, India's hospitality sector is gearing up for sustained growth momentum with a clear outlook of continued expansion, readying to welcome more foreign tourists than in pre-COVID days and hoping that their long-pending demand for infrastructure status will finally be granted by the government. Ever grateful to 2025 a "year of renewed optimism" hospitality players said that in 2026, the sector will continue to be predominantly domestic demand-driven, a trend that is structural rather than cyclical, with India's robust macroeconomic environment continuing to provide a strong foundation for the industry's growth. A harmonised infrastructure status for the hotel industry could unlock significant capital inflows for the sector, as it will facilitate easier financing, longer loan tenures, and lower interest rates, enabling smoother access to capital and reducing project delays caused by financial constraints. The structural reform will also bolster India's ..