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Plan panel, tourism ministry want 4-fold rise in sector outlay

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BS Reporter New Delhi

The Planning Commission’s working group on tourism has recommended a four-fold increase in the allotment of funds for the sector during the 12th Plan (2012-17). Allotment for the 11th Plan was Rs 5,156 crore.

A substantial proportion of the estimated outlay is proposed for improvement of tourism infrastructure, human resource development, capacity building and promotion and publicity, said tourism minister Subodh Kant Sahay while addressing his ministry’s consultative committee of MPs.

Annual foreign tourist arrival by the end of the 12th Plan is estimated at 11.24 million.

The minister said the corresponding number for domestic tourists was projected at 1,451.46 mn. Jobs in the sector in 2016 were likely to be 77.5 million, as compared to 53 million in 2010.

 

Sahay said the taxes levied on the tourism industry should be unified, rationalised and made globally competitive, to get the maximum dividend. The goods and services tax to be implemented in the country should not be more than eight per cent for the sector, he felt.

“Tourism is the largest service industry in the country. Its importance lies in being an instrument for economic development and employment generation, particularly in the remote parts,” said Sahay.

The members of Parliament at the meeting included Charles Dias, Jagdambika Pal, Lal Singh,

P T Thomas, Sripad Yesso Naik, Virender Kashyap and Tarini Kanta Roy.

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First Published: Sep 10 2011 | 12:53 AM IST

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