A new report by Ernst & Young in collaboration with FICCI has underscored the urgent need to reposition India as a globally competitive inbound tourism destination, highlighting significant gaps in branding, pricing, and visitor experience. Released at the ongoing Great Indian Travel Bazaar (GITB), the report states that while India remains one of the world's most diverse tourism markets, it continues to underperform in attracting international visitors due to fragmented promotion and limited global marketing.
Key Findings of the Report
The report calls for a shift towards 'experience-led tourism', emphasizing the packaging of India's cultural, spiritual, culinary, and wildlife offerings into integrated circuits. It highlights emerging segments such as MICE tourism, event and concert tourism, wellness travel, and women-centric tourism as high-growth opportunities that can significantly boost inbound tourism.
Challenges Identified
The study points out that India's tourism economy already contributes significantly to GDP and employment, but inbound tourism lags behind domestic travel. A major challenge identified is the lack of a unified national narrative, with states promoting destinations in isolation, which dilutes India's global brand positioning. The report also flags issues of price competitiveness and complex tax structures, making India relatively expensive compared with competing destinations such as Southeast Asian countries. Additionally, constraints in ease of travel, including visa processes and fragmented infrastructure, continue to impact international tourist inflows.
Government and Industry Reactions
State tourism minister Diya Kumari said, 'Rajasthan is committed to leading India's transition towards an experience-driven tourism ecosystem. The report presents a timely and strategic roadmap to elevate our global positioning, enhance visitor experiences, and unlock the immense potential of inbound tourism as a key driver of sustainable economic growth.'
Suman Billa, additional secretary & director general, Ministry of Tourism, added, 'India's next phase of tourism growth will depend on how effectively state-level offerings are integrated into a unified national narrative, thereby creating global destinations.' Rajasthan, with its strong heritage appeal, is highlighted as a key state capable of driving inbound tourism growth through platforms like GITB, which help build global partnerships and visibility.
