“India’s Tourism: A Beacon of Growth and Opportunity on National Tourism Day”

As India celebrates National Tourism Day, the spotlight shines on the country’s tourism sector, a vital driver of economic growth and employment. India’s tourism sector stands as a testament to resilience and growth, showcasing the perfect blend of heritage and innovation. From ancient monuments to cutting-edge e-tourism services, the industry is evolving rapidly, creating opportunities for millions while contributing significantly to the nation’s economy.

Balasubramanian A, Senior VP and Business Head at TeamLease expresses, “India’s tourism sector has shown remarkable resilience, contributing nearly $11.10 trillion to the GDP in 2024, surpassing pre-pandemic levels by 10%. Employment in the sector reached 43 million jobs, marking an 8% increase compared to 2019. Looking ahead, the sector is projected to expand further in 2025, with the potential to add 6.1 million jobs by 2034. By 2025, there will be around 31% of direct jobs in the tourism sector, involving roles such as tour guides, hotel staff, and tour operators. The remaining 69% will be indirect, encompassing jobs in supply chain management, logistics, IT support, and landscape maintenance. However, challenges such as workforce shortages in hospitality and technology, lack of consistent training, and uneven regional development persist. To address these, initiatives like Swadesh Darshan 2.0 and Dekho Apna Desh focused on infrastructure, connectivity, and niche tourism. With airport modernisation, rail tourism expansion, and AI-driven e-tourism services, these measures are positioning the sector for sustainable growth and employment opportunities.”

Suresh Khadakbhavi, CEO, Digi Yatra Foundation, “The travel and tourism industry continues to be a critical driver of India’s economic growth, contributing approximately $178 billion to the GDP. With the travel market projected to reach $125 billion by FY 2027 and international tourist arrivals expected to grow significantly, this year’s budget presents an opportunity to create an environment that promotes innovation and ease of doing business with a strong focus on an end-to-end seamless Customer Experience.

Technology continues to be a key enabler of growth in this space, with advancements in cloud solutions, SaaS technologies, and digital platforms transforming the traveler experience. There are over 1500 startups in the tourism industry that offer technology solutions to travel service providers. Initiatives like Digi Yatra, which leverage technology to enhance seamless airport experience, align perfectly with the government’s vision of a tech-driven economy, such Privacy Preserving and Decentralized Ecosystems need to be strongly promoted. We are looking forward to policymakers introducing incentives and frameworks that support tech adoption in the tourism sector, ensuring a sustainable and competitive ecosystem for businesses while delivering unmatched experiences for travelers.

Furthermore, in the industry at large, granting infrastructure status to smaller projects, simplifying the licensing process, and rationalising GST structures are some of the critical reforms that can help reduce operational hurdles for travel and hospitality businesses. These measures would encourage more investments, support budding entrepreneurs, and strengthen India’s position as a global leader in tourism.”

Jaideep Kewalramani, COO and Head of Employability Business, TeamLease Edtech “Tourism in India is a sector waiting to deliver exponential growth. For India, unlike many countries, tourism is multi-faceted – ancient sites, historic monuments, wellness, healthcare, spiritual circuits, nature, wildlife, adventure, shopping, destination events and entertainment among others. Top up the tourism avenues with the culture of Atithi Devo Bhava creates a magical environment for all visitors. The tourism economy can create amazing investment and enormous job opportunities for the youth. It is estimated that the tourism economy contributed about $200Bn which will double every few years and has the potential to contribute Upto 5-7% of the GDP over the next few decades. A skilled and educated tourism workforce helps develop this sector. Work integrated learning programs can create opportunities for the youth to acquire higher education in the tourism sector while gaining real world experience with the hospitality industry. Entry level jobs in the tourism sector can attract compensation ranging from 3 lakhs to 8 lakhs per annum depending on the skill and education level.”

India’s tourism story is one of promise and potential. By addressing challenges like skill gaps and embracing technology-driven solutions, the sector can continue to thrive. With initiatives promoting infrastructure, connectivity, and unique experiences, India is poised to captivate global travelers and empower its workforce, making tourism a cornerstone of national growth.