The government is actively considering a harmonised infrastructure status to the hotel industry, a move that could unlock significant capital inflows and strengthen the country’s position in the global tourism market, Minister of Tourism and Culture, Gajendra Singh Shekhawat, announced at the 98th AGM and annual convention of FICCI.
This is “a long-standing demand that will unlock capital, expand rooms inventory and strengthen our global price competitiveness,” the minister said.
Vision for a $1 trillion tourism economy
The minister’s statement came as part of a comprehensive address outlining the government’s vision to transform tourism into a $1 trillion sector generating millions of jobs by 2047, when India marks its centenary of independence. Shekhawat emphasised that achieving this ambition requires substantial private investment and reimagined hospitality models to compete with regional peers.
Tourism as a structural growth engine
The consideration of infrastructure status is part of a broader governmental push to position tourism as a structural engine of economic growth. The sector currently contributes 5.2 per cent directly to India’s GDP and supports 84 million livelihoods, according to FICCI President Harsha Vardhan Agarwal, who noted the industry could become a $250 billion opportunity by 2030 with appropriate policy support.
India’s large-scale tourism infrastructure programme
India has undertaken what Shekhawat described as “one of the largest tourism infrastructure programmes in the world”, with over Rs 12,000 crore invested in destination development. The government is developing 50 global-standard destinations under a challenge-mode framework, encouraging states to compete on infrastructure quality, user experience, and sustainability parameters.
Connectivity transformation
Shekhawat highlighted the transformation of India’s connectivity infrastructure over the past decade, with operational airports expanding from fewer than 75 to 127, alongside 10 international-standard cruise terminals, 150,000 kilometres of new highways, 38 inland waterways for river cruises, and over 10,000 kilometres of metro lines across 23 tier I and II cities.
The rejuvenation of temple corridors, including Kashi, Mahakal, Kedarnath, Puri and Ayodhya, represents “one of the most transformative tourism initiatives in modern India”, he added.
India’s expanding tourism segments
The minister emphasised India’s emergence as a leader in wellness tourism, medical value travel and integrated healing pathways, whilst highlighting the country’s growing concert tourism sector and its position as host of the 2030 Commonwealth Games in Gujarat.
The opportunity gap in international arrivals
However, significant gaps remain. FICCI President noted that, despite India’s civilisational depth and diversity, it attracts only 10 million international visitors, compared with France’s 90 million, Spain’s 84 million, and the United States’ 80 million. “This shows not a gap in potential, but a vast opportunity waiting to be unlocked,” he said.
Strengthening destination development
President-elect of FICCI, Anant Goenka, praised government initiatives, including Swadesh Darshan 2.0 and the Pilgrimage Rejuvenation and Spiritual Heritage Augmentation Drive, noting they reflect a commitment to global standards and visitor experience whilst creating high-quality tourism assets.
