The outbound tourism industry in India is anticipated to grow at a CAGR of 11.4% between 2023 and 2032. According to a report, the development of different tourism products, rising income levels and changing lifestyles, as well as policy and regulatory assistance from the government authorities, all contribute to the expansion of the Indian travel and tourism business.
In addition to other measures, the government should take into account reducing TCS on international tour packages and allowing foreign cruise ships to operate in Indian waters, according to the report titled “Unlock the potential: A look into outbound tourism” that was created by Nangia Andersen LLP in collaboration with FICCI. The report recommended a few policies the government might put in place to assist this developing industry, including rolling back TCS (Tax Collected at Source), expanding chances for collaboration with other nations, working with airlines, and allowing foreign cruise ships to sail in Indian waters. It stated that even though the government had cancelled the plan to raise the TCS on international travel packages from 5% to 20% on amounts up to INR 7 lakh annually, the rise had been postponed until October for amounts exceeding INR 7 lakh.
The industry associations’ long-standing request to lower the TCS ratio to 2.5% has not been granted, though. According to the research, lowering the TCS “is believed to attract more people to book through Indian tour operators and enhance competitiveness.” According to Suraj Nangia, Managing Partner and Head of Government and Public Sector Advisory at Nangia Andersen LLP, India’s resurgent international travel represents the brazen and daring nature of today’s tourists, who are motivated by their rising aspirations to see the world.
India’s international travel, according to Nangia, “we envision a promising future, contributing significantly to the country’s growth and cultural exchange on the global stage.” In the research, Poonam Kaura, a partner, noted that “as India’s outbound tourism market continues to thrive with year-on-year growth of 190%, we are witnessing a surge in global exploration driven by rising incomes.”
Source- Travel biz
Link- https://travelbizmonitor.com/indian-outbound-to-witness-cagr-of-11-4/
