Impact of Covid -19 on Tourism and Travel Industry in India. Dr. Monika R.Seth 1 Shubh S.Popat 2 Lakshmikant M.Kabra 3 Madhav P.Rathi 4 Rahul H.Tilokani 5 Sarang M.Awale 6 1 Assistant Professor, Department of Humanities, Shri Ramdeobaba College of Engineering and Management, Nagpur-440013, email:- [email protected]2,3,4,5,6 Students of Department of Information Technology, Shri Ramdeobaba College of Engineering and Management, Nagpur- 440013, email:- [email protected]Abstract: The purpose of this paperwork is to examine the extent to which covid- 19 has affected the tourism and travel industry. All the sectors of the society were adversely affected due to this outbreak. China is where the epidemic started, but also India where fresh cases are continuously being reported, India is no longer a tourist destination where is China has started its tourism industry. Because of pandemic, tourists cancel their travels avoiding suspicious places and individuals such as tourism and retail service sector. For the tourism sector in India, it is no longer going to be business as usual and we will need to redefine, refocus and change the game plan going forward. It is essential to measure the impact of COVID-19 and prepare a cogent strategy involving both the Government and the industry stakeholders. COVID-19 is the biggest challenge that the global tourism sector has faced till date. The United Nations world tourism organization estimates reduction of 58% to 78% in tourist traffic across the world. This means that international tourist arrivals could drop by a billion. Keywords - Corona virus, COVID-19, travel, tourism industry in India. 1. INTRODDUCTION The Corona virus outbreak has affected the tourism industry the most, devastating economies that are largely dependent on tourism. The Corona virus which was previously limited to China has now expanded to most of the countries. Till mid of August the spread of virus spans 215 countries. According 2 WTTC (World Travel and Tourism Council), India categorised as Journal of Seybold Report ISSN NO: 1533-9211 VOLUME 15 ISSUE 9 2020 Page: 500
Transcript
Impact of Covid -19 on Tourism and Travel Industry in India.
The purpose of this paperwork is to examine the extent to which covid-19 has affected the tourism and travel industry. All the sectors of the society were adversely affected due to this outbreak. China is where the epidemic started, but also India where fresh cases are continuously being reported, India is no longer a tourist destination where is China has started its tourism industry. Because of pandemic, tourists cancel their travels avoiding suspicious places and individuals such as tourism and retail service sector. For the tourism sector in India, it is no longer going to be business as usual and we will need to redefine, refocus and change the game plan going forward. It is essential to measure the impact of
COVID-19 and prepare a cogent strategy involving both the Government and the industry stakeholders. COVID-19 is the biggest challenge that the global tourism sector has faced till date. The United Nations world tourism organization estimates reduction of 58% to 78% in tourist traffic across the world. This means that international tourist arrivals could drop by a billion.
Keywords - Corona virus, COVID-19, travel, tourism industry in India.
1. INTRODDUCTION
The Corona virus outbreak has affected the tourism industry the most, devastating economies that are largely dependent on tourism. The Corona virus which was previously limited to China has now expanded to most of the countries. Till mid of August the spread of virus spans 215 countries. According 2 WTTC (World Travel and Tourism Council), India categorised as
3rd position in terms of Travel and Tourism’s total contribution to GDP in 2018 and was ranked 34th in Travel and Tourism competitiveness report 2019.
Tourism in India has noteworthy potential seeing the rich cultural and historical heritage, variety in ecology, terrains and places of natural beauty spread crossways the country. Travel and Tourism industry has been one of the most important factors of development among the services sector in India. In 2019, FEEs where US $ 29.96 billion registering a growth of 4.8% year on year and reached US $ 5.40 billion during January-February 2020.
In 2019, foreign tourist arrivals (FTAs) in India stood at 10.89 million, achieving a growth rate of 3.2 % year-on-year. As of 2019, 4.2 crore jobs were created in the tourism sector in India, which was 8.1 percent of the total employment in the country. The number is expected to rise by 2% annum to 52.3 million jobs by 2028.
The Indian government has realised the country is potential in the tourism industry and has taken several steps to make India a global tourism hub.
Some of the major initiatives planned by Government of India to boost that tourism and hospitality sector of India are as follows :-
• Ministry of Tourism launched ‘Dekho Apna Desh’ Webinar series to provide information on many destinations and share depth and expanse on the culture and heritage of India.
• Ministry of tourism launched audio guide facility app called
Audio Odigos for 12 states in India.
• Under budget 2020-21, the Government of India has allotted Rs. 1200 crore (US $ 171.70 million) For development of tourist circuits under Swadesh Darshan for eight North East states and Rs. 207.55 crore(US $ 29.70 million) For development of tourist circuits under PRASHAD scheme.
2. OBJECTIVES
The primary objective of the research is to study the impact of COVID-19 on the Travel and Tourism industry in India and analysing the subsequent problems faced with it. The hotels, airlines, railways, as well as the cruise operations were stationary. This is leading to development of impact on the India's GDP as the virus was not stopped from spreading.
3. SCOPE OF WORK
The scope of paperwork is to examine the impact of Corona virus on Travel and Tourism industry and would help to learn about new advancements in tourism sector in India.
4. IMPACT OF CORONA VIRUS ON HOSPITALITY, TRAVEL AND TOURISM
Role of Travel and Tourism in India
The hospitality and travel industry have possibly been most hard-hit with hourly workers facing impending devastating hardships.
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It is estimated that in India, branded and organised hotels annual revenue is Rs. 38,000 crores (US $ 5 billion). The restaurant industry in India annual turnover of approx. Rs.4 lakh crores(US $ 53 billion). This industry provides direct employment to more than 7 million people. India's air transport industry employs over 4,00,000 people directly and 9,40,000 are employed and related supply chains.
Effect of Corona virus on Travel and Tourism in India
1. On account of coronavirus, The Indian tourism and hospitality industry is expecting a potential job loss of around 38 million.
2. In the third week of March itself the hotels sector saw a decline of more than 65% in occupancy levels as compared do the same. In 2019.
3. Indian Association of Tour Operators(IATO) estimates the hotel, aviation and travel sector together may suffer a loss of about Rs. 85 billion keeping in the mind the travel restrictions imposed on foreign tourists.
4. there is a threat of job loss of nearly 15% in the hotel and restaurant industry.
5. Aviation industry in India could incur losses worth Rs. 27000 crores(US $ 3.3 – 3.6 billion) in the first quarter of 2020-21. The passenger growth of airlines
is likely to fall sharply to a negative 20-25 % growth for the 2020-21.
6. COVID-19 has also affected the domestic tourism sector and summer bookings. The travel companies saw more than 30% drop in domestic travel this summer compared with last year.
7. As per information provided by ASI, total revenue from ticketed monuments was Rs. 247.89 crores in FY18, Rs. 302.34 crore in FY19 and Rs. 279.78 crore in FY20(April -January). And as the situations are getting worse many employees were fired from their jobs.
8. Economic growth in the world decelerated in 2019-20, resulting in weaker growth in foreign tourist arrivals and foreign exchange earnings from tourism in India .
5. RECOVERY PLANS
With more than 60% of the organised hotels in India shut, recovery should we expected gradually. For the recovery of the sector few things have been proposed by leaders in the industry.
1. Experts have emphasised on the need to focus under potential off domestic tourism and try to gain some profit through it.
2. ICC suggests setting up a ‘Travel and Tourism stabilisation Fund’ with direct benefit transfer to each unit to prevent financial job loss.
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3. It is also being recommended to cautiously utilise the FF&E reserves. Operators would need to support the hotel owners.
4. After the impact of Corona virus subsides, the primary aim of stakeholders of the country should be to bring back the confidence of tourists to visit India.
5. The Government should focus on all type of safety and security measures for the tourists visiting various places off country. People would feel more comfortable to travel within the country rather than going abroad so alternative tourist spots should be developed and marketed properly within the country.
6. CONCLUSION In this paper, we discussed about the impact of coronavirus (COVID-19) on Travel and Tourism industry in India. Effect of Corona virus on Travel and Tourism in India was discussed in detail to understand the situation of the industry. Research work has also showcased the ultimate damage it created on the economy of the country. Though the measurements were undertaken, but they are seen not to be fruitful for prohibiting the spread of coronavirus. Some Recovery Plans were also discussed. Gradually & slowly our Travel and Tourism industry would be on track.
7. REFERENCES
[1] Nidhi Singh, “The Impact of Covid–19 on Travel and Tourism Industry in India and its Future”, published: 30 Apr 2020
[3] Research Paper- Praveen Kumar Patel, “The Effects of Novel Corona Virus (Covid-19) in the Tourism Industry in India”, Published (First Online): 27-05-2020 https://www.ijert.org/the-effects-of-nobel-corona-virus-covid-19-in-the-tourism-industry-in-india
[4] Ministry of Tourism, Govt. of India
http://tourism.gov.in/
[5] Tourism & Hospitality Industry in India (July 2020) https://www.ibef.org/industry/tourism-hospitality-india.aspx [6] Impact of coronavirus on Indian tourism could run into thousands of crores of rupees
