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PROPOSED KARNATAKA TOURISM POLICY 2014- 2019 DRAFT COPY APRIL 2014
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  • PROPOSED KARNATAKA TOURISM POLICY 2014- 2019

    DRAFT COPY APRIL 2014

  • Department of Tourism, Government of Karnataka Page | 2

    Draft Karnataka Tourism Policy 2014-2019

    Department of Tourism, Government of Karnataka

    West Entrance, Khanija Bhavan, Bangalore - 560001

  • Department of Tourism, Government of Karnataka Page | 3

    Draft Karnataka Tourism Policy 2014-2019

    Foreword

    I am pleased to present the Karnataka Tourism Policy 2014 -19. The Policy sets a direction for the Karnataka tourism industry over the next five years. Karnataka’s thriving economy has created many opportunities across the State in the last decade. The growth of our resource and business sectors has brought more visitors to our shores and driven growth in our cities and regions. As the state progresses, Government of Karnataka is determined to boost the tourism industry in the state as well. We have to look beyond mere tourist numbers and make a strategic shift towards quality tourism. This will emphasise hospitality, service standards, innovative developments and rejuvenation of older tourist attractions, with the aim of offering visitors the experience that will commensurate with higher expectations. The Policy aims to increase the tourism sector contribution to state GDP. The Karnataka Tourism Policy 2014-19, hereby, supports existing Government policies and adopts an integrated approach for developing a sustainable tourism industry in the state, backed by relevant infrastructure, effective institutional mechanisms and enhanced capacities to deliver on these targets. I thank the Department of Tourism and other government agencies and our industry partners for their participation, support and commitment in preparation of this Policy. It is our sincere endeavor to provide the necessary enabling framework for implementation of the Policy and I request all stakeholders to join us in our venture of developing Karnataka as a vibrant, sustainable and most-favored tourism destination. R.V. Deshpande Minister for Tourism and Higher Education Government of Karnataka

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    Message

    The tourism sector has been identified as one of the key sectors propelling the country’s economic growth. Karnataka has been ranked as the 4th preferred destination among domestic tourists and 3rd preferred destination for investments in the tourism sector. It is critical to focus on increasing domestic and international visitation through a collaborative approach between Government and Industry and enhancing the capacity of the sector to stimulate regional development and prosperity of the community. The thrust areas and strategies proposed in the policy attempt to distribute the economic benefits of this industry, across a wider cross section of the society. We have already embarked on this journey towards improving the tourism potential in the state. We endeavor to achieve the objectives of the policy and position Karnataka as a visible global brand in tourism for visitors as well as investors, by encouraging development of relevant infrastructure and support mechanisms through partnerships between private sector, Government and the community. We acknowledge that the Tourism sector is strongly supported by micro-enterprise activities and hence the policy encourages creating an enabling environment for local tourism industry (SME) to operate in an ecologically and environmentally sustainable manner. Quality tourism is a goal which in itself is a work-in progress. In partnership with industry, and with public support and participation, we will make this journey a meaningful and fruitful one for all of us. Arvind Jadhav, IAS Additional Chief Secretary to Government Government of Karnataka

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    From the Director’s Desk

    The Karnataka Tourism Policy 2014-19 aims to position Karnataka as a visible global brand in tourism for visitors as well as investors by encouraging development of relevant infrastructure through partnerships between private sector, government and the community. Strategic intervention areas have been identified with a view to support local entrepreneurship and assist in creating livelihood options for all sections of the society in a non-discriminatory manner.

    The Policy provides detailed guidelines for development of tourism infrastructure, products and services, to ensure quality and minimum standards of development. Thrust is on growth of the sector in an inclusive manner, by encouraging women, backward sections of the society and local level institutions to actively participate in the development process.

    The Policy acknowledges that the tourism sector is strongly supported by the micro-enterprise activities and encourages creation of an enabling environment for the local tourism industry (SME) in an ecological and environmentally sustainable manner. The policy also lays emphasis on streamlining the application and clearance procedures and recommends that all the clearances/ approvals be availed online through the e-portal facility, to ensure transparency and faster clearances.

    It is my sincere endeavor to provide the necessary facilitation for the implementation of the Policy and I request all stakeholders to join us in this effort of making Karnataka one of the top tourist destinations in the world. G. Satyavathi, IAS Director Department of Tourism, Government of Karnataka

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    1. Introduction

    Karnataka, one of the most progressive and well developed industrial states in the country, is focused on development of trade and service sectors, through various initiatives and policies. It is home to several forts, architectural marvels and is blessed with a rich cultural heritage of over 1500 years. Other diverse visitor attractions include pilgrim sites, coastal landscape, wildlife / national parks, Eco Tourism, Wellness Tourism – Alternate Lifestyle/ Yoga, Voluntary Tourism and Adventure Tourism. Over the years, Karnataka has also emerged as a strong contender in the global market for Business Tourism. The State has been ranked as the 4th preferred destination among domestic tourists and is the 3rd preferred destination for attracting investments in the tourism sector.

    The “Karnataka Tourism Policy 2014-2019” focuses on accelerating and facilitating private investments in the tourism sector, and strives to be an outcome based initiative. The policy follows a non discriminatory approach to incentivise and promote the local community as well as private sector for contributing towards the development of tourism sector. This policy strives towards creating an enabling environment for tourism in Karnataka by addressing and providing guiding

    framework pertaining to governance structures, tourist infrastructure, manpower requirements, service standards and, safety and security of tourists. The Policy lays emphasis on creating a “quality experiences, appealing to different visitor segments”, by promoting development of various tourism products which will encourage repeat visits and increased length of stay and spends by tourists. The Policy encourages shift in attitudes - from regulation and control to empowerment, from patronage to partnership, and from linear government-lead structures to alliances with diverse stakeholders in the sector.

    2. Vision and Objectives Tourism is one of the priority sectors identified in the Government’s overall growth strategy for the state. Karnataka should aim to be in the top 2 tourism destinations in India and top 50 in the world. The vision articulated for the tourism sector is as follows: “To develop Karnataka as a dynamic, sustainable and most-favoured tourism destination - by increasing domestic & international visitations, offering high quality experience to visitors, facilitating and accelerating investments and improving livelihood opportunities at the local level”. It is estimated that the fresh employment possibilities at 4.3 million (based on global norms of 10% employment in the sector), additional revenue potential of Rs. 83,000 crs (through direct and indirect taxes) and the investments of Rs. 73,000 crores with 50% government funding (infrastructure, destination

    It is estimated that approximately 62 billion and 7 million domestic & foreign tourists respectively will visit Karnataka in the year 2015.

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    Draft Karnataka Tourism Policy 2014-2019

    and mobility) is needed for providing a fillip to Tourism in the State by 2024. To achieve the vision and set the direction for the tourism industry over the next five years, the following objectives are outlined: Objectives

    Accelerate and facilitate private investments and promoting entrepreneurship in the tourism sector.

    Motivate and enthuse entities from different segments of the society with substantial incentives to contribute towards development of the sector.

    Higher growth in visitations and duration of stay of different visitor segments, through improved infrastructure, products and services.

    Improve ‘total quality’ experience to visitors, from before arrival till after departure, by

    providing better access to information, greater choice in destinations, compendium of services for eating, shopping, participative safe and hassle-free experience at various travel stages.

    Promote effective inter-departmental co-ordination to streamline processes and increase sector performance.

    Enhance tourism industry skills, knowledge and professionalism to provide visitors a pleasant experience and promote local employment opportunities.

    3. Strategic Framework To realize the core objectives of the Policy and achieve the larger vision outlined for the sector, the Government of Karnataka has identified the following strategic intervention areas:

    Facilitate improvement of Infrastructure, Tourism Products and Services Position Karnataka as a preferred tourism destination at state, national and international levels Create institutional structures for effective implementation of the policy Streamline processes for obtaining clearances Offer attractive incentives for various tourism products and services Prioritise Human Resources Development & Capacity Enhancement

    The Government endeavours to pursue these strategic intervention areas by encouraging local

    entrepreneurship, promoting private sector participation, identifying additional means of raising finances

    and supporting the interventions through its own budgets and resources. The thrust will be on:

    Promoting Public Private Partnerships (PPP), creation of SPVs, Joint Ventures, and other appropriate structures.

    Encouraging corporate groups to invest in tourism projects related to community involvement and rural tourism through their CSR initiatives.

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    Draft Karnataka Tourism Policy 2014-2019

    Leveraging existing financing options extended by multi-lateral agencies, viz., the Asian Development Bank, the World Bank, etc.

    Efficient utilization of funds available under state sponsored schemes and central government schemes.

    Exploring innovate financing mechanisms through capital markets.

    A set of actions have been identified for each of the strategic intervention areas, which are elaborated

    in the following sections. Detailed guidelines for undertaking activities in the identified areas including

    the incentives and concessions offered by the Government are elaborated in the Policy.

    A. Improve Infrastructure, Tourism Products and Services To achieve growth in visitor numbers and duration of stay, the government shall pursue the actions highlighted below, some of which are already being implemented by the tourism department and other departments in the state.

    Assist and facilitate development & maintenance of basic tourism infrastructure and facilities at destinations

    Promote new and innovative tourism products and services Improve connectivity infrastructure Improve access and delivery of tourism information services

    Basic tourism infrastructure and facilities at destinations

    Tourist Accommodation

    o Promote quality accommodation including homestays. The definition of homestays includes heritage homestays developed at various locations, including Hampi. The Homestays Policy/ Guidelines have been strengthened to encourage registered homestays across the State. A mechanism for inspection, certification and licensing of the homestays are also defined.

    o Encourage heritage buildings to convert into heritage hotels.

    o Facilitate development of accommodation for all customer segments through serviced apartments, cottages, camping sites, dormitories, youth hostels & yatrinivas at tourist destinations.

    At destination and wayside amenities

    o Promote wayside amenities including gender distinct toilets, cafeteria, mini store/ pharmacy and an information / souvenir booth at intervals of about 50 km along connecting roads leading to major tourist destinations.

    o Where possible dry toilet pits and a separate washing with water/drainage facility will be promoted. Wayside amenities especially benefitting local communities will be encouraged.

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    Draft Karnataka Tourism Policy 2014-2019

    o Retail for local produce, crafts, adult literacy progammes, access to internet etc. will be encouraged, wherever possible. Initiatives for physical manifestation of brand perceptions will be promoted, eg. silk.

    o Amenities including parking at the entrance of major tourist destinations will be promoted to regulate vehicular movement, with special access for the physically challenged. Thrust would be given to provide information centers/ kiosks at all major tourist destinations. Accredited tourist Guide services will also be promoted.

    o Community kitchens and cluster of public conveniences at rural locations will be encouraged, largely through private entrepreneurs/ franchisees.

    New and innovative tourism products and services

    Theme Parks

    o World-class exhibition and convention complexes through appropriate PPP framework will be promoted in Bangalore, Mysore and other important cities in the state.

    o Private enterprise, in collaboration with international exhibition companies, will be encouraged to establish these exhibition complexes backed by Government support and incentives.

    o Theme and Entertainment parks will be promoted in Bangalore and other places in Karnataka.

    Heritage Zones and Clusters

    o Better utilization of existing market and research data will be made to identify and develop the heritage zones and clusters.

    o Heritage zones will be earmarked around the sites of Hampi, Pattadakal, Badami, Aihole, Bidar, Bijapur, etc. and development will be promoted in accordance with the master plans prepared.

    o Efforts would also be made to include more heritage sites into UNESCO’s World Heritage Sites list for bringing in significant international recognition and tourist traffic through preparation of integrated Site Management Plans, proposals to Government of India etc. The Government will pursue applying for other heritage sites like the Hoysala region, Srirangapatna and the Deccan Sultanate architecture.

    o Integrated Tourism Management Plans will be encouraged for cities like Mysore, Bijapur and Bidar, as well as other smaller towns with heritage value.

    o To improve the maintenance of existing tourist destinations, adoption/ management/ sponsorship programs will be promoted to create ownership between locals/corporate for monuments, temples and destinations.

    o To increase length of stay of visitors, development of tourist villages near existing attractions, will be encouraged.

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    Draft Karnataka Tourism Policy 2014-2019

    o Strategies for places like Melkote, Somnathpur, Shravanbelagola, Talakad and the entire Western Ghats will be formulated to encourage overnight stays with compelling experiences and participative opportunities.

    Marine/ Coastal Tourism

    o Cruises of international standards would be promoted in Mangalore and Karwar, especially through private sector participation.

    o Coracles, catamarans and traditional sail boats plus houseboats will also be promoted at identified stretches.

    Eco Tourism

    o Eco Tourism will be promoted as a core tourism activity in close collaboration with the Forest Department.

    o An eco-tourism zone stretching from Coorg to Karwar will be identified and a chain of nature camps will be encouraged and promoted as Jungle Trails in the zone.

    Health & Wellness

    Thrust would be provided to promote Karnataka’s traditional systems of medicine and wellness like Yoga, Ayurveda, Unani, Siddha, etc. and efforts would be made to position the state as a unique destination for spiritual healing and wellness tourism.

    Adventure Tourism

    The Government will promote adventure tourism activities in Karnataka, under three heads - Aero Adventure, Aqua Adventure and Land Adventure by collaborating with national and international adventure tourism and activity operators.

    Weekend Tourism

    The Government will actively promote destinations as weekend getaways. Tourist destinations in close proximity to major urban centers in the state will be identified and promoted as clusters, where visitors can reach in shorter travel time and enjoy a 2 day stay with engaging activities.

    State border Tourism

    o The Government will encourage tourism activities along the bordering areas of the state. Intensive marketing and promotion activities to increase visitations from neighbouring states would be given a special thrust.

    o Access infrastructure to these destinations shall be developed by collaborating with other state agencies/ departments, to enable a smooth and comfortable commute.

    Health Care Tourism

    o The potential for Karnataka as a quality health care destination would be unleashed and initiatives for attracting tourists from outside the state and country for availing benefits of advanced medical treatment facilities will be encouraged.

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    Draft Karnataka Tourism Policy 2014-2019

    o Bangalore and Mangalore will be promoted as health care tourism clusters, and private sector participation in development activities will be encouraged.

    Urban Tourism

    o Four main urban centres are identified in the state for tourism development - Bangalore (population: 8,499,399), Mysore (population: 983,893), Hubli-Dharwad (population: 943,857) and Mangalore (population: 619, 664).

    o The Government will promote activities that create positive experiences for the tourists in these urban areas through development of tourist precincts, parks, race courses, golf courses, museums, galleries, shopping malls etc.

    Heritage walks and Nature Trails

    o Trekking, nature walks and heritage walks will be actively promoted and attractive incentive packages would be offered.

    Connectivity infrastructure

    Transport and Aviation o The Government will endeavour to increase entry points and improve direct access to

    different destinations across the State for international, interstate and intrastate visitors by encouraging development of new routes, expanding existing airport capacity, etc.

    o Development of low cost terminals, use of smaller aircrafts & airfields and ties with flying clubs will be encouraged.

    Last mile connectivity o Improving last mile road/ rail connectivity to tourist destinations will be a priority area and

    Government will co-ordinate with other government agencies/ departments in facilitating these development activities.

    o Intermodal transport connectivity such as link from railway stations and bus terminals to tourist destinations where required, will be developed in collaboration with respective government agencies/ departments.

    Coastal transport system/ Cruise tourism o The transport system along the coastline will be strengthened to move along traditional

    ports and also promote cruise tourism

    Zero pollution modes of transport o Environment friendly vehicles having a minimum impact on the ecology of the destination

    will be promoted.

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    Draft Karnataka Tourism Policy 2014-2019

    Access and delivery of tourism information and other services The government will endeavour to provide a ‘Total Quality Experience’ to the visitors – before arrival till after departure, by promoting the following initiatives:

    Tourist Amenities o Amenities like information kiosks, trained guides/ audio guides, interpretation centres, green

    police, medical aid, access to physically handicapped at all major tourist destinations will be encouraged for development.

    Information, Communication & Technology (ICT) o Initiatives will be encouraged to provide adequate and reliable information about

    destinations, accommodations, itinerary, events, online bookings and other offerings through various modes such as online web portals, tourism offices, booklets, flyers, brochures, maps etc.

    o Provision of audio guides, mobile technology, wi-fi at major tourist destinations will be encouraged. Technology interventions for social networking and data management will be supported.

    o Apart from promoting a digital marketing and information collateral, the Government will support other initiatives for branding and promotion such as development of information and interpretation centers at tourist destinations.

    Provision will be made to have a dedicated fund for technology development under the State Budget awarded for tourism projects.

    Safety and security of visitors o The Tourism Police Force “Green Police”, will be established for visible policing in key

    tourist destinations for the safety and security of visitors.

    o A Disaster Management Plan is proposed to be developed for major tourism destinations to brace for any eventuality. A dedicated helpline number will be launched exclusively for the convenience of tourists.

    o Access for the physically challenged will be promoted at all major tourist destinations.

    B. Position Karnataka as a preferred tourism destination at state, national and international levels

    Prioritising activity in key markets (local, domestic and international) and across market segments is

    critical to achieve the objectives set out in this Policy. The Government shall undertake the following

    actions to position Karnataka as a preferred tourism destination within the state, and at national and

    international levels.

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    Increase branding, marketing and promotional activities across different visitor groups Create a Calendar of Events to support marketing and promotional activities Develop data/ information repositories

    Branding, Marketing and Promotional Activities

    “One State, Many Worlds” – Karnataka’s tourism tagline o The tagline will be the identity of the state.

    o An integrated marketing approach will be adopted to ensure that relevant events are communicated to target markets and can be factored into downstream product development and in-bound tour offerings.

    o Other promotional activities through conferences, road shows, craft bazaars, fairs and festivals and other exchange programs will be undertaken.

    Calendar of Events o A Five-Year calendar of events across Karnataka will be drawn up, including 4-5 hallmark

    events that will be organized annually.

    o Various regional and indigenous tourism products will be offered as a part of the Event Calendar to integrate business with leisure tourism.

    o Major event zone processes will be simplified on trading hours, liquor licenses etc. to cater to visitor expectations.

    Tourism Industry Profile & State Tourism Database Repository o The Department of Tourism will endeavour to create a ‘Tourism Industry Profile’, to aid in

    planning and decision-making for both industry and government. The profile will be created based on quality research (quantitative & qualitative assessment) studies.

    o The Department will also strive to set up a State Tourism Database Repository, publish an annual state of the industry report and organise annual industry outlook conferences.

    C. Create institutional structures for effective implementation of the

    Policy

    To implement the strategic interventions and undertake various activities outlined in the Policy, it is

    critical to establish appropriate institutional structures for implementation. The Government is

    committed to the following actions in this regard:

    Implementation of the Policy through highest level of coordination between various stakeholders, across the infrastructure sector.

    Promote a partnership model that recognises the distinct roles of government and industry, to realize the vision.

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    Streamline existing governance structures to enable better governance and accountability of the stakeholders involved.

    Proposed Institutional Framework

    An institutional framework comprising a Council at the Government level and a 100% Government Company under the egis of Department of Tourism is proposed to be set up. The key objectives of the Council would be to provide necessary inputs on planning and implementation of tourism projects, while setting the overall direction and guidelines for development of tourism in the State.

    The Council shall assist in prioritizing, master planning and evolving implementation frameworks for projects envisaged under the tourism sector. It will facilitate infrastructure creation and management through formation of Infrastructure Company and strengthen and empower existing state level entities such as JMA, HWHAMA, District Tourism Councils.

    The Council will also provide necessary regulatory measures in terms of registration of

    tourism facilities and activities to ensure quality facilities and services to the tourists visiting the State.

    The mandate of the Company would be to expedite development of infrastructure facilities in the tourist areas. Certain function-specific entities are also proposed to be set up at a State/district/local level to focus on all aspects of tourism including planning/strategizing and implementation in a phased manner.

    The Government realizes the need for closer interaction with other stakeholders (including local small and medium entrepreneurs). To facilitate interactions, a well defined legal framework is being proposed under Karnataka Tourism Trade Industry facilitation Act.

    D. Human Resources Development & Capacity Enhancement It is estimated that about 4.3 million jobs will be created in the sector by 2020, but the skills required for these jobs requires to be strengthened. To address the skill gaps and provide better employment opportunities for the people, the Government shall undertake the following actions:

    Provide training to different stakeholder groups as well as support community through customized capacity building programs, exposure visits, vocational courses, short-term online courses and other tourism related programs.

    Promote Vocational Training Institutes at strategic locations, offering a range of courses.

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    Develop curriculum for job-oriented courses which can be offered to school/ college drop outs.

    Training / Capacity Building

    Karnataka Tourism Human Resources Strategy o The Government will collaborate with the expertise and resources available with

    international tourism training organizations towards developing a Karnataka Tourism Human Resources Strategy. Training will be imparted to government officials, guides, hospitality staff, including homestay hosts, tour operators, SMEs, etc.

    Licensing & Certification of tour guides o A new category of skilled guides will be trained that will cater to the upper echelon of

    tourists.

    o Licensing and certification of tour guides in order to standardize their services (through a competency test) and accreditation of travel agents will be promoted.

    Capacity enhancement at local level o Education and enhancement of competencies for local communities in the surroundings of a

    tourism clusters will be encouraged, as a tool to catalyse economic opportunities from tourism activities.

    Tourism Education & HR Policies

    Professional courses o The Department of Tourism will support various institutions in Karnataka that offer

    programs in tourism and tourism related programs, including language centres such as Alliance Francaise, Max Mueller Bhavan, etc. Contact classes will be encouraged to be held in affiliated educational/ training institutions. Award of Degrees and Diploma Certificates from accredited institutions and universities will be facilitated.

    o Institutions will be encouraged to include sustainable tourism development as part of their curriculum. Assistance will be provided in curriculum development for a comprehensive range of programs.

    o Support would be extended for professional development training programs on sustainable tourism curriculum design and implementation for current secondary and post-secondary institution teaching staff as well as future teachers in this sector. Training assistance will be extended for public agencies and industry officials at the State and local levels of government and industry.

    Vocational Skills Training & HR Policies o The industry is likely to generate an additional employment possibility of up to 4.3 million in

    the next few years. Keeping this in mind, the Government will introduce at least one Government aided and sponsored vocational training centre in each major city in Karnataka with special emphasis on training for Tourist Guides and support staff in housekeeping, front office, reception, etc. across all tourist destinations.

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    o The Government will also consider liberal policies and rules under contract labour act to ensure availability of larger work force in non-core areas of hospitality, such as security, kitchen stewarding, maintenance and cleaning services. Technology improvement can allow on-line compliances and effective implementation to various mandatory licenses like, such as labour, social security (ESIC & PF), excise and food safety.

    o The Government will focus on developing a strong human resources policy that enables the community to seek employment in the hospitality and tourism sector.

    o All major Tourism Projects will make provisions for additional space for accommodating HR related activities to meet the training needs.

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    4. Incentives & Concessions Incentives The Government is committed to improving the tourism industry in the state by adopting an inclusive and balanced regional development approach. Taluks and tourist destinations in the state have been classified into five different categories, in terms of their backwardness (based on the Nanjundappa Committee Report, 2002) and tourist arrivals. The classification of taluks/ tourist destinations is provided in Annexure 1. Further, activities/ services in the tourism industry that qualify for availing incentives have been identified and broadly classified under the following categories: (a) Tourism Infrastructure and Products, (b) Tourism Equipment, (c) Other tourism infrastructure (signages, toilets, charging points, etc), (d) Training & Human Resources Development and (e) Media and Publicity. Incentives to encourage participation of private sector and local entrepreneurs have been structured, based on the classification of taluks/ tourist destinations, type of infrastructure, tourism products & services to be developed and nature of developers/ promoters/ entrepreneurs and institutions, Details of incentives are provided in Annexure 2. Procedure for Registration and Applying for Incentives

    The steps to be followed by an Applicant seeking incentives for any tourism related project, is explained below.

    Eligibility

    The Applicant may be an individual, a firm, company, trust, NGO, government agency etc. Incentives would be given based on the type of project, location, size, scale, compliance to requirements as mentioned in the Guidelines provided in this Policy and approval by the respective Approving Authority(s) set up by the Department of Tourism etc.

    Tourism Project

    Tourism Project shall include, but not be limited to facilities such as development of tourist infrastructure, and activities such as eco tourism, adventure tourism, coastal tourism, soft skill training and capacity building etc. Projects which include renovation, upgradation, improvement etc shall also be eligible. (Refer Annexure 2 for project categories and incentives. However, the list provided here is tentative; the Applicant will need to check the e-portal for the comprehensive list of Tourism Projects that are eligible for availing incentives from the Department of Tourism).

    Guidelines for development

    Please refer to the guidelines enclosed with this Policy for development of various tourism related infrastructure and services.

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    Procedure

    o Online Registration through the e-portal set up by Department of Tourism for this purpose. Fee for registration would be as prescribed in the e-portal (the registration fee shall vary depending on the nature of project).

    o Filling in of the requisite forms in the e-portal with required information on the details of the project. Details of the project would include project costs, with a break-down of the capital costs.

    o Uploading of necessary documents (such as project report, approvals and permits from relevant authorities, licenses, certificate of incorporation/ registration, land related documents etc)

    o The applicant would be provided with a provisional registration number.

    o The application would be then evaluated by the Approving Authority set up by DoT. The Approving Authority would be assisted by the Independent Rating Agency for evaluation of the proposals.

    o The Approving Authority would decide on the eligibility and quantum of incentive that could be offered to the applicant.

    o Upon request by the Approving Authority, further details, if required, may need to be furnished by the applicant

    o The applicant would then be informed whether or not incentive is being provided and in case it is being provided, then the quantum of incentive shall be made known.

    o If approval is accorded by the Approving Authority, the Applicant would then be given a registration number along with details of the incentive disbursement

    o The applicant would also need to apply subsequently for accreditation, which would be carried out by an independent rating agency appointed by the Department of Tourism.

    o If at any time it is found that the Applicant is not complying/ adhering to norms/ standards as set out by the rating agency/ guidelines provided by DoT/ any other Government Agency under which the activity/ facility is being carried out, the registration shall be immediately cancelled, and all benefits extended by DoT such as enlisting on the website etc shall be withdrawn with immediate effect.

    o The applicant shall submit monthly, quarterly and annual reports to DoT (through the e-portal), the formats of which shall be prescribed in the e-portal.

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    Concessions

    The Government of Karnataka offers the following concessions for developing tourism projects in the state.

    Registration charges

    o Registration charges shall be applicable as provided in the Industrial Policy 2009 -14 and as amended from time to time.

    Stamp Duty

    o 50% exemption on stamp duty for investment below Rs. 50 crores. o 75% exemption on stamp duty for investment of Rs. 50 crores and above. o 75% exemption on stamp duty on projects of Rs. 10 crores in category B and C towns. o 75% exemption on stamp duty on projects over Rs. 5 crores in Category E towns. (Refer Appendix 1 for Category of towns)

    Land Conversion Fee

    o Conversion fee shall be applicable as provided in the Industrial Policy 2009 -14 and as amended from time to time.

    Entertainment Tax

    o 100% exemption for all cinema theatres newly constructed, including any new I-Max or Multiplex theatres situated within the limits of the local planning authority other than

    the Corporation of the City of Bangalore, for a period of three years is allowed as

    provided under Notification No. FD: 48:CEX: 96 dated 30-10-1996 and subject to the

    conditions stipulated therein.

    o Entry Tax as exempted in the Industrial Policy 2009-14.

    Luxury Tax

    o No Luxury Tax shall be payable on room rent of Rs. 2000/- and below per day.

    Motor Tax

    o Exemption to Tourist Vehicles from Motor Vehicle Tax will be provided for 2 years, on designated tourist routes.

    Note: All tax concessions will be as 1per notifications issued under the relevant Acts and subject to such conditions and procedures as prescribed in the notification.

    1 Tourism infrastructure shall include theme parks, convention / exhibition centers, hotels, restaurants, homestays, wayside amenities, heli-tourism, marine tourism, information kiosks, interpretation centers, tourist centers and other related infrastructure to be approved by the Committee set up under the Department of Tourism.

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    5. Annual Awards The Department of Tourism shall announce annual awards under various development categories. All applicants registered with DoT shall be eligible to apply for the awards. The sectors considered eligible for incentives under the Karnataka Tourism Policy 2014-19 will cover tourism projects in the Private Sector, State Public Sector/Joint Sector and the Co-operative Sector. The proposed tourist facilities shall be open to all and shall not be confined to the exclusive use of any particular individual or members of any group or region or have any such other restrictions.

    6. Targets & Timelines The strategic interventions and corresponding action points would be implemented over the 5 year policy period. The timelines for implementation are indicated in the table below: Short Term (1-3 Years)

    Position Karnataka as a preferred tourism destination at state, national and international levels. Undertake extensive marketing of tourism products through web, road shows, electronic and print media will be undertaken.

    Develop 5 year Event Calendar which would be synchronized with other themes and Business Events to attract tourists and extend duration of stay of visitors.

    Feasibility studies for establishing demand for various tourism facilities, such as mine tourism, marine Tourism, etc will be undertaken.

    An institutional framework comprising Board at the Government level and a 100% Government Company under the egis of Department of Tourism is proposed to be set up.

    Tie-ups with training institutes and capacity building programs for creating skilled manpower for the sector will be undertaken.

    Develop weekend tourism products across the state and tourism activities in and around Bangalore.

    Identify/map culture and heritage assets and precincts and prepare a plan for protection and management of the same.

    Develop interpretation materials for promotion of tourism in both digital and print medium.

    Medium Term (3-5 Years)

    Designing of tour packages based on specific themes, preferably those that involve the geographical boundary and heritage of more than one State, will be undertake.

    The nomination of trans-border World Heritage Sites would be further encouraged. Development of new destinations on wellness, tribal tourism, monsoon tourism, voluntary

    tourism unexplored beaches, sports etc. will be undertaken. New concepts for weekend travel and Caravan Tourism will be promoted.

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    Incentives and technical assistance will be provided to SMEs in the tourism sector, notably local artisans and cottage industries producing high quality local handicrafts.

    Long Term (5 - 10 Years)

    Assess brand value and impact achieved and accordingly plan improvements. Development of large scale, flagship and iconic projects. Generate a strong industry profile for targeted marketing and promotional activities.

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    Annexure 1: Classification of Talukas/ tourist destinations

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    Sr. No

    Taluka Destinations Identified for Tourism

    Category2 Tourist Arrivals3

    A B C D E High Medium Low

    BAGALKOT 

    1  Badami  Banashankari, Badami, Pattadkal, Mahakoota, Shivayogi Mandira 

                   

    2  Bagalkot                   

    3  Bilagi                   

    4  Hungund  Kudalasangama, Aihole                 

    5  Jamkhandi                   

    6  Mudhol                   

    BANGALORE RURAL 

    7  Devanahalli  Devanahalli , Tippu's Birth Place & Fort                  

    8  Doddaballapur  Ghati Subramanya, Kannaswadi, Madure Temple 

                   

    9  Hosakote                    

    10  Nelamangala  Shivagange, Vittal Mandir                 

    BANGALORE URBAN 

    11  Anekal  Bannerghatta National Park, Muthyalamaduvu 

                   

    12 13 14 

    Bangalore North Bangalore South Bangalore  East  

    Lalbagh, Cubbon Park, Bull Temple, Tippu Palace, Fort , Someshwara Temple, ISKON,Vishweshwariah  Museum 

                   

    BELGAUM 

    15  Athani                    

    2 Category is based on "Report of the High Power Committee for Redressal of Regional Imbalances in Karnataka", Dr. Nanjundappa Committee Report, 2002 A- Most Backward B- More Backward C- Backward D- Not Backward E- Well Developed 3 Tourist Arrival at Taluka-level is grouped into High, Medium, Low High: greater than or equal to 5 lakh tourists annually Medium: between 50,000 and 5 lakh tourists annually Low: lower than 50,000 tourist annually

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    Sr. No

    Taluka Destinations Identified for Tourism

    Category2 Tourist Arrivals3

    A B C D E High Medium Low

    16  Bailahongala  Kittur, Sri Sogala Kshetra, Degam/Degavi 

                   

    17  Belgaum  Ramthirtha, Rajahansaghad, Navilutheertha 

                   

    18  Chikkodi                    

    19  Gokak  Gokak Falls, Godachinamalki Falls, Doopadal 

                   

    20  Hukkeri  Ghataprabha                 

    21  Khanapur  Halasi                 

    22  Raibag                    

    23  Ramadurg  Shabari Valley, Nidasosi                 

    24  Soundatti  Yallama Temple Savadatti, Malaprabha Dam 

                   

    BELLARY 

    25  Bellary  Bellary Fort, Kenchanagudda, Nagalakere, Sanganakallu 

                   

    26  H. B. Halli                    

    27  Hadagalli  Kuruvathi, Mailara                 

    28  Hospet  Hampi, Tungabhadra Dam, Daroji Bear Park  

                   

    29  Kudlugi  Kotturu, Ujjini                 

    30  Sandur  Thorangal, Ramgad                 

    31  Siriguppa                    

    BIDAR 

    32  Aurad                    

    33  Basavakal  Basavakalyana, Narayanapura                 

    34  Bhalki  Karanja Project                 

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    Category2 Tourist Arrivals3

    A B C D E High Medium Low

    35  Bidar  Bidar, Bidar Fort,Gurudwara, Papanashini 

                   

    36  Humnabad  Humnabad, Jalasangi                 

    BIJAPUR 

    37  Basavana Bagewadi 

    Almatti Dam, Basavana Bagewadi                 

    38  Bijapur  Golgumbaz & Ibrahimroza, Bijapur, Toravi 

    A  B    D  E       

    39  Indi       B  C  D  E       

    40  Muddebihal       B  C  D  E       

    41  Sindgi       B  C  D  E       

    CHAMRAJNAGAR 

    42  Chamarajnagar  Kanakagiri, Chikhole Reservoir, Karivaradaraja Betta 

                   

    43  Gundlupet  Bandipur, Himavad Gopala Swamy Hills, Therakanambi 

                   

    44  Kollegal  Male Mahadeshwara Hills, Kollegala, Hogenekal Falls 

                   

    45  Yelandur  Biligiri Rangana Hills   A  B  C    E       

    CHIKKABALLAPURA 

    46  Bagepalli  Devaragudipalli Shree Venkataramana 

                   

    47  Chikka‐ballapura  Nandi Hills, Nandi village, Muddenahalli,Rangastala, Sir M. Visvesvaraya Birth Place & Museum 

                   

    48  Chintamani  Muragamalla, Kaiwara                 

    49  Gowribidanur  Vidhurashwatha, Minakanagurki                 

    50  Gudibande  Adinarayana Betta                 

    51  Sidlaghatta  Byrasagara Tank                 

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    Category2 Tourist Arrivals3

    A B C D E High Medium Low

    CHIKMAGLURE 

    52  Chikmaglure  Mullayyanagiri, Bababudangiri, Hiremagalur, Muthodi Game Sanctuary, Belvadi 

                   

    53  Kadur  Ayyanakere                 

    54  Koppa  Hirekodgi                 

    55  Mudigere  Kalasa, Horanadu, Kudremukh, Angadi, Ballalarayanadurga  

                   

    56  N. R. Pura                    

    57  Sringeri  Sringeri, Kigga                 

    58  Tarikere  Kemmannagundi, Amruthapura Bhadra Project 

                   

    CHITRADURGA 

    59  Challakere  Thipperudraswamy Temple Nayakanahatti, Doddagudda 

                   

    60  Chitradurga   Chitradurga Fort, Chitradurga, Chandravalli, Jogimatti 

                   

    61  Hiriyur  Vanivilas Sagar, Marikanive                 

    62  Holalkere  Ganesha Temple                 

    63  Hosadurga  Halu Rameshwara                 

    64  Molakalmuru     A  B  C  D  E       

    DAKSHINA KANNADA 

    65  Bantwal                    

    66  Belthangadi  Dharmastala, Venur, Jamalabad Kote (Nasasimagad) 

                   

    67  Mangalore  Surathkal, Panambur, Ullal, Someswara, Kateelu, Moodabidre, Thaneer Bhavi, Pilikula Nisargadham 

                   

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    A B C D E High Medium Low

    68  Puttur  Bendretheertha, Shiradi, Uppinangadi, Mahalingeswara Temple 

                   

    69  Sulya  Kukke Subramanya Temple                 

    DAVANAGERE 

    70  Channagiri  Shanthisagara                 

    71  Davanagere  Kondajji Kere                 

    72  Harihara  Harihara, Harihareshwara Temple                 

    73  Harpanahalli  Bagali,Kalleswara                 

    74  Honnali  Santahebennure Pushkerni /Uchangi Durga, Thirtharameswara  

                   

    75  Jagalur                    

    DHARWAD 

    76  Dharwad  Sadhankeri Lake, Nrupathunga Betta Sadanakere 

                   

    77  Hubli  Siddaroodha Matha, Vorooru, Sanjivini Park 

                   

    78  Kalghatagi                    

    79  Kundagol                    

    80  Navalgund  Navilgunda                 

    GADAG 

    81  Gadag  Lakkundi, Gadag, Beeshma Kere  A  B  C    E       

    82  Mundargi  Singatalur  A        E       

    83  Naragund  Naragund  A        E       

    84  Ron     A        E       

    85  Shirahatti     A        E       

    GULBARGA 

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    Category2 Tourist Arrivals3

    A B C D E High Medium Low

    86  Afzalpur  Ganagapura, Datta Temple                 

    87  Aland  Aland                 

    88  Chincholi  Chandrampalli Dam, Chincholi                 

    89  Chittapura  Khaja Bandhe Nawaz Darga, Chayabhagawathi, Sannathi,Kalgi 

                   

    90  Gulburga  Gulbarga                 

    91  Jevargi  Jevargi                 

    92  Sedam  Sedam,Malkhed                 

    HASSAN 

    93  Alur                    

    94  Arakalgod  Ramanathpur, Gorur Dam                 

    95  Arasikere  Haranahalli                 

    96  Belur  Belur, Halebidu                 

    97  Channarayapatna  Shravanabelagola                 

    98  Hassan  Hassan, Mosale Hosahalli, Shanthigrama, Koramangala, Doddagaddavalli 

                   

    99  Holenarsipura  Sri Ramadevara Betta                 

    100  Sakeleshpura  Maragunda                 

    HAVERI 

    101  Byadagi  Kaginele                 

    102  Hanagal  Hanagal                 

    103  Haveri                    

    104  Hirekerur  Aabalur                 

    105  Rannebennur                    

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    Category2 Tourist Arrivals3

    A B C D E High Medium Low

    106  Savanur                    

    107  Shiggaon  Shiggaon, Shishunala,Bada                 

    KODAGU 

    108 

     

    Madikeri  Madikeri, Abbey Falls, Talacauvery, Nalkanadu Palace, Bhagamandala, Omkareshwara temple, Kakkabbe Shri Iguthappa 

    A  B  C    E       

    109  Somwarpet  Cauvery Nisargadhama, Harangi Dam, Kudige, Chattahalli Farm, Nisargadhama 

    A  B  C    E       

    110  Virajpet  Nagarahole National Park, Irurpu, Kundada Betta 

    A  B  C    E       

    KOLAR 

    111  Bangarapet  Kotillinga, Kammasandra, Kurudumandale, K.G.F., Bethamangala 

                   

    112  Kolar  Antaragange                 

    113  Malur  Avani, Bangara Tirupathi                 

    114  Mulbagal  Mulbagal, Budikote                  

    115  Srinivasapura                    

    KOPPAL 

    116  Gangavathi  Anegundi, Kanakagiri                 

    117  Koppal  Koppal, Hulligemma Temple, Gavi Matha 

                   

    118  Kushtagi                    

    119  Yelburga  Ittigi, Kuknur                 

    MANDYA 

    120  Krishnarajpet  Daria Daulath, Hosaholalu, Kikkeri, Hemagiri Falls, Basaralu 

                   

    121  Maddur  Kokkarebellur                 

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    A B C D E High Medium Low

    122  Malavalli  Shivanasamudra                 

    123  Mandya  Hanumanthanagara Eco Park, Gaanadalu, Hosabudanur 

                   

    124  Nagamangala  Adhichunchanagiri                 

    125  Pandavapura  Melkote, Thonnurkere                 

    126  Srirangapattna   Srirangapatna, Nimishamba Temple, Brindavan Gardens, Ranganathittu, Hulikere, Krishnarajasagara dam 

                   

    MYSORE 

    127  H.D.Kote  Kharapura                 

    128  Hunsur  Gomatagiri                 

    129  K.R. Nagar                    

    130  Mysore  Mysore, Mysore Palace & Art Gallery, Chamundi Hills, Sri Chamarajendra Zoological Gardens 

                   

    131  Nanjanagud  Nanjanagud, Suthoor Matha, Sri Kanteshwara Temple  

    A    C  D  E       

    132  Periyapatna  Bilakuppe Golden Temple  A  B    D  E       

    133  T Narasipur  Talakad, Somanathapur, Gargeshwari  A    C  D  E       

    RAICHUR 

    134  Devdurga  Gabbur          E       

    135  Lingasugar  Hatti, Mudagal Maski          E       

    136  Manavi  Manvi, Kallur          E       

    137  Raichur  Raichur, Naradagudda, Malliabad          E       

    138  Sindanur  Ambadevi Matt          E       

    RAMANAGARA 

    139  Chennapatna  Chennapatna, Doddamalur          E       

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    A B C D E High Medium Low

    140  Kanakapura  Mekedatu (Sangama), Kabbalam Temple 

            E       

    141  Magadi  Savandurga, Thippagondanahalli,Kootagallu, Magadi 

            E       

    142  Ramanagara  Ramanagara, Kanva, Revana Siddeshwara Hills, 

            E       

    SHIMOGA 

    143  Bhadravati  Bhadravathi, Bhadra Dam,          E       

    144  Hosanagara  Nagara, Humcha, Kodachadri          E       

    145  Sagara  Ikkeri, Jog Falls, Varadamoola, Keladi          E       

    146  Shikaripura  Thogarsi, Uduthadi, Ballegavi          E       

    147  Shimoga  Thyaverekopa Lion safari, Sakrebylu Elephant Camp, Gajnuru Dam, Kudli, Gajanur 

            E       

    148  Soraba  Chandragutti, Soraba, Gudvi Bird Sanctuary 

            E       

    149  Thirthahalli  Thirthahalli, Kuppali Kuvempu Museum, Kavaledurga, Augumbe, Manda Gadde Bird Sanctuary, Kundadri, Maricha Mrugavade,  Ambutheertha 

            E       

    TUMKUR 

    150  Chikkanaya‐kanahalli 

    Theertha Ramalingeshwara Swamy ‐ Vajra, Handanakere 

            E       

    151  Gubbi  Gubbi          E       

    152  Koratagere  Goravanahalli Laxmi, Koratagere, Siddara Betta, Theeta Reservoir 

            E       

    153  Kunigal  Yediyur, Yediyuru Siddalingeshwara Temple, Markonahalli 

            E       

    154  Madhugiri  Nidagal                 

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    A B C D E High Medium Low

    155  Pavagada  Pavagada                 

    156  Sira  Sira                 

    157  Tiptur  Araluguppa                 

    158  Tumkur  Siddaganga, Kaidal, Devarayana Durga                 

    159  Turuvekere  Turuvekere                 

    UDUPI 

    160  Karkala  Karkala, Karkala Jaina Basadi, Someshwara Beach 

                   

    161  Kundapura  Kundapura, Maravanthe, Kollur, Annejari 

                   

    162  Udupi  Udupi, Malpe, St. Mary’s Island, Kapu Kudlu Thirtha, Sri Krishna Temple 

                   

    UTTARA KANNADA 

    163  Ankola  Ankola                 

    164  Bhatkal  Murudeshwara, Bhatkal                 

    165  Haliyal  Haliyal, Dandeli, Dandeli Wild Life Sanctuary, Ambika Nagara Power Station  

                   

    166  Honnavar  Basavaraj Durga, Idugunji, Kasarkod Beach 

                   

    167  Joida(Supa)  Ulavi, Ramanagar, Castle Rocks                 

    168  Karwar  Karwar, Kurmgad, Anjadev Island, Devagad 

                   

    169  Kumta  Gokarna, Yana, Dhareswara, Om Beach, Rabindranath Tagore & Deva Bagha Beach 

                   

    170  Mundagod  Ativari Bird Sanctuary                 

    171  Siddapur  Siddapura, Uncholi Falls                 

    172  Sirsi  Sirsi, Sonda, Banavasi                 

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    A B C D E High Medium Low

    173  Yellapur  Yellapur,  Sathodi and Magodu Falls, Lalguli Falls 

                   

    YADGIR 

    174  Shapura  Sleeping Buddha                 

    175  Surpura  Narayanapur Dam, Bonala Bird Sanctuary, Rajavenkatappa Nayaka Kote and Palace 

                   

    176  Yadgir  Yadgir Fort, Sannakere                 

      Totals    39  40  38  54  5  43  46  87 

    Development of Bangalore Urban Areas

    The areas within the BBMP and BDA limits will be considered as a low priority area with few tax benefits. The Government will extend support on the project specific basis and the extent of concessions will be decided by the Approving Authority.

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    Annexure 2: Proposed Incentives for development of

    Tourism Infrastructure, Products and Services

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    Draft Karnataka Tourism Policy 2014-2019

    Incentives are proposed for development of the following infrastructure and services:

    1. Tourism Infrastructure and Products: Tourism Infrastructure and Products is divided into three groups: Tourism Infrastructure, Information Infrastructure and Tourism Products. Projects in tourism infrastructure such as Caravan Parks, Home stays, Wilderness and Eco-tourism parks, etc will come under Tourism Infrastructure. Projects in Information Infrastructure which relate to development of information centres, kiosks and interpretation centres will also be eligible for incentives. Lastly tourism products such as Heritage trails, festivals, fairs, etc. will also be covered under this head as Tourism Products.

    2. Tourism Equipment: Incentives will be given on equipment purchased for certain tourism projects such as adventure tourism, caravan parks, rural tourism, wilderness and eco-tourism, and Healthcare. Entities developing projects in these specific areas will be eligible for both project based incentives under "Tourism Infrastructure and Products" as well as for the related equipment purchases. For eg. a project for developing eco-tourism will be eligible for a project based incentive (construction of lodges, restaurants, forest cottages, etc.) and for equipment incentives (safari vehicles, rock climbing equipment, binoculars, etc.)

    3. Other Infrastructure: Incentives will be provided for complementary infrastructure that will improve the quality of tourism in the state. Infrastructure such as pay and use toilets, signage, internet services, etc at tourist destinations will be covered under this head.

    4. Training & Human Resource Development: Incentives will be given for Training & HRD infrastructure. This incentive will be given to entities developing vocational training centres / institutes. Incentives will also be provided to entities developing course material, workshops, vocational courses and curriculum relevant to the tourism sector.

    5. Media and Publicity: Print and electronic media such as websites, coffee table books, etc. are eligible for incentives.

    All talukas in the state are classified into five categories based on the Dr. Nanjundappa Committee Report - "Report of the High Power Committee for Redressal of Regional Imbalances in Karnataka", 2002. Projects / activities falling in talukas which are classified as Category A (most backward) will be given highest incentives and priority. Further, in order to provide impetus to locations where tourist footfalls are low all talukas have been grouped into three groups- "Low " ,"Medium " and "High" based on annual tourist inflow for the year 2012. Talukas falling under the "Low" group are those with low annual tourist inflow and will be given the highest incentives. Please refer to Annexure 1 to determine the Category and Group of the Taluka in which the project is to be developed. In Annexure 1 destinations have been identified for tourism in certain talukas and projects in these destinations will be given priority. Please also note that priority will be given to projects that are in backward areas and have presently low tourist inflow at the discretion of the Government. Priority for developing projects in tourism will be given to Community Based Organisations such as NGOs, Self Help Groups, Trusts, Non Profit Organisations and Associations with the aim to bring in local involvement and knowledge base. Corporates that partner with community based organisations for projects will also be given priority in development activities.

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    To determine the eligible incentives identify the Category and Group (Annexure 1) of the taluk under which the project will be developed. For example if an Eco-tourism project is in Bhalki Taluk, Bidar it is under Category A under "Low" Group and can avail an incentive of 45% on total project cost (TPC) excluding land subjected to a maximum of Rs.45 lakhs. Further, additional incentives are provided for women, backward sections of the society and local level institutions. Therefore, a women entrepreneur in this example will be eligible to avail an incentive of 53% on total project cost (TPC) excluding land subjected to a maximum of Rs. 53 Lakhs. Since equipment for Eco- tourism is also eligible for incentives, the corresponding incentives in that category can also be availed.

  • Department of Tourism, Government of Karnataka Page | 37

    Draft Karnataka Tourism Policy 2014-2019

    Activity / Infrastructure identified for incentives 

    Tourist a

    rrivals4  Incentives based on different categories of Locations / 

    tourism Destinations1 (Iloc) Additional incentives, based on profile of promoters/ developers/ entrepreneurs/ institutions (can be availed in addition to Iloc) 

    A  B  C  D  E  SC  ST  Women  Women SC/ ST 

    CBOs, NGOs, Foundations, SHG, Trusts, NPOs, Associations 

    1. Incentives fo

    r tou

    rism infrastructure and

     Produ

    cts  

    A. Infrastructure 

    • Heritage Hotels • Heritage Building, Museums. • Caravans/Caravan parks • Yatri Niwas and Dormitories • Home stays • Youth Hostels • Wayside Amenities • Wellness Centre • Theme Parks • Wilderness and eco‐tourism 

    Parks. • Rural tourism • Healthcare centre • Others‐> Forest Rest house, 

    cottages, lodge, nature camps, etc 

    High 

    Incentive will be calculated as a percentage of Total Project Cost (TPC) excluding land  and subjected to a maximum amount 

    35 %  of TPC (max. of Rs. 35 lakhs) 

    30 %  of TPC (max. of Rs. 30 lakhs)

    25 %  of TPC (max. of Rs. 25 lakhs)

    20 %  of TPC (max. of Rs. 20 lakhs)

    15 %  of TPC (max. of Rs. 15 lakhs)

    Iloc  + 5 % of TPC  and maximum increased by Rs. 5 lakhs 

    Iloc  + 8 % of TPC  and maximum increased by Rs. 8 lakhs

    Iloc  + 8 % of TPC  and maximum increased by Rs. 8 lakhs

    Iloc  + 12 % of TPC  and maximum increased by Rs. 12 lakhs

    Iloc  + 5 % of TPC  and maximum increased by Rs. 5 lakhs

    Med

    ium  40 %  of 

    TPC (max. of Rs. 40 lakhs)

    35 %  of TPC (max. of Rs. 35 lakhs)

    30 %  of TPC (max. of Rs. 30lakhs)

    25 %  of TPC (max. of Rs. 25 lakhs)

    20 %  of TPC (max. of Rs. 20 lakhs)

    Low 

    45 %  of TPC (max. of Rs. 45 lakhs)

    40 %  of TPC (max. of Rs. 40 lakhs)

    35 %  of TPC (max. of Rs. 35 lakhs)

    30 %  of TPC (max. of Rs. 20 lakhs)

    25 %  of TPC (max. of Rs. 25 lakhs)

    B. Inform

    ation Infrastructure 

    • Information Center • Kiosks • Interpretation Center 

    High 

    Incentive will be calculated as a percentage of Total Project Cost (TPC) excluding land  and subjected to a maximum amount 

    35 %  of TPC (max. of Rs. 35 lakhs) 

    30 %  of TPC (max. of Rs. 30 lakhs)

    25 %  of TPC (max. of Rs. 25 lakhs)

    20 %  of TPC (max. of Rs. 20 lakhs)

    15 %  of TPC (max. of Rs. 15 lakhs)

    Iloc  + 5 % of TPC  and maximum increased by Rs. 5 lakhs 

    Iloc  + 8 % of TPC  and maximum increased by Rs. 8 lakhs

    Iloc  + 8 % of TPC  and maximum increased by Rs. 8 lakhs

    Iloc  + 12 % of TPC  and maximum increased by Rs. 12 lakhs

    Iloc  + 5 % of TPC  and maximum increased by Rs. 5 lakhs

    Med

    ium 

    40 %  of TPC (max. of Rs. 40 lakhs)

    35 %  of TPC (max. of Rs. 35 lakhs)

    30 %  of TPC (max. of Rs. 30lakhs)

    25 %  of TPC (max. of Rs. 25 lakhs)

    20 %  of TPC (max. of Rs. 20 lakhs)

    4 Refer to Annexure 1 to determine the category and tourist arrival profile (High, Medium, Low ).

  • Department of Tourism, Government of Karnataka Page | 38

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    Activity / Infrastructure identified for incentives 

    Tourist a

    rrivals4  Incentives based on different categories of Locations / 

    tourism Destinations1 (Iloc) Additional incentives, based on profile of promoters/ developers/ entrepreneurs/ institutions (can be availed in addition to Iloc) 

    A  B  C  D  E  SC  ST  Women  Women SC/ ST 

    CBOs, NGOs, Foundations, SHG, Trusts, NPOs, Associations 

    Low 

    45 %  of TPC (max. of Rs. 45 lakhs)

    40 %  of TPC (max. of Rs. 40 lakhs)

    35 %  of TPC (max. of Rs. 35 lakhs)

    30 %  of TPC (max. of Rs. 20 lakhs)

    25 %  of TPC (max. of Rs. 25 lakhs)

    C. Tou

    rism Produ

    cts 

    • Trails – Nature, heritage, Experiential tour in rural tourism 

    • Concerts, theatre, Festival, Fairs 

    • Light and Sound Shows  

    High 

    Upto  to a limit of Rs.15 lakhs  

    Upto to a  limit of Rs. 10 lakhs  

    Upto to a limit of  Rs.10 lakhs  

    Upto to a limit of  Rs. 5 lakhs  

    Upto to a limit of Rs.5 lakhs  

    Limit increased by Rs. 2 lakhs  

    Limit  increased by Rs. 3 lakhs 

    Limit  increased by Rs. 4 lakhs 

    Limit  increased by Rs. 6 lakhs 

    Limit increased by Rs. 2 lakhs 

    Med

    ium 

    Upto to a limit of Rs.20 lakhs  

    Upto  to a limit of Rs.15 lakhs  

    Upto to a limit of Rs.15 lakhs  

    Upto  to a limit of Rs.10 lakhs  

    Upto to a limit of  Rs.10 lakhs  

    Low 

    Upto to a limit of  Rs.25 lakhs  

    Upto to a limit of Rs.20 lakhs  

    Upto to a limit of   Rs.20 lakhs  

    Upto to a limit of  Rs.15 lakhs  

    Upto to a limit of  Rs.15 lakhs  

    Equi

    pme

    nt  • Adventure tourism 

    • Wilderness and eco tourism.  High

     

    Incentive will be calculated as a percentage of Equipment Cost and subjected to a maximum amount. 

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    Draft Karnataka Tourism Policy 2014-2019

    Activity / Infrastructure identified for incentives 

    Tourist a

    rrivals4  Incentives based on different categories of Locations / 

    tourism Destinations1 (Iloc) Additional incentives, based on profile of promoters/ developers/ entrepreneurs/ institutions (can be availed in addition to Iloc) 

    A  B  C  D  E  SC  ST  Women  Women SC/ ST 

    CBOs, NGOs, Foundations, SHG, Trusts, NPOs, Associations 

    • Rural tourism • Healthcare • Safari vehicles and boats. 

    35 %  of Equipment Cost  (max. of Rs. 35 lakhs) 

    30 %  of Equipment Cost  (max. of Rs. 30 lakhs)

    25 %  of Equipment Cost  (max. of Rs. 25 lakhs)

    20 %  of Equipment Cost  (max. of Rs. 20 lakhs)

    15 %  of Equipment Cost  (max. of Rs. 15 lakhs)

    Iloc  + 5 % of Equipment Cost  and maximum increased by Rs. 5 lakhs 

    Iloc  + 8 % of Equipment Cost  and maximum increased by Rs. 8 lakhs

    Iloc  + 8 % of Equipment Cost    and maximum increased by Rs. 8 lakhs

    Iloc  + 12 % of Equipment Cost    and maximum increased by Rs. 12 lakhs

    Iloc  + 5 % of Equipment Cost    and maximum increased by Rs. 5 lakhs

    Med

    ium 

    40 %  of Equipment Cost  (max .of Rs. 40 lakhs)

    35 %  of Equipment Cost  (max. of Rs. 35 lakhs)

    30 %  of Equipment Cost  (max. of Rs. 30lakhs)

    25 %  of Equipment Cost  (max. of Rs. 25 lakhs)

    20 %  of Equipment Cost  (max. of Rs. 20 lakhs)

    Low 

    45 %  of Equipment Cost  (max. of Rs. 45 lakhs)

    40 %  of Equipment Cost  (max. of Rs. 40 lakhs)

    35 %  of Equipment Cost  (max. of Rs. 35 lakhs)

    30 %  of Equipment Cost  (max. of Rs. 20 lakhs)

    25 %  of Equipment Cost  (max. of Rs. 25 lakhs)

    3. Other 

    Infrastructure 

     

    • Signage • Cell phone charging points • Pay and use toilets • Drinking water points • Internet Services  Hi

    gh 

    Incentive will be calculated as a percentage of Asset Cost excluding land  and subjected to a maximum amount. 

    35 %  of Asset Cost  (max. of Rs. 35 lakhs) 

    30 %  of Asset Cost  (max. of Rs. 30 lakhs)

    25 %  of Asset Cost  (max. of Rs. 25 lakhs)

    20 %  of Asset Cost  (max. of Rs. 20 lakhs)

    15 %  of Asset Cost  (max. of Rs. 15 lakhs)

    Iloc  + 5 % of Asset Cost  and maximum increased by Rs. 5 lakhs 

    Iloc  + 8 % of Asset Cost  and maximum increased by Rs. 8 lakhs

    Iloc  + 8 % of Asset Cost    and maximum increased by Rs. 8 lakhs

    Iloc  + 12 % of Asset Cost    and maximum increased by Rs. 12 lakhs

    Iloc  + 5 % of Asset Cost    and maximum increased by Rs. 5 lakhs

  • Department of Tourism, Government of Karnataka Page | 40

    Draft Karnataka Tourism Policy 2014-2019

    Activity / Infrastructure identified for incentives 

    Tourist a

    rrivals4  Incentives based on different categories of Locations / 

    tourism Destinations1 (Iloc) Additional incentives, based on profile of promoters/ developers/ entrepreneurs/ institutions (can be availed in addition to Iloc) 

    A  B  C  D  E  SC  ST  Women  Women SC/ ST 

    CBOs, NGOs, Foundations, SHG, Trusts, NPOs, Associations 

    Med

    ium 

    40 %  of Asset Cost  (max .of Rs. 40 lakhs)

    35 %  of Asset Cost  (max. of Rs. 35 lakhs)

    30 %  of Asset Cost  (max. of Rs. 30lakhs)

    25 %  of Asset Cost  (max. of Rs. 25 lakhs)

    20 %  of Asset Cost  (max. of Rs. 20 lakhs)

    Low 

    45 %  of Asset Cost  (max. of Rs. 45 lakhs)

    40 %  of Asset Cost  (max. of Rs. 40 lakhs)

    35 %  of Asset Cost  (max. of Rs. 35 lakhs)

    30 %  of Asset Cost  (max. of Rs. 20 lakhs)

    25 %  of Asset Cost  (max. of Rs. 25 lakhs)

    4. Training  and

      HRD

     

    A. Infrastructure creation in 

    Training

     and

     HRD

     

    • Setting up Vocational Training Institute. 

     *The Institute must provide  training and imparting skills in areas such as training guides, culinary skills, hotel management, tourism facilitate management, etc. 

    High 

    Incentive will be calculated as a percentage of Total Project Cost (TPC) excluding land  and subjected to a maximum amount 

    35 %  of TPC (max. of Rs. 35 lakhs) 

    30 %  of TPC (max. of Rs. 30 lakhs)

    25 %  of TPC (max. of Rs. 25 lakhs)

    20 %  of TPC (max. of Rs. 20 lakhs)

    15 %  of TPC (max. of Rs. 15 lakhs)

    Iloc  + 5 % of TPC  and maximum increased by Rs. 5 lakhs 

    Iloc  + 8 % of TPC  and maximum increased by Rs. 8 lakhs

    Iloc  + 8 % of TPC  and maximum increased by Rs. 8 lakhs

    Iloc  + 12 % of TPC  and maximum increased by Rs. 12 lakhs

    Iloc  + 5 % of TPC  and maximum increased by Rs. 5 lakhs

    Med

    ium 

    40 %  of TPC (max. of Rs. 40 lakhs)

    35 %  of TPC (max. of Rs. 35 lakhs)

    30 %  of TPC (max. of Rs. 30lakhs)

    25 %  of TPC (max. of Rs. 25 lakhs)

    20 %  of TPC (max. of Rs. 20 lakhs)

  • Department of Tourism, Government of Karnataka Page | 41

    Draft Karnataka Tourism Policy 2014-2019

    Activity / Infrastructure identified for incentives 

    Tourist a

    rrivals4  Incentives based on different categories of Locations / 

    tourism Destinations1 (Iloc) Additional incentives, based on profile of promoters/ developers/ entrepreneurs/ institutions (can be availed in addition to Iloc) 

    A  B  C  D  E  SC  ST  Women  Women SC/ ST 

    CBOs, NGOs, Foundations, SHG, Trusts, NPOs, Associations 

    Low 

    45 %  of TPC (max. of Rs. 45 lakhs)

    40 %  of TPC (max. of Rs. 40 lakhs)

    35 %  of TPC (max. of Rs. 35 lakhs)

    30 %  of TPC (max. of Rs. 20 lakhs)

    25 %  of TPC (max. of Rs. 25 lakhs)

    B. Curric

    ulum

     / Training Materials / 

    Worksho

    ps 

    • Developing vocational courses 

    • Preparation of vocational based course material 

    • Conducting trainings and Workshops 

     *Must provide  training and imparting skills in areas such as guides, culinary skills, hotel management, tourism facilitate management, etc. 

     

    Upto to a limit of Rs.25 lakhs  Limit increased by Rs. 2 lakhs  

    Limit  increased by Rs. 3 lakhs 

    Limit  increased by Rs. 4 lakhs 

    Limit  increased by Rs. 6 lakhs 

    Limit increased by Rs. 2 lakhs 

    5. M

    edia and

      Pu

    blicity

    A. Prin

    t Med

    ia 

    • Tourist Maps and Guides • Coffee Table books • Brochures and Pamphlets 

     

    Upto to a limit of Rs.25 lakhs Limit increased by Rs. 2 lakhs  

    Limit  increased by Rs. 3 lakhs 

    Limit  increased by Rs. 4 lakhs 

    Limit  increased by Rs. 6 lakhs 

    Limit increased by Rs. 2 lakhs 

  • Department of Tourism, Government of Karnataka Page | 42

    Draft Karnataka Tourism Policy 2014-2019

    Activity / Infrastructure identified for incentives 

    Tourist a

    rrivals4  Incentives based on different categories of Locations / 

    tourism Destinations1 (Iloc) Additional incentives, based on profile of promoters/ developers/ entrepreneurs/ institutions (can be availed in addition to Iloc) 

    A  B  C  D  E  SC  ST  Women  Women SC/ ST 

    CBOs, NGOs, Foundations, SHG, Trusts, NPOs, Associations 

    B. Electronic Med

    ia  • Documentaries 

    • Travel shows • Audio Guides • Blogs and Website    

    Upto to a limit of Rs.25 lakhs Limit increased by Rs. 2 lakhs  

    Limit  increased by Rs. 3 lakhs 

    Limit  increased by Rs. 4 lakhs 

    Limit  increased by Rs. 6 lakhs 

    Limit increased by Rs. 2 lakhs 

  • Department of Tourism, Government of Karnataka Page | 43

    Draft Karnataka Tourism Policy 2014-2019

    GUIDELINES FOR DEVELOPMENT OF VARIOUS TOURISM RELATED INFRASTRUCTURE AND

    SERVICES (Please note that the guidelines are only indicative in nature and set out the minimum requirements. Consent of Approving Authority(s) is essential for availing incentives and concessions under the Policy)

  • Department of Tourism, Government of Karnataka Page | 44

    Draft Karnataka Tourism Policy 2014-2019

    Table of Contents

    1) GUIDELINES FOR DEVELOPMENT OF HOMESTAYS IN KARNATAKA ........................................... 45 2) GUIDELINES FOR RURAL TOURISM ............................................................................................................ 64 3) GUIDELINES FOR DEVELOPMENT AND PROMOTION OF CARAVAN TOURISM ..................... 66 4) GUIDELINES FOR RE-USE OF HERITAGE BUILDINGS IN KARNATAKA ......................................... 72 5) GUIDELINES FOR DEVELOPING HEALTH-CARE TOURISM ................................................................ 74 6) GUIDELINES FOR ECO TOURISM ................................................................................................................. 77 7) GUIDELINES FOR DEVELOPING ADVENTURE TOURISM & RELATED ACTIVITIES IN

    KARNATAKA ........................................................................................................................................................ 81 8) GUIDELINES FOR DEVELOPING THEME PARKS ...................................................................................... 93 9) GUIDELINES FOR DEVELOPING WAYSIDE AMENITIES ........................................................................ 96 10) GUIDELINES FOR YATRI NIWAS AND DORMITORIES ....................................................................... 101 11) GUIDELINES FOR DEVELOPMENT OF YOUTH HOSTELS .................................................................. 104 12) GUIDELINES FOR DEVELOPING INTERPRETATION CENTRES, TOURIST INFORMATION

    CENTRE AND KIOSKS .................................................................................................................................... 107 13) GUIDELINES FOR MEDIA, COMMUNICATION AND PROMOTIONAL ACTIVITIES ................. 112 14) GUIDELINES FOR EVENT BASED TOURISM ............................................................................................ 114 15) GUIDELINES FOR HERITAGE TRAILS AND NATURE TRAILS ........................................................... 117 

  • Department of Tourism, Government of Karnataka Page | 45

    Draft Karnataka Tourism Policy 2014-2019

    1) Guidelines for development of Homestays in Karnataka

    a. Introduction

    Tourism is currently the largest and fastest growing industry in the world. The industry has emerged as one of the leading sectors that have enhanced the contribution to Karnataka’s economy. Karnataka has been witnessing a tremendous influx of international and domestic tourists that has added to foreign exchange earnings. Therefore, increased demand for accommodations coupled with need for elevated authentic experience has led to the concept of Homestay gaining importance.

    The Department of Tourism (DoT), Government of Karnataka (GoK) had introduced a new scheme for Homestays called ‘Athithi’ to supplement the demand of accommodations at various tourist destinations in the State of Karnataka. These Homestays provide standard facilities with minimal investment and encourage the locals to earn an extra income. Since then DoT has been making a sustained effort to promote the concept of Homestays under the brand name “Athithi” in various tourist destinations in districts such as Kodagu, Chikkmanglur, Uttar Karnataka, Hassan, Mysore, Udupi etc. They have also published information in this regard to the tourists through their Website. Under the Scheme the Homestays are minimally regulated and treated as a non-commercial activity.

    The guidelines set out herein provide a clear procedure for registration/classification/re-classification of the Homestays, mandatory facilities required in a Homestay, incentives available to the Homestay owners etc.

    b. Eligibility

    Eligible applicants are required to fulfil the following conditions to submit applications for the purpose of registration of Homestays: i. The owner or promoter of the Homestay unit should be the owner of the property

    where the Homestay is functioning/ proposed to function. ii. The owner or promoter of the Homestay unit should be physically residing with

    his/her family in the same Homestay unit or within the premises/campus in close proximity. Individuals or families who own a house of good quality located within the state and can make available, a maximum of 5 (five) rooms with toilet facilities exclusively for tourist accommodation, and who agree to provide basic minimum infrastructure standards and assured quality in service.

    iii. A Police Clearance certificate has been obtained from Local Station House Officer. iv. At least one of the family members residing in Homestay units should be able to

    communicate in English.

  • Department of Tourism, Government of Karnataka Page | 46

    Draft Karnataka Tourism Policy 2014-2019

    v. The minimum floor area of each room in the Homestay should be atleast 120 sq ft for double bedroom and atleast 100 sq ft for single bedroom.

    vi. The minimum size of each bathroom in the Homestay should be 30 sq ft. vii. There should be an easy access from the road by a foothpath/mule track to the

    Homestay and should be in good condition. viii. Residents should not carry out any commercial activity of tours and travel, sight-

    seeing, transport, handicrafts or any other similar activity in or from the Homestay unit.

    ix. The proposed Homestay is not registered as a Hotel or commercial establishment; and not enjoying any benefits under any of the State or Central Policy/Act/ Guidelines.

    c. Minimum Requirements Application for Registration of Homestay Units

    i. Any Homestay owner who fulfils the above eligibility conditions may submit an

    application for registration, to the Director, Department of Tourism, specifying the category applied for, in a prescribed format (Annex A) along with the application fee, registration fees and the documents specified in Clause 5.

    The application fee and the registration fee payable for Gold Guest Class and

    Silver Guest Class category are provided in the table below:

    Category of Classification

    Application Fee (in Rs.)

    Registration Fee (in Rs)

    For Gold Guest Class 3000 15000

    For Silver Guest Class 2000 10000

    ii. The application fee and registration fee should be paid separately by the applicant in the form of a Demand Draft (DD) in favour of Commissioner, Department of Tourism, Government of


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