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Rural Tourism in INDIA


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Rural Tourism in INDIA

  1. 2. <ul><li>Why Rural Tourism </li></ul><ul><li>Sustainable Livelihood </li></ul><ul><li>Poverty Alleviation </li></ul><ul><li>Uplift of Rural Artists </li></ul><ul><li>Uplift of Rural Artisans </li></ul><ul><li>Empowerment of Women </li></ul><ul><li>Improvement in Urban and Rural Infrastructure </li></ul><ul><li>Better Image, Quality of Life and Attitude of People </li></ul><ul><li>Revival of Traditional Crafts </li></ul><ul><li>Heritage Conservation </li></ul><ul><li>Conservation of Natural Resources </li></ul>
  2. 3. <ul><li>Significant multiplier effect on the economy </li></ul><ul><ul><li>Every dollar spent by a tourist changes hands 13 times </li></ul></ul><ul><ul><li>Every hotel room generates direct employment to 3 and indirect employment to 8 persons </li></ul></ul>
  3. 4. <ul><li>FAMINE-PROOFING </li></ul><ul><li>Reducing absolute dependence on agriculture: </li></ul><ul><ul><li>Revival of traditional arts & crafts, building art, etc. </li></ul></ul><ul><ul><li>Providing ready marketing opportunities for rural artisans </li></ul></ul><ul><ul><li>Employment generation during entire year </li></ul></ul><ul><li>About half a million of artisans employed in Handicraft sector in only one State of Rajasthan </li></ul><ul><li>Handicraft Exports from one of the States, Rajasthan: </li></ul><ul><ul><li>1991-92 Rs. 2800 mn. </li></ul></ul><ul><ul><li>2000-01 Rs.43,000 mn. </li></ul></ul><ul><ul><li>2004-03 Rs. 100,000 mn. </li></ul></ul>
  4. 5. <ul><li>TOURISM creates: </li></ul><ul><li>Jobs in situ-wild life sanctuaries, historical places, beaches, mountains etc. Does not result in migration </li></ul><ul><li>Creates a large number of semi-skilled jobs for local population </li></ul><ul><li>Contributes to overall economic development of areas that would otherwise be deprived </li></ul>
  5. 6. <ul><li>EMPLOYMENT </li></ul><ul><li>Every Rs.1 million ($25,000) invested creates… </li></ul><ul><li>Tourism (directly) 47.5 Jobs </li></ul><ul><li>Tourism (indirectly) 89 Jobs </li></ul><ul><li>(sub-sector of hotels and restaurants, transportation etc.) </li></ul><ul><li>Agriculture 44.6 Jobs </li></ul><ul><li>Manufacturing 12.6 Jobs </li></ul>
  6. 7. <ul><li>TOURISM THIRD-LARGEST NET FOREX EARNER (2001-02) </li></ul><ul><li>Gem & Jewelry US$ 7.40 Bn. </li></ul><ul><li>Readymade Garments US$ 5.50 Bn. </li></ul><ul><li>Tourism US$ 3.30 Bn. </li></ul><ul><li>COMPARATIVE FOREX INFLOW (2000-01) </li></ul><ul><li>FDI $ 2.4 bn </li></ul><ul><li>Tourism $ 2.9 bn </li></ul><ul><li>*2001-02 & 2003-03 figures are not used due to the effect of Sept 11 2001 </li></ul>
  7. 8. <ul><li>Image/Visibility </li></ul><ul><li>Infrastructure </li></ul><ul><li>Tourism enabled services </li></ul><ul><li>Heritage conservation and management </li></ul><ul><li>Tourism friendly environment (non-intrusive, facilitating, safe and secure…) </li></ul><ul><li>Tourism products </li></ul><ul><li>Deepening tourist experience (repeat visits/longer stay) </li></ul>
  8. 9. <ul><li>Integrated </li></ul><ul><li>Tourist, the focal point </li></ul><ul><li>Circuit development involves creating a circular route to be taken by tourists </li></ul><ul><li>Based on features of tourist interest throughout the circuit route </li></ul><ul><li>Driven by infrastructure development </li></ul><ul><li>FDI can play a major role in inducting capital, technology, managerial skills and marketing </li></ul>
  9. 10. <ul><li>Foreign Direct Investment (FDI): </li></ul><ul><li>Augments investible resources </li></ul><ul><li>Improves technological standards </li></ul><ul><li>Improves efficiency of the domestic industry </li></ul><ul><li>Increases competitiveness </li></ul><ul><li>Introduces ‘latest’ technology </li></ul><ul><li>Improves allocative efficiency </li></ul><ul><li>Introduces higher level of technical or ‘X’ efficiency </li></ul><ul><li>Results in diffusion of technology and knowledge to local firms </li></ul><ul><li>Leads to labor turnover or ‘reverse engineering’ </li></ul><ul><li>Results in income ‘multiplying’ effect </li></ul>
  10. 11. <ul><li>Could result in cutting into the market of local firms (reduce productivity) </li></ul><ul><li>Could result in ‘financial leakages’ </li></ul><ul><ul><li>Repatriation of profits </li></ul></ul><ul><ul><li>Direct channeling of tourists’ expenditure to the home country </li></ul></ul><ul><ul><li>Remittances by expatriate workers </li></ul></ul><ul><ul><li>Imports on account of weak host country supply chain </li></ul></ul><ul><li>In international tourism, cross-border anti-competitive practices may adversely affect smaller tourism service suppliers from developing and least developed countries particularly vulnerable to anti-competitive policies </li></ul><ul><li>Employment opportunities may not increase for local population because of absence of skilled manpower </li></ul>
  11. 12. <ul><li>Policy/Regulatory Framework </li></ul><ul><li>Facilitating Institutions </li></ul><ul><ul><ul><li>Decision-support structure </li></ul></ul></ul><ul><ul><ul><li>Facilitating organizations </li></ul></ul></ul><ul><ul><ul><li>HRD institutions </li></ul></ul></ul><ul><li>Infrastructure: </li></ul><ul><ul><ul><li>Physical </li></ul></ul></ul><ul><ul><ul><li>Social </li></ul></ul></ul><ul><li>Investment Products (Opportunities) </li></ul><ul><li>Public Private Partnership mode </li></ul>
  12. 13. <ul><li>Mission for Tourism Development </li></ul><ul><li>Efforts to raise tourist arrivals </li></ul><ul><li>Aggressive domestic and international marketing </li></ul><ul><li>Organizing international tourism events </li></ul><ul><li>Awareness about and professional management of heritage and raising resources for it </li></ul><ul><li>Ensuring hassle-free and pleasant stay of tourists </li></ul><ul><li>Tourism promotion through Internet </li></ul><ul><li>Encourage Public Private Partnerships </li></ul><ul><li>Rural tourism for generating employment in rural areas </li></ul><ul><li>Eco-tourism </li></ul><ul><li>Tourism Policy </li></ul><ul><li>Comprehensive Tourism Master Plan </li></ul><ul><li>Promoting Private sector investment </li></ul><ul><li>Enhancing quality and diversifying tourism products </li></ul><ul><li>Development of tourism infrastructure </li></ul><ul><li>Aggressive marketing & publicity </li></ul><ul><li>Tourism as ‘Industry’ </li></ul><ul><li>Tourism Trade Regulation Act – to prevent possible exploitation of tourists </li></ul><ul><li>HRD for Tourism Sector </li></ul><ul><li>Upgrading Tourism Support Services </li></ul><ul><li>Improved Connectivity </li></ul><ul><li>Preservation of historical and cultural heritage and promoting Heritage Tourism </li></ul><ul><li>Promoting Adventure, Wildlife, Eco-Tourism (as applicable) </li></ul>
  13. 14. <ul><li>OBJECTIVES </li></ul><ul><li>To make the country/region “Tourist Friendly”: </li></ul><ul><li>Security for tourist, i.e. </li></ul><ul><ul><li>Not to be mobbed by beggars, touts, taxi drivers etc. </li></ul></ul><ul><ul><li>Not to be cheated-cost / quality </li></ul></ul><ul><li>Accessible/reliable Information </li></ul><ul><li>Good amenities & reliable services </li></ul><ul><li>Cleanliness & hygiene </li></ul><ul><li>Heritage conservation </li></ul><ul><li>PROVISIONS </li></ul><ul><li>Definitions </li></ul><ul><li>Regulatory </li></ul><ul><li>Anti-begging </li></ul><ul><li>Special attention to tourists by Police </li></ul><ul><li>Voluntary Adoption of law </li></ul><ul><li>Bench-marking </li></ul><ul><li>Certification </li></ul><ul><li>Third Party Inspections </li></ul><ul><li>Penalties </li></ul><ul><li>Exit Clause </li></ul><ul><li>Heritage </li></ul><ul><li>Declaring building/area/township protected heritage </li></ul><ul><li>Construction to be strictly regulated </li></ul>
  14. 15. <ul><li>Single Window Clearance System </li></ul><ul><li>A. Investment Proposals </li></ul><ul><li>B. Visa applications </li></ul><ul><li>C. Concessions to commercially use state assets </li></ul><ul><li>D. Licenses to operate tourism related activities (recurring) </li></ul>
  15. 16. <ul><li>Tourism Advisory Council </li></ul><ul><ul><li>Top political and bureaucratic executives </li></ul></ul><ul><ul><li>Membership to include tourism trade and industry representatives, experts… </li></ul></ul><ul><ul><li>To deliberates upon policy initiatives, demands of the industry, problems with the government institutions, development plans </li></ul></ul><ul><li>Tourism Regulatory Authority </li></ul><ul><ul><li>Accreditation </li></ul></ul><ul><ul><li>Benchmarking services </li></ul></ul><ul><ul><li>Grievance redress </li></ul></ul><ul><ul><li>Adjudication </li></ul></ul>
  16. 17. <ul><li>Institute of Crafts for the handicrafts sector </li></ul><ul><ul><li>Design input </li></ul></ul><ul><ul><li>Professional degree/diploma in craft & design-techno-design managers </li></ul></ul><ul><ul><li>Facilitating marketing and marketing linkage intervention </li></ul></ul><ul><ul><li>Technology intervention and product and process standardization </li></ul></ul><ul><ul><li>Capacity building at artisan level </li></ul></ul><ul><ul><li>Documentation and resource centre </li></ul></ul><ul><ul><li>IPR issues related to the handicrafts sector </li></ul></ul><ul><li>Entrepreneurship Management Institutes </li></ul><ul><ul><li>Entrepreneurship development for SMEs </li></ul></ul><ul><ul><li>Tourism specific entrepreneurship programmers for tourism enabled services </li></ul></ul>
  17. 18. <ul><li>Institutes of Hotel Management </li></ul><ul><ul><ul><li>HRD in hospitality industry </li></ul></ul></ul><ul><ul><ul><li>Managerial level courses </li></ul></ul></ul><ul><ul><ul><li>Language skills </li></ul></ul></ul><ul><li>Food Crafts Institutes </li></ul><ul><ul><ul><li>Shop floor level skill development courses </li></ul></ul></ul><ul><ul><ul><li>Language skills </li></ul></ul></ul><ul><li>Centre for Heritage Management </li></ul><ul><ul><ul><li>Capacity building amongst officials in the local governments, town planners, urban and civic bodies, government functionaries about heritage conservation and management issues </li></ul></ul></ul>
  18. 19. Public Private P-P Partnership Highways, Airports, Urban Infrastructure, Power Hotels, Travel Agencies, Tour Operators, Dealers, Handicraft Stores BOT Roads, Airports, Resorts, Heritage Properties, Circuit development, Web-portals INVESTMENT
  19. 20. <ul><ul><li>Several key sectors like water supply, sewerage, roads, capacity building and public awareness, and heritage conservation can be covered - assistance from multilateral and bilateral funding agencies </li></ul></ul><ul><ul><li>Separate budgetary provisions for tourism related activities in Forest, PWD and other related departments </li></ul></ul><ul><ul><li>Public finance and assistance from organizations such as the UNESCO and the World Monument Watch for restoration of heritage monuments </li></ul></ul><ul><li>TOURISM Infrastructure (Illustrative) </li></ul><ul><ul><li>Civil Aviation ( Airports) </li></ul></ul><ul><ul><li>Roads Up-gradation Project </li></ul></ul><ul><ul><li>Urban Infrastructure </li></ul></ul><ul><ul><li>Public facilities </li></ul></ul><ul><ul><li>Information Kiosks </li></ul></ul>
  20. 22. <ul><li>Rural Tourism is the main driver of economic growth/employment generation in more than 80 countries </li></ul><ul><li>It has the potential of addressing issues such as rural poverty, empowerment of women, strengthening the economic status of the rural artisans, earning forex etc. </li></ul><ul><li>It is necessary to create the right environment to attract FDI by establishing progressive legal-institutional framework and facilitating organizations </li></ul><ul><li>Circuit development approach yields fastest results </li></ul><ul><li>HR is the key </li></ul><ul><li>Presenting bankable projects to the investors not only increases the possibility of attracting forex but also establishes benchmarks for the future </li></ul>
  21. 23. Baramati
  22. 24. Village in Kochi Janapada Loka Ganjam, Srirangapattna Ganjam, Srirangapattna
  23. 25. Rural Sports Panjab Sravanabelagula, Hassan Belur , Hassan Turuvekere Mysore Dasara