1. CONCEPT PAPER FOR REVAMPING OF PAITHOM IN ITS ORGINAL FORM AT TIME OF ITS ESTABLISHMENT
The Pakistan Austrian Institute of Tourism and Hotel Management (PAITHOM) Gulibagh Swat was established in March
2001 as a joint venture of Austrian and Pakistan Governments located 19 kilometers North of Saidu Sharif on Kalam Road at an
altitude of 3581 ft, surrounded by pines and wild olive trees. The Title of land is the name of the Ministry of Tourism (Defunct). It is
stretched on an area of 59 Canals & 10 marlas out of which 57 canals was acquired from NWFP government as Rs.11.286 million in
1993 for 99 years lease 2 canals & 10 marlas was purchased under land acquisition Act in 1999 for Rs.81,027/- The Institute was built
at a cost of Rs140.50 million including foreign economic assistance of Rs.64 thousand shillings from Austria. The construction of the
project started in October 1997 & completed in May 2001. The Institute opened for over a month in March 2001 headed by Austrian
Principal who for unknown reasons left the Institute and it remained closed for five years. PAITHOM reopened in February 2006 and
the classes & training hotel remained functional from June 2006 to November 2007 and earned an income of 8 million which if
operational could have been approximately 56 million by now.
The Institute was registered under Societies Act 1860 (XXI of 1860) on 4th June, 2003 (Annex-II) as a non-for-profit training
institute to produce manpower in hospitality and tourism sector financed through a non-development government grant.
The INSTITUTE has 8 classrooms which can accommodate up to 192 students at a time and all classrooms are equipped with modern
teaching aids with a logically designed computer lab, a library for students’ research and extra educational help and information center
to provide prospective students information about the institute facilities. There is also a well equipped training KITCHEN to provide
on job training with 8 work stations which accommodate almost 40 students at a time. There are 4 prestigious student hostels fully
furnished to pamper 96 students on board.
In addition to lockers there are cabinets for students in student hostels and each room has balcony that offers a magnificent
view of valley. There is a fully carpeted common TV room where 50 students can pass their leisure time. A hall for indoor games like
table tennis courts, carom board, chess tables in each hostel. The training Hotel has been established to provide on job practical
exposure to diploma, certificate students in the relevant hotel departments. In the training hotel 26 elegantly furnished rooms with
modern attach bathrooms and toiletries. The hotel has splendid wood work in Swati cultural décor with window panes overlooking
river swat with lush green snow covered mountains view.
Training Hotel Classification 3-star
Hotel Room Type
Executive 05
Deluxe 11
Standard 10
Restaurants 03
▪ Business Center 01
▪ Lobby / Lounge 01
▪ Conference Hall 01
▪ Banquet Hall 01

2. Presently, the custom building of the institute located at Gulibagh is under Army occupation thus it is functioning through a
camp office located at Fizagat Road Swat. Despite all odds and evens, the average training output of the institute in hospitality and
tourism sector is 250 youth both male and female per year which is appreciable.
In the 2011, on reorganization of Federal Secretariat in pursuance of the Constitution (Eighteenth Amendment) Act 2010 (Act
No.X of 2010) the Pakistan Austrian Institute of Tourism and Hotel Management (PAITHOM) along with employees under the
Ministry of Tourism (Defunct) has been transferred to the Government of Khyber Pakhtunkhwa (Copy of the Notification attached as
Annexure I)
Since afterwards, this fate beaten institute is not functional because tourism education is not government’s priority so it was
turned into temporary detention cell by Home Department of KP which is still temporary after 7 long years.
Working jointly with leading organizations PAITHOM offered
1. NAVTEC (National Vocational & Technical Education Commission) sponsored three months certificate courses by the
institute in temporary campuses at Gilgit, Hunza and Chitral.
2. US Aid NGO (I LED CNFA), sponsored hospitality training in the earth quake affected areas of Manshera and Bagh.
3. MRDP (Malakand Rural Development Program) sponsored advance computer training for Gender promotion at
PAITHOM Swat
4. Offered Cooking workshop for local ladies of Swat.
5. Offered six months training in Food Service and Production PTDC Motel in Gilgit sponsored by Agha Khan Foundation
Pakistan on a fee of 1.4 million.
6. Arranged Seminar on “Hotel Management” for Managers of 1-3 star hotels in June 2007.
7. A TOT (Training of Trainers) program for hoteliers through Training Specialist from Germany was organized in June
2007.
8. Executed 4 Batches of 3 Month duration courses in PAITHOM-NAVTEC campuses at Abbottabad, Skardu, Gilgit and
Chitral in 2010-11 training 360 youth in skill for employability in Hight Altitude Porters, Front Office, Housekeeping,
F&B Production, F&B Service & Tourist Guide.
9. Trained 233 Hotel Managers of Swat District sponsored by USAID at PTDC Motel Saidu Sharif and Miandam.
10. Executed Cook & Waiters training of 80 staff of hotels at Balakot as a joint venture of PAITHOM & Sustainable Tourism
Foundation by Sustainable Foundation.
11. Executed PAITHOM-NAVTEC 2 Batches of 3 Month duration at Mingora & PTDC Motel Miandam in 2011-12 and
trained 200 youth in skill for employability courses in Front Office, Housekeeping, F&B Production, F&B Service &
Tourist Guide presently offering 3 Batch of PAITHOM-NAVTTC training at Kalam Swat.
12. PAITHOM is located between Char Bagh and Khawaza Khela and is next to Matta dominated by the militants as result the
Institute was temporarily closed from 7th October 2007 to 28th April 2008.
13. With the improvement in Law and Order situation the Institute reopened on 29th April 2008 and restarted the discontinued
diploma courses with 40 students from 17th May, 2008.

3. 14. Owing to untoward Law and Order, the Institute discontinued its classes in December 2008 and taken over by the militants
on 11th January 2009 who looted each and every furniture & fixture including electronic, electrical and wooden and
destroyed building room walls
15. Reopened on 10th June, 2009 in PTDC Tourist Information Center at Abbottabad on the directive of Prime Minister of
Pakistan.
PAITHOM offers certificate (3 to 6-month) diploma (1 year) courses and plans to offer other diploma and 2 year Associate
degree courses in Hospitality and Tourism in affiliation with Hotel Training School Salzburg or High School For Tourism, Retx,
Lower Austria.
Offered:
• Certificate in Front Office, Housekeeping, F&B Service, F&B Production, Tourist Guide, Travel Operations and High Altitude
Porter
• Diploma Hotel Management
Planned:
• Diploma Restaurant Operations
• Diploma in Travel & Tourism Management
• Diploma in Leisure, Recreation and Event Management
• Diploma in Culinary Arts
• Diploma in Resort and Parks Management
• Associate degree in Travel & Tourism Management
• Associate degree in Hospitality Management
Armed Forces and Police are still encamped in the Institute since February, 2009 till to-date however initiatives have been taken
on all concerned level for its vacation but Home Department has allowed armed forces to run a temporary detention cell in the
building. Pakistan possesses a variety of splendid man made natural tourist attractions consisting of archaeological sites, places of
historical interest, mountains, warm and pleasant climate, lofty mountains, beautiful valleys and magnificent amalgamation of
modern and ancient cultures.
Sadly the performance of tourism sector in Pakistan is not encouraging compared to the standards set by other much smaller
nations, having far inferior tourism assets.
So much so a number of factors can be attributed to the poor performance of tourism sector but according to the experts most
important to these is non-professional untrained manpower employed in our hospitality industry, not to mention direct
employment in hotel, restaurants and travel trade is incredibly high.
To provide integrated and coherent training facilities in the tourism and hospitality trades through a planned system of
education in a state of the art purpose built facility which is not available even in developed market of tourism education rather
being extremely inadequate both quantitatively as well as qualitatively as compared to PAITHOM.
The quality of labor is determined by educational and professional attainment of employees coupled with work expertise. As
such to improve productivity of tourism industry by the provision of better trained services which would ensure enhanced average
stay and higher number of repeat visits etc. Savings in foreign exchange spending which is lost when our student go abroad to get

4. specialized training in hospitality trade. Generally speaking, in this sector approximately, illiterates and those below matriculation
are as high as 73 percent and 20 percent matriculate, under-graduates and graduates. Employees with relevant professional
qualifications are almost below average. We therefore request that this purpose built building may be revamped in its original form
which is possible on cost of approximately 180 millions.
Costs for one year for training of 4 batches by the existing staff of PAITHOM
In the meanwhile we may initiate the training for the financial year 2014-15 as per following details:
SHORT TERM VOCATIONAL TRAINING UNDER TOURISM DEPARTMENT INNITIATIVE PROGRAM BY PAITHOM
AT HARIPUR, NARAN, GALYAT, & CHITRAL KHYBER PAKHTUNKHWA
S
#
Courses /
Trades.
Dura
tion(i
n
mon
ths)
Total
Practi
cal
Hours
.
Total
Theory
Hours.
Remuneration of
Instructional
Staff @ Rs.400/
per hour for
theory &
Rs.500/- for
practical
Remuneration
of non-
Instructional
Staff
(F.P/Coordina
tor and
Accountant)
@
Rs.45,000/-
per month /
center
Trg
Material
@
Rs.300/-
per
month/trai
nee
Overhead
s /
Ceremoni
es @
Rs.1000/-
per
trainee/m
onth
(Average)
Full
Uniform@
Rs.3000/-
per
trainee
/course
Testing
Certifica
tion@30
0/per
trainee
per
course
Total Cost
(Rs.)
(Column 6 -
11)
Stipend @
Rs. 2000/-
per
trainee/mont
h for
tranportatio
n
Total Cost
w ith Stipend
Tot
al
train
ees
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
1 Batch I at Chitral and Kelasha (May to July,2014)
1
Waiter 3 72 48 55,200
1,35,000
18,000 6,000 60,000 6,000 280,200 120,000 400,200 20
2
Cook 3 72 48 55,200 18,000 6,000 60,000 6,000 145,200 120,000 265,200 20
3
Receptionist 3 72 48 55,200 18,000 6,000 60,000 6,000 145,200 120,000 265,200 20
Cost/Batch
165,600
1,35,000
54,000 18,000 180,000 18,000 570,600 360,000 930,600 60
Sub Total 662400 540,000 216,000 72,000 720,000
72,00
0 2,282,400 1,440,000 3,722,400
24
0
Cost of 04 advertisements @ Rs.50,000/-
each batch 200,000 0
Cost of signboards,banner,posters@ Rs.25,000/ per batch 100,000 0
Building rent @ 50,000/- per month 600,000
Cost of one batch 1,155,600 x4=
4,622,40
0 240
Average Cost Per Student w ith Stipend. 19,260/- Average Cost Per Student w ithout Stipend. 13,260/-