IATO calls on the government to establish a ₹1,000 crore board to enhance foreign tourist arrivals.

On Monday, the Indian Association of Tour Operators (IATO) requested Prime Minister Narendra Modi to allocate ₹1,000 crore immediately under the Incredible India initiative and to establish an India Tourism Board under the Prime Minister’s guidance to boost foreign tourist arrivals (FTAs) in the nation.

This request comes after IATO’s ongoing worries regarding India’s gradual rebound in FTA figures relative to 2019 levels. IATO, as the leading organization for inbound tour operators, works alongside the government and various hospitality stakeholders on policy issues concerning FTAs. The organization stated that these actions are vital with the tourist season approaching in a few months and may enhance incoming tourism this financial year.

As per the India Tourism Data Compendium 2024, 9.52 million FTAs were noted in 2023 amid a continuing recovery. In contrast, 10.93 million FTAs were noted in 2019, prior to the pandemic.

“When global trade is facing unprecedented disruptions due to tariff wars and geopolitical shifts, tourism exports remain unaffected by such constraints,” said IATO President Ravi Gosain in a statement. “Unlike goods, India’s tourism export—foreign tourists spending in India—is non-tariff based and brings direct foreign exchange earnings into the country. This makes inbound tourism a stable, sustainable, and immediate contributor to India’s current account, foreign exchange reserves, employment generation, and overall trade balance. Yet, regretfully, the country is lagging in efforts to attract foreign tourists.”

Gosain added that IATO has already taken steps such as simplifying visa processes, expanding the scope of e-visas, fast-tracking group tourist visas, and proposing visa fee waivers for select countries to enhance FTA numbers.  He further emphasized the need to incentivize international airlines and air charters to improve connectivity to key tourism circuits, especially in Tier-II and Tier-III destinations. “This sector alone has the potential to contribute 1 to 2 per cent to the GDP. Therefore, this engine needs to fire,” he said.