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LATEST NEWS : DECLINE IN FOREIGN TOURIST: IATO SOUNDS ALARM FOR 2025

TTT NEWS NETWORK

NEW DELHI | 21 JULY 2025

We are all aware that India has the world’s most diverse number of cultures, ethnic groupings and simply diversity by way of unmatched variety, but, India is facing a stark reality, inbound tourism (FTAs) is not merely slow but stagnating. Other markets, such as Thailand, Vietnam, and the UAE, have managed to recover relatively quickly and hope to achieve levels of business over and above what existed pre-COVID, Ingram’s FTAs in India, are flat at best, or below pre-COVID levels. FTAs in India lagged behind 10% in the first half of 2024 vs. the first half of 2019. The concern with FTAs in India lies in the fact that international travel around the globe has already returned (+5%) above their pre-COVID levels and the percentage differences in comparison to outbound travel out of India, which managed over a 12% CMD, provides evidence of the contrary dimension to the balance of tourism equation within the country.

The visa and entry processes have been one of the largest deterrents to travel. The introduction of e-visas has improved upon a small sliver of facilitating conversions, but when one considers group travel, MICE or any long-haul flight with bureaucratic steps, it is wholly inadequate. As we rely on the seamless day to day travel conduct of the travel process, acknowledge that complex entry norms from physical and geographic constraints have always been an impediment. In respect of global perceptions around travel, this has been fragile as dictated by much publicity following a terror attack in Jammu. Surely the fear that the travelling public will have some apprehension about travelling to India as a few isolated events will not reflect the realities of the majority of travel to India. However, perceptions of travel often supersede the realities of travel. An investment in overt and consistent communication, undertaking safety audits and proactive safety focused programs targeting confident destinations is warranted.

Mr. Ravi Gosain, President of the Indian Association of Tour Operators (IATO), stated that “India’s inbound tourism is a sleeping giant. We have the product, the history, the culture and diversity, but we just do not have unity and a global banner. To compete, we need a better partnership between the private and the public sector, ways to simplify visa regulations, and a strong push in marketing to allow India to get back on the world stage and be considered one of the top travel destinations. The time to act is not tomorrow; it is now.”

According to IATO, the way forward is based on being collaborative in all areas where applicable. Re-establishing schemes such as Marketing Development Assistance (MDA) would help empower small and medium sized operators to compete in a global arena. Establishing an “India Tourism Board” would help ensure better decision making and intervention which would have India lined up as a tourist destination rather than each state and ministry making separate decisions and playing by their own rules. We need to invest in infrastructure that is worthy of international destination tourism. Particularly, for those circuits that receive high numbers of visitors. Finally, but not least, we need to launch “Incredible India 2.0” nationwide, based on powerful storytelling, appropriate digital outreach channels, and collaboration with global influencer(s), so India can be redefined and re-enter into the hearts and minds of the travellers of the world. India has everything it needs to become a world leading travel destination; heritage, culture, nature, spirituality and hospitality. We just need to have immediate policy commitment, cohesive brand positioning, and execution in the marketplace or these opportunities will be wasted. Now is the time to awaken the sleeping giant of India’s inbound tourism, not just for the benefit of the economy, but for the benefit of India’s global positioning.

About IATO:

The Indian Association of Tour Operators (IATO), established in 1982, is the apex body for inbound tourism in India. With over 1,900 members across the country, IATO represents all segments of the tourism industry and serves as a vital link between tour operators, government bodies, and international travel associations. It actively works to promote India as a global tourist destination, advocating for policy reforms, facilitating international travel, and upholding high standards of professionalism and ethics in the industry

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