By Aditya Chamaria,
The travel and tourism sector accounts for 8% of the GDP and equal volume of employment searching at the brunt this sector has been subjected to losses have reached close to Rs.200-500 crores, more than the previous two years. Amid these trials and tribulations, comes the announcement by the Finance Minister particularly targeting a section of travel and tourism stakeholders that incorporate Tourist Guides (TGs) and Tour Operators and Travel Agents (TTS). This declaration comes as recognition by the government of the challenges becoming faced by the sector. However, the gamut of corporations involved in the specific sector is expansive and stay disgruntled with the blow provided by each waves of pandemic.
Travel and tourism sector is extensively spread across a wide variety of segments which contains airlines, hospitality, IATA agents, ropeway, travel groups and so forth. A substantial section of these have staggeringly low incomes due to the fact the pandemic struck. This tends to make the require of the hour to be elevated in the quantum of assistance provided for tourism service providers, and it really should be somewhat aligned to the size of the enterprise, turnover and employment possibilities provided.
The issuing of 5 lakh free of charge visas will surely enhance morale of the stakeholders and trickle down positive effects on connected corporations, only when positioning of India as a safer tourist location gets promoted on the worldwide front. This appears a far-fetched proposition as the nation has just come out of the second wave, and worry of the third wave is lurking behind as recommended by health-related professionals. The loan positive aspects extended are set to advantage only a section of registered Travel and tourism players, but the interest prices stay a matter of concern.
The relaxation was anticipated along the lines of money payouts, or relief grants rather than loans beneath government assure. Since, currently the stakeholders are burdened with overrun fees due to closure of enterprise activities, there would only be a handful of interested to boost the burden on their finances by applying for a loan. One such connected segment becoming ropeways and cable automobiles employ a wide variety of skilled and unskilled workers on their project web pages. The ropeway sector has a lengthy withstanding demand for having the GST charges levied on ropeways to be lowered, so that it can be brought at par with other commuting choices in the travel and tourism sector. Another suggestion by the ropeway sector has been relaxation in terms of loan repayment, and hastening the course of action of funds disbursal for government aided projects.
Looking at the existing predicament of the economy and corporations, we comprehend that the authorities and the Finance Ministry are operating beneath a lot of limitations and strains. However, genuine and seasoned national players who have been timely paying their taxes rightly deserve some type of economic enhance or SOPs that assist them in uplift, and boost their possibilities to provide and sustain the employment possibilities generated and designed by them for quite a few years. This will surely make the objective of revival in the travel and tourism sector attainable and substantial.
(The author is Managing Director, Damodar Ropeways & Infra Limited. Views expressed are individual and do not reflect the official position or policy of the TheSpuzz Online.)