Synopsis

India's tourism sector is shifting focus towards destination-wide partnerships. Private sector involvement is crucial for designing and managing visitor experiences. Governments must resolve land and approval issues before seeking investment. Viability and public support are essential for successful tourism projects.

ET Bureau

India's tourism ambitions have entered a new phase. It's no longer debating whether tourism matters to the economy, or whether it has enough destinations and cultural assets to attract visitors. It's also investing significantly in airports, roads and destination infrastructure. The harder question is how to make these pieces work together so that visitors choose to come, stay longer, spend more, and return.



India has used PPPs in tourism for years. Governments have invited private companies to build hotels, resorts and other facilities. But can we move from PPPs around individual tourism assets to partnerships around the destination itself? A tourist doesn't experience the tourism ministry, ASI, municipality, hotel company or state tourism department separately. They arrive at an airport, take a taxi, check into a hotel, visit monuments, eat at restaurants, and perhaps hire a local guide. If the road is poor, signage confusing, or there is nothing interesting to do after sunset, the destination simply feels disappointing.



This is where tourism PPPs need to evolve. India has already demonstrated, in aviation, what a well-designed PPP model can achieve. Delhi and Mumbai airport PPPs in 2006 brought private capital and operating capability into important public infra, which has since been replicated to other airports. Government retained important responsibilities around regulation, security and public interest, while private operators brought capital, expertise and a sharper focus on the passenger.

(Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of www.economictimes.com.)

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