SUSTAINABLE TOURISM IN INDIA

1 SUSTAINABLE . TOURISM IN INDIA . INITIATIVES & OPPORTUNITIES. TITLE SUSTAINABLE TOURISM in INDIA - Initiatives & Opportunities YEAR December 2017. AUTHORS Strategic Government Advisory, YES BANK and CII. No part of this publication may be reproduced in any form by photo, photoprint, microfilm or any COPYRIGHT. other means without the written permission of YES BANK Ltd. This report is the publication of YES BANK Limited ( YES BANK ) and Confederation of Indian Industry (CII) and so YES BANK and CII have editorial control over the content, including opinions, advice, statements, services, offers etc. that is represented in this report. However, YES BANK and CII will not be liable for any loss or damage caused by the reader's reliance on information obtained through this report. This report may contain third party contents and third-party resources. YES BANK and CII take no responsibility for third party content, advertisements or third party applications that are printed on or through this report, nor does it take any responsibility for the goods or services provided by its advertisers or for any error, omission, deletion, defect, theft or destruction or unauthorized access to, or alteration of, any user communication.

2 Further, YES BANK and CII do not assume any responsibility or liability for any loss or damage, including personal injury or death, resulting from use of this report or from any content for communications or materials available on this report. The contents are provided for reference only. The reader understands that except for the information, products and services clearly identified as being supplied by YES BANK and CII, it does not operate, control or endorse any information, products, or services appearing in the report in any way. All other information, products and services offered through the report are offered by third parties, which are not affiliated in any manner to YES BANK and CII. DISCLAIMER The reader hereby disclaims and waives any right and/ or claim, they may have against YES. BANK and CII with respect to third party products and services. All materials provided in the report is provided on As is basis and YES BANK and CII make no representation or warranty, express or implied, including, but not limited to, warranties of merchantability, fitness for a particular purpose, title or non infringement.

3 As to documents, content, graphics published in the report, YES BANK and CII make no representation or warranty that the contents of such documents, articles are free from error or suitable for any purpose; nor that the implementation of such contents will not infringe any third party patents, copyrights, trademarks or other rights. In no event shall YES BANK and CII or its content providers be liable for any damages whatsoever, whether direct, indirect, special, consequential and/or incidental, including without limitation, damages arising from loss of data or information, loss of profits, business interruption, or arising from the access and/or use or inability to access and/or use content and/or any service available in this report, even if YES BANK and CII are advised of the possibility of such loss. Maps depicted in the report are graphical representation for general representation only. This study has been completed based on a pre-decided scope of work between YES BANK.

4 And CII with the objective of achieving specified outcome and does not cover all aspects/all opportunities pertaining to the cold chain sector in INDIA . YES BANK Ltd. Confederation of Indian Industry Registered and Head Office The Mantosh Sondhi Centre 9th Floor, Nehru Centre, 23, Institutional Area Dr. Annie Besant Road, Lodi Road Worli, Mumbai - 400 018 New Delhi - 110 003. Tel : +91 22 6669 9000 Tel : +91 11 45771000 / 24629994-7. CONTACTS Fax : +91 22 2497 4088 Fax : +91 11 24626149. Northern Regional Office Email : 48, Nyaya Marg, Chanakyapuri Website : New Delhi 110 021. Tel : +91 11 6656 9000. Website : Email : FOREWORD. INDIA 's Travel & TOURISM industry is the 7th largest in the world, contributing nearly to INDIA 's GDP. and estimated to grow by in the next ten years, to become the fourth largest globally. This will create a multiplier impact on INDIA 's socio-economic growth through infrastructure development, job creation and skill development, amongst others.

5 INDIA , with a diverse cultural heritage and unique traditional values, is among the most preferred destinations for inbound TOURISM , with million Foreign Tourist Arrivals (FTA) during 2016. With a wide variety of price-competitive offerings, INDIA continues to remain a preferred business travel destination and is ranked 10th among the world's largest business travel markets. The United Nations World TOURISM Organization (UNWTO) has declared Year 2017 as the International Year of SUSTAINABLE TOURISM for Development', which underscores TOURISM 's critical role in fostering inclusive growth. Sustainability can be achieved by increasing community participation in business, where collaborative community models like cooperatives and Self Help Groups (SHGs) offer platforms that promote inclusive growth and strengthen backward linkages of the industry, apart from ensuring social equity. Given the fact that most parts of INDIA are still unexplored by domestic and international travelers, the policy planning needs to imbibe measures that enable communities to take part in the economic growth offered by TOURISM .

6 In order to succeed, SUSTAINABLE TOURISM requires the combined effort of the host community, tourists, and private and public partnership. Modern technologies give us clear insights and easy to use tools to advance SUSTAINABLE and inclusive growth and go far beyond cashless transactions and reservations. Data analytics can help small entrepreneurs scale their business by providing insights into consumer spends and help municipal corporations with better crowd management and urban planning. Enabling a cashless ecosystem for tourists, introducing value added products like the Incredible INDIA travel card, application of GIS and emerging technologies like Artificial Intelligence (AI), amongst others, are some key areas where INDIA has the expertise and competitive advantage. I am pleased to present this CII-YES BANK knowledge report on SUSTAINABLE TOURISM in INDIA : Initiatives & Opportunities' which provides insights into the global SUSTAINABLE TOURISM industry and highlights opportunities in INDIA .

7 I am confident that this publication will be beneficial for all stakeholders and promote meaningful dialogues towards developing SUSTAINABLE TOURISM models in INDIA . Thank You. Sincerely, Rana Kapoor Managing Director & CEO. Chairman FOREWORD. Technology, Innovation, TOURISM and Travel are rapidly redefining the global economy. Digitization is minimizing the distances and transcending borders. In the process, the impact of the Tourim sector is turning out to be manifold and significant. TOURISM remains the key driver of INDIA 's economic growth, being the backbone for steady and robust progress. According to World Travel & TOURISM Council (WTTC), Travel & TOURISM continued to show its resilience in 2016, contributing to GDP growth of and supporting 6 million net additional jobs in the sector. In total, Travel & TOURISM generated US$ trillion ( of global GDP) and 292 million jobs in 2016, equivalent to 1 in 10 jobs in the global economy.

8 United Nations declared 2017 as the International Year of SUSTAINABLE TOURISM for Development. This was designated at the United Nations 70th General Assembly with a unique opportunity to advance the contribution of the TOURISM sector to the three pillars of sustainability-economic, social and environmental. The International Year provides an enormous opportunity to further showcase the tremendous economic, social, cultural, environmental, and heritage value that the sector can bring together for the world to experience this beautiful industry. In INDIA , the TOURISM sector is based on its unique endowments of biodiversity, forests, rivers, and its rich culture and heritage. TOURISM hence has the potential of being a responsible, SUSTAINABLE , income provider. It is the most promising industry globally which possesses tremendous capacity for growth and revenue generation. The challenges in this sector lie in successfully preserving these in their original form, and making them accessible to domestic and international travelers, together with safeguarding the economic interest and heritage of local communities I am pleased to present the CII YES BANK report SUSTAINABLE TOURISM in INDIA : Initiatives &.

9 Opportunities' which provides an overview of the SUSTAINABLE TOURISM industry globally and ascertains its current status in INDIA with suggestions to leverage it as a tool for inclusive growth CII is proud to partner with Yes Bank for the SUSTAINABLE TOURISM Report 2017 and we hope this will be fruitful for future businesses. The goal of CII Annual TOURISM Summit 2017 is to provide a platform to the TOURISM stakeholders, becoming a forum of knowledge exchange and to raise awareness of the contribution of SUSTAINABLE TOURISM towards development among public and private sector, decision makers and the public. Thank You. Sincerely, Dipak Haksar Chairman CII National Committee on TOURISM & Hospitality Contents 1. Introduction 11. SUSTAINABLE TOURISM : Definition and Perspectives 12. Why SUSTAINABLE TOURISM ? 15. Benefits of SUSTAINABLE TOURISM Practices 17. SUSTAINABLE TOURISM Industry: A Global Overview 18. Best Practices and Case Studies 21.

10 2. SUSTAINABLE TOURISM in INDIA : An Overview 31. TOURISM Governance Framework 33. Central Government Initiatives 34. Key Initiatives in SUSTAINABLE TOURISM (States) 36. Key Issues & Challenges 37. Best Practices & Case Studies 38. 3. SUSTAINABLE TOURISM : Initiatives & Opportunities 43. SUSTAINABLE TOURISM and Smart Cities 44. SUSTAINABLE TOURISM for Rural INDIA 46. Public Private Partnerships (PPP) for SUSTAINABLE TOURISM 48. Private Sector Participation 50. Effective Cross-institutional Linkages to 50. Attract Private Sector 4. Way Forward: Harnessing SUSTAINABLE 53. TOURISM to Catalyze Inclusive Growth SUSTAINABLE TOURISM in INDIA : Initiatives & Opportunities Confederation of Indian Industry 10. SUSTAINABLE TOURISM in INDIA : Initiatives & Opportunities 1. INTRODUCTION. 11. SUSTAINABLE TOURISM in INDIA : Initiatives & Opportunities Confederation of Indian Industry Introduction SUSTAINABLE TOURISM : Definition and Perspectives The United Nations World TOURISM Organization (UNWTO) defines SUSTAINABLE TOURISM as TOURISM that takes full account of its current and future economic, social and environmental impacts, addressing the needs of visitors, the industry, the environment and host communities'.