COORDENADAS, RADIO

Tourism has suddenly become a booming sector. During 2007, an estimated 4.4 million tourists visited the country, registering a growth of 14 per cent. With this robust trend in tourism, the hotel industry has also witnessed a rise in the growth and over the last decade and half, there has been a mad rush to India for business opportunities, elevating room rates and occupancy. The Hotel Industry in India is second only to China in Asia Pacific.

India is a destination for hotel chains looking for growth. According to the World Travel and Tourism Council, India ranks 18th in business travel and will be among the top 5 in this decade.

Hotels in India have a supply of 110,000 rooms. At the current trend, demand will soar to 10 million in 2010. With a shortage of 150,000 rooms, likely to result in demand- supply disparity, room rates will see a rise to 25 per cent annually and occupancy would rise by 80 per cent over the next two years. The industry seems to be fast getting rid of competition when it comes to being a cost-effective destination.

The industry is adding about 60,000 quality rooms, currently in different stages of planning and development and should be ready by 2012. Government has approved 300 hotel projects, nearly half of which are in the luxury range. The manpower requirements will increase from 7 million in 2002 to 15 million by 2010.The hotel industry is set to grow at 15 per cent a year.

This figure will skyrocket in 2010, when Delhi hosts the Commonwealth Games. Already, more than 50 international budget hotel chains are moving into India to stake their turf. Therefore, the future scenario of the Indian hotel industry looks rosy.

The government of India has taken a number of steps to promote tourism. An amount of Rs 0.6 bn is to be allocated for the Commonwealth Games. Income tax exemption for 5 years is granted to two, three or four star hotels established in specified districts having UNESCO-declared World Heritage Sites.

The hotel should be constructed and start functioning during the period April 1, 2008 to March 31, 2013. The industry wants it to be treated at par with other infrastructure sectors such as roads, ports and telecommunications and be granted full tax benefits.

The slowdown in the global economy, rising crude prices and higher airfares has affected the hotel sector to a certain extent. Due to rising costs, companies are facing pressure on their earnings. Plus, cost cutting measures have led to lower business tourist arrivals in recent times. There is an urgent need for the hotels to adopt cost cutting devices. These can include using resources more efficiently; minimizing waste production; using products and materials that have the least negative impact on the environment, both in use and source of origin; pursuing action programs that benefit the environment in the local community; and fostering the education of environmental awareness, both internally and externally.

Waste management; energy conservation; water use; and laundry and dry-cleaning should be given priority because these areas have huge wastages which can be curbed. Paper and stationery can be recycled; air conditioners and other electrical appliances should be switched off when not in use. Some hotels also offer free wine and hence it should be available in only those rooms where it is demanded. People generally tend to misuse the free stuff that is available in the hotels. Hence, it should be made available only on demand. The government should increase its budget towards the hotel industry as it is observing high rates of growth and can lead to India’s development as well.

'Hotel Industry in India' have supply of 110,000 rooms. According to the tourism ministry, 4.4 million tourists visited India last year and at current trend, demand will soar to 10 million in 2010 - to accommodate 350 million domestic travelers. 'Hotels in India' has a shortage of 150,000 rooms fueling hotel room rates across India. With tremendous pull of opportunity, India is a destination for hotel chains looking for growth.

The World Travel and Tourism Council, India, data says, India ranks 18th in business travel and will be among the top 5 in this decade. Sources estimate, demand is going to exceed supply by at least 100% over the next 2 years.

Five-star hotels in metro cities allot same room, more than once a day to different guests, receiving almost 24-hour rates from both guests against 6-8 hours usage. With demand-supply disparity, 'Hotel India' room rates are most likely to rise 25% annually and occupancy to rise by 80%, over the next two years. 'Hotel Industry in India' is eroding its competitiveness as a cost effective destination. However, the rating on the 'Indian Hotels' is bullish.

'India Hotel Industry' is adding about 60,000 quality rooms, currently in different stages of planning and development and should be ready by 2012. MNC Hotel Industry giants are flocking India and forging Joint Ventures to earn their share of pie in the race. Government has approved 300 hotel projects, nearly half of which are in the luxury range. Sources said, the manpower requirements of the hotel industry will increase from 7 million in 2002 to 15 million by 2010.

With the USD 23 billion software services sector pushing the Indian economy skywards, more and more IT professionals are flocking to Indian metro cities. 'Hotel Industry in India' is set to grow at 15% a year. This figure will skyrocket in 2010, when Delhi hosts the Commonwealth Games. Already, more than 50 international budget hotel chains are moving into India to stake their turf. Therefore, with opportunities galore the future 'Scenario of Indian Hotel Industry' looks rosy.

Indian tourism and hospitality sector has reached new heights today. Travelers are taking new interests in the country which leads to the upgrading of the hospitality sector. Even an increase in business travel has driven the hospitality sector to serve their guests better. Visiting foreigners has reached a record 3.92 million and consequently International tourism receipts have also reached a height of US$ 5.7 billion. Hospitality Industry is closely linked with travel and tourism industries. India is experiencing huge footfalls as a favorite vacation destination of foreigners and natives and the hospitality industry is going into a tizzy working towards improving itself.