The Covid-19 outbreak has badly impacted the worldwide business ecosystem and has targeted several industries across the business realm. One industry that has faced severe consequences is the travel and tourism industry. In this study, we will aim to assess and culminate the overall impact posed by Covid-19 on the Indian tourism industry. Further, the study reveals that the Indian tourism industry has been considerably impacted by the pandemic and has altered the functioning of all the stakeholders in the industry. This industry is a significant contributor to the country’s GDP. By mid-March, all the popular visiting sites, monuments, temple tours in India, and other tourist attractions have been closed down. This industry even generates large-scale employment.

Understanding the role of travel & tourism in India through stats

In 2018, travel and tourism contributed around 9.2% to India’s GDP by providing 26.7 million jobs. This industry employs workers in cities and caters to an earning platform for the rural population. The tourism sector accounts for 12.75% of employment in India. As per the study conducted by the Ministry of India (MOI) annual report for 2019-20, in 2018-19, more than 87 million people were employed in the travel and tourism sector. The restaurant industry in India has an annual turnover of approx ₹4 lakh crore by providing direct employment to over 7 million people. If we consider the air transportation industry, it employs over four lakh people directly and over nine lakhs through related supply chains.

Effects of Covid-19 outbreak on Travel & Tourism in India

The impacts of the Covid-19 outbreak have been felt in both white and blue collar jobs. On account of the Covid-19 outbreak, Indian tourism has experienced a potential job loss of around 38 million. Besides this, destination tours, site-seeing tours, and even safe and comfortable tours in India have been affected. By the 3rd week of March 2020, the hotel industry saw a significant decline of more than 65% in occupancy levels during the same period in 2019. As per the estimates of the Indian Association of Tour Operators (IATO), the hotel, aviation, and travel industry together may suffer a loss of about Rs. 85 billion. Also, India’s outbound and inbound travels have been observing an all-time low. The restaurant industry in India is expecting almost zero revenue in the mid-term. By the end of June 2020, at least 30% of hotel and hospitality industry revenue has been impacted. In the same industry, the threat of job loss is around 15%. As predicted, the Aviation industry incurred a loss worth Rs. 27,000 crores in the first quarter of 2020-21. Besides this, even the famous tours such as Kedarnath and Badrinath tours have been affected, due to which local travel has been compromised.

Final Thoughts:

Hence, tourism is one of the major industries impacted by the Covid-19 outbreak. Even before the rise of the Covid-19 pandemic, the tourism sector was already facing some trouble due to the global economic slowdown. However, if you are interested in Delhi, Agra & Jaipur tours, and other such tours, you can consult Star India Tours. We are a one-stop destination for various tour packages. Our company provides elegant service and experience to suit guest requirements. For more information, you can visit our official website:- https://starindiatours.com