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a rapidly changing IT environment and its effects in the
hospitality environment. Hospitality management also
helps to acquire skill for future management roles of
various types of hospitality units. Skills and personal
qualities of general importance and applicability in all
aspects of working life are developed through the study
of such type of management.
Hospitality Industry : Its contribution to the
nation
As stated earlier, hospitality industry is closely
linked with tourism industry. The tourism industry
is booming with the rapid industrial growth and
promotion of tourism. The growth and development
of tourism industry results in the expansion of
hospitality industry. Hospitality and tourism industry
play a vital role in the overall economic growth of the
country. It provides huge employment opportu-nities.
It has become possible through its linkage with other
sectors of the economy.
According to the Department of Industrial Policy
and Promotion, the hotel and tourism industry’s
contribution to the Indian economy by way of foreign
direct investments (FDI) inflows were pegged at
US$2.35 billion from April 2000 to February 2011. The
domestic hospitality sector is expected to see
investments of over US$11 billion by 2012, with 40
international brands making their presence in the
country in the next few years. In Indian context, the
hospitality industry contributed only 2% of GDP in
2003-04. It is projected to grow at a rate of 8.8% by 2016,
which would place India as the second-fastest growing
tourism market in the world. The travel and tourism
sector is the second highest foreign exchange earner for
India. This sector has created 11 million jobs and has
the potential to create another 37 million jobs (estimated
by the NSSO, Ministry of Tourism) of 120 million
projected requirements by 2020. India is visited by a
huge number of tourists from all over the world.
Arrivals from regions/country have been shown in
Table 1 :
Table 1 : International tourists arrival to India
during the period 2004-2006
Arrivals from countries 2004 2005 2006
USA 5,26,120 6,11,165 6,96,739
UK 5,55,907 6,51,803 7,34,240
CANADA 1,35,884 1,57,643 1,76,567
GERMANY 1,16,679 1,20,243 1,56,808
FRANCE 1,31,824 1,52,258 1,75,345
(contd.)
(contd.)
AUSTRALIA 81,608 96,258 1,09,867
ITALY 65,561 67,642 79,978
JAPAN 96,851 1,03,082 1,19,292
MALAYSIA 84,390 96,276 1,07,286
SINGAPORE 60,710 68,666 82,574
NEPAL 51,534 77,024 91,552
SRI LANKA 1,28,711 1,36,400 1,54,813
NETHERLANDS 51,211 52,755 58,611
CHINA 34,100 44,897 62,330
SOUTH KOREA 47,835 49,895 7,05,407
Source : Ministry of Tourism, Government of India
The above table shows the increasing trend of
arrivals of international tourists to India. The more
and more influx of foreign tourists helps augment
foreign exchange money of our country. This results
in making our country economically healthy.
During the period 2004 to 2006, the total numbers of
foreign tourists to India have been depicted in Table-2.
Table 2 : Total foreign tourists coming to India
(2004-2006)
Year Number of Foreign tourists
to India
2004 34,57,477
2005 39,18,610
2006 44,47,167
Source : www.itopc.org
The above table manifests the increasing trend of
foreign tourists to India during the period 2004 to 2006.
Indians too prefer to travel at different places,
particularly Kerala, Goa, Delhi, Rajasthan, Tamil Nadu,
Andhra Pradesh, Gujarat, Himachal Pradesh, Jammu and
Kashmir, Uttarakhand, Orissa, Karnataka, West Bengal,
Madhya Pradesh and Maharashtra. Tourism statistics of
different important States from the viewpoint of domestic
tourists are depicted in Table 3.
Table 3 : Domestic Tourists in India (2004-2006)
Name of the States Domestic Tourists (in number)
2004 2005 2006
Kerala 58,72,182 59,46,423 6,27,1724
Goa 20,85,729 19,65,343 20,98,654
Delhi 18,66,552 20,61,782 22,37,130
Rajasthan 1,60,33,896 1,87,87,298 2,34,83,287
Tamil Nadu 4,22,79,838 4,32,13,228 5,83,40,008
Andhra Pradesh 8,94,40,272 9,35,29,554 11,17,15,376
(contd.)
The Management Accountant |September 2011 743