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Hospitality Industry Gears Up for 50 Million Jobs, Seeks Government Support

 

India’s hospitality and tourism sector aims to create a 50 million direct and indirect jobs in the next 5-7 years, according to the Hotels’ Association of India (HAI). However, they urge government support to unlock this potential fully.

Puneet Chhatwal, President of HAI emphasised the need for industry and infrastructure status at the state level. This, he believes, would boost investments beyond just accommodation, fostering income and employment generation across the spectrum. He noted the industry’s crucial role in development, contributing 8% to GDP and 10% to employment.

Backing Chhatwal’s claims, K B Kachru, VP, HAI highlighted a 271% rise in hirings over the past two years, emphasising the sector’s growth potential. He stressed the need to focus on developing tourism across all levels, not just high-end experiences, to ensure sustainable growth and job creation.

This call for support resonates with G20 Sherpa Amitabh Kant, who previously urged tourism industry players to advocate for creating 25 million jobs by 2030. Comparing India’s 7.8 million tourism jobs to Thailand’s 20 million and Malaysia’s 15 million, Kant highlighted the need for better communication and recognition of the industry’s job creation potential.

Chhatwal acknowledged the government’s infrastructure development efforts, including roads, railways, and airport expansion, as crucial for the sector’s success. However, he stressed the need for full infrastructure status to further elevate growth across all aspects. He clarified that while the status exists, limitations imposed 12 years ago hinder its effectiveness. Industry status at the state level is also seen as critical to enhance competitiveness.

With 11 states already granting industry status, Kachru noted a gap in execution. The HAI urges all states to follow through and support the industry’s ambitious goal of creating 50 million jobs, unlocking its full potential to contribute to India’s economic growth and development.

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