TRAVEL & TOURISM: From Rapid Growth To Transformation

With an estimated annual growth rate of 9.6 per cent from 2024 to 2028, the Indian travel and tourism sector is expected to reach a market volume of $34.25 billion by 2028

- Tarannum Manjul Pho

NDIA'S travel and tourism industry is projected to generate nearly $24 billion in revenue in 2024, according to the India Brand Equity Foundation. With an impressive estimated annual growth rate of 9.6 per cent from 2024 to 2028, the industry is expected to reach a market volume of $34.25 billion by 2028. This growth projection underscores the sector's resilience and potential, driven by factors such as increasing domestic travel, the revival of international tourism, and enhanced infrastructure. The revenue trend indicates a significant shift, with package holidays expected to become the primary revenue generator in 2024, potentially reaching 65 million travellers by 2028.

India is poised for a significant boost in travel this summer, driven by rising disposable incomes and a strong desire for vacations post-pandemic. Industry experts predict a 30 per cent increase in domestic travel compared to last year, with popular destinations such as Goa, Kerala, and Himachal Pradesh witnessing a surge in bookings. Additionally, international travel is expected to see a 20 per cent rise, particularly to Southeast Asian and European countries. This uptick is set to propel the travel and hospitality sectors towards record growth, solidifying their recovery trajectory.

Emerging Trends

India's diverse landscapes and rich cultural heritage make it an ideal destination for various types of tourism. Adventure tourism is gaining traction, with destinations like Rishikesh for river rafting, Himachal Pradesh for trekking, and Goa for water sports becoming increasingly popular.