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Home > Business > Business Headline > Report

SARS windfall for domestic tourism

Amrita Dhar in New Delhi | April 23, 2003 14:31 IST

The Severe Acute Respiratory Syndrome scare has come as a boon for the domestic tourism industry. It has stopped Indian tourists from heading for tourist spots in Singapore, Hong Kong, Malaysia and Indonesia. Instead they are heading for holiday destinations inside the country.

Almost 30 per cent of the Indian tourist traffic shifted to Uttaranchal, Himachal Pradesh, Kerala, Sikkim and Goa, according to estimates by the industry.

"Domestic tourism this year is burgeoning. There is a 30 per cent increase in bookings for local packages this year compared to last year.  Much of it is primarily due to the SARS scare," Balbir Mayal, vice president, Travel Agents Association of India, said.

Travel solutions provider Galileo India witnessed a 23 per cent increase in domestic bookings in April over the same period last year.

"We witnessed a 15 per cent shift from South-East Asia to India in April and this is likely to go up in May and June if the SARS endemic worsens," said Seema Luthra, general manager, Galileo India.

In a bid to grab a share of this pie, travel houses like Cox & Kings, Kuoni and Thomas Cook are adding customer-friendly packages to their domestic itinerary.

Domestic airlines have also joined the fray with Jet Airways introducing holiday packages with tickets bought under its advanced purchase excursion (Apex) scheme. Air Sahara has also tailored its existing schemes to attract Indian tourists. Indian Airlines is likely to follow.

"We have witnessed a 30-35 per cent shift to domestic tourism destinations from South-East Asian ones this summer. In fact, while bookings to Hong Kong are down to zero, Singapore, Malaysia and Thailand have witnessed a 50 per cent dip," said Vikas Khanduri, regional manager (North India), Cox & Kings.

To cash in on the sudden jump in domestic tourists, the company has introduced new packages to Kumaon, Uttaranchal, Himachal Pradesh and Karnataka. An eight-day package to either Himachal  Pradesh or Kumaon has been attractively priced at around Rs 12,000.

Kuoni India has launched SITA Holidays of India -- its branded domestic package. Among the different options on offer are short holidays and getaways for as less as Rs 7,145 a person.

A Thomas Cook spokesperson said the company was expecting a higher demand for its packages like Himalayan Heights, Leh and Coorg, priced between Rs 9,000 and Rs 16,175.

Tourists look westward, too

Mauritius, Sri Lanka, Kenya and South Africa have emerged as the preferred destinations for Indians tourists this holiday season, while Europe continues to be the favourite among the elite travellers.

The severe acute respiratory syndrome has triggered the diversion of traffic from the affordable South-East Asian destinations.

Travel agents in Mumbai said though the heat is making most of the prime local destinations such as Kerala unfavourable, Goa and some north Indian destinations have already started witnessing a surge in tourist arrivals.

Meanwhile, international and domestic tourism boards have stepped up their adspend to lure customers and are introducing innovative and attractive packages.


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