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Hospitality | August 22, 2013
#38280

Hotel biz rises as abroad trips get costly due to Re fall

The falling rupee has brought demand for Indian hotel and tourism industry. The falling rupee has made holidays abroad more expensive. Now Indian tourists are increasingly turning to domestic destinations and with the rupee continuing to depreciate this trend is expected to continue, say a news report by hotel consultancy HVS.  Manav Thadani, Chairman of HVS India that just as the economy hotels too have seen a down cycle and they will soon start seeing positive momentum in the next 12-18 months.    

The report says that the surge in domestic tourism will open up newer opportunities for development along the coasts of Orissa and Maharashtra, Andaman and Nicobar islands and help newer townships like Lavasa. Domestic travel spending in India will grow by 6.1 per cent in 2013, while international visitor spending in the country will rise by 8.7 per cent, say World Travel and Tourism Council (WTTC).    

Average rooms rates of hotels in Agra improved 7.1 per cent in 2012-13, which could be attributed to the commissioning of the Yamuna Expressway that has almost halved Delhi-Agra travel time. Rates in Jaipur hotels were up 4 per cent while in Goa, room rates increased 4.2 per cent over the previous year.

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