On behalf of the Federation of Associations in Indian Tourism & Hospitality (FAITH) a meeting was called by Sh. Prahlad Singh Patel the Hon’ble Minister of State (IC) for Tourism & Culture, Government of India today on March 13th, 2020 at 11:30 AM at Transport Bhawan, New Delhi.
The following officials from Ministry of Tourism also attended the meeting- Director General Tourism, Additional Director General Tourism and Joint Secretary Tourism.
From the Tourism Industry side, the following members attended the meeting — Subhash Goyal, Honorary Secretary-FAITH, Jyoti Mayal, Vice President-FAITH & President-Travel Agents Association of India (TAAI), Aashish Gupta, Consulting CEO-FAITH, Pronab Sarkar, President- Indian Association of Tour Operators (IATO), Swadesh Kumar, President- Adventure Tour Operators’ Association of India |ATOAI), Satish Sehrawat, President- Indian Tourist Transporters Association (ITTA), Chetan Gupta, Association of Domestic Tour Operators of India (ADTOI), Rahul Lal, The Federation of Hotel & Restaurant Associations of India (FHRAI), Charulata, Hotel Association of India (HAI), Rakesh Mathur, Indian Heritrtge Hotels Association (IHHA).
While the Tourism industry appreciates the Government’s efforts in scaling our international borders to keep the country safe from spreading of Corona Virus (COVID- 19). At the same time, we expressed our following concerns to the Hon’ble Minister of Tourism.
- The cancellation of visas has put the industry at a complete standstill artd millions of dollars’ worth of losses is expected both in Inbound & Outbound Tourism during the next levy months.
- This would increase unemployment in the country as the Travel Agents/Tour Operators and Airlines will be reluctantly formed to cut down on stuff, resulting in huge employment in the country.
- In order to save the industry from disaster it was suggested:
- a) That every state Government should be sensitized that they should screen visitors, but in the process not to create panic.
- b) GST rind other direct and indirect taxes should be exempted on the Aviation & Tourism industry for at least one year. We should send a message to the world that ‘A Holiday in India is Tax Free’.
- c) Payment of Advance Tax should be deferred for at least 6 months, if not a year.
- d) The RBI interest rate for the Travel & Tourism Industry should be reduced by at least 3 per cent.
- e) A national task force consisting of the Ministry of Health, Finance, Home, Civil Aviation and External Affairs with the representatives of Travel & Tourism Industry should be formed and this should meet as early as possible and after this meeting, a meeting with the Hon’ble Prime Minister should be organised.
- A review meeting of the Task Force should be held within the next 10-15 days to reinstate the Visas and open at least four International Airports in North, South, East and West so that proper screening can be done.
- The Indian Tourist Transporters Association (ITTA) President mentioned that if there are no tourists, how they will pay the EMI of their banks and the salaries of the drivers and their staffs.
- President- IATO mentioned that the MDA assistance to Tour Operators and Travel Agents should be enhanced and a financial assistance package should also be considered.
- TAAI President, Jyoti Mayal mentioned that the TCS should be abolished on Outbound Tourism and Airline should be asked to give full refund for all cancelled tickets. The Hon’b1e Minister mentioned that he has already written to Hardeep Singh Puri, the Hon’ble Minister of State for Civil Aviation (copy enclosed).
- A 200 per cent weighted exemption of expenses to corporates on all domestic conferences.
- A six to nine months’ moratorium on all principle arid interest payments on loans and overdrafts.
- Removal of fees for any upcoming licenses/permits renewal/ Excise exemption for liquor for the hospitality and travel industry across the states.
- Restoration of the SEIS scrips for duty credit of 10 per cent to Tourism, Travel & Hospitality industry.
- Usage of the MNREGA funds to support salaries of employees in the Tourism, Travel 8s Hospitality industry till the time revival happens.
- Fast track all GST refunds for the industry wherever they are getting stuck.
- 300 basis point interest rate reduction and immediate transmission to the industry on term loans and working capital tonne.
- The proposed TCS or travel in Finance Bill 2020 not to be in Produced.
- Automatic increase in working capital limits by 50 per cent.
- Removal of X-Visa requirement for peaks.
The Hon’ble Tourism Minister assured the members that decision has been token in the larger national interest and he assured everyone to request the concerned ministries to review the decision within be next 16 days.
Subhash Goyal, Honorary Secretary FAITH thanked the Hon’ble Tourism Minister on behalf of the entire Tourism Industry for calling this important meeting and hoped the Hon’ble Minister will take up our problems with the respective Ministries.
