Union Budget 2021 | Karnataka tourism sector disappointed

FAITH, the policy federation of all national associations representing the tourism, travel and hospitality industry in India, also expressed disappointment

Stakeholders in the tourism sector, who have been hit hard by the pandemic, the consequent lockdown, and the general reluctance among people to travel in these times, have been left disappointed by the Union Budget. The Budget, according to them, offers no relief to the industry that has seen several washed out months, with business picking up only towards the latter half of last year.

M. Ravi, joint secretary of Karnataka Tourism Society, said the sector had great expectations from the Budget. “Yet again, the hospitality and tourism sectors, which have been the worst hit, have been given the cold shoulder. There is no relief or incentives for the travel, tourism, and hospitality industry in the budget,” he said. Among the demands they had was Goods and Services Tax relief for a year or two, road tax benefits for tourist transport, loans at low interest, and motor vehicle insurance benefits.

Karnataka Tourism Forum president Sanjar Imam said that while the Union Budget had proposals for enhancing infrastructure related to tourism, such as roads, airports, and even the Vistadome coaches for the first time, “there isn’t much in the offing for immediate support of the industry”.

FAITH, the policy federation of all national associations representing the tourism, travel and hospitality industry in India, also expressed disappointment. “The tourism, travel and hospitality industry was looking for support in the form of immediate and short-term measures for critical revival. This has not happened in the Budget announcements,” said Nakul Anand, chairman of FAITH in a statement.


“COVID-19 has damaged the travel and tour intermediaries. It was critical to protect the business of Indian travel agents and tour operators. The recently introduced TCS, which has made Indian travel agents globally uncompetitive, should have been immediately abolished. Not addressing any of these critical issues in the Budget has thrown the industry into a state of shock and deep dismay,” FAITH said.

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Sagar Biswas

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