Kochi, Feb 6: The south-east Asian currency meltdown and the continuing industrial and economic recession is likely to affect the flow of tourists into the country during the current season.According to Travel Agents' Association of India (TAAI), tourist arrivals may drop 7 per cent this season with the south east Asian destinations offering cheaper alternatives to tourists.
TAAI president Neeraj Ghei said here on Thursday that infrastructure constraints, "irrational tax rates" and some "blind laws" have come in the way of growth of tourism as an industry in the country.
The TAAI president criticised the Coastal Regulation Zone (CRZ) rules. She called it unimaginative and said that it will not help the growth of tourism as an industry in Kerala.
Besides CRZ regulations, the confusion over granting of bar licences too is affecting the growth of hotels in Kerala, she said. She said there should not be a blanket ban on construction activities in coastal areas and that the CRZ norms should be reviewedallowing such developments without causing any danger to the eco-system.
The relatively high taxes in Kerala and other southern states is making the services offered much costlier compared to the competitors. Gheis said that about 35 per cent of the tourists' spending goes into paying taxes.
Last year, 2.28 million tourists arrived with an increase of about 17 per cent over the previous year. In the same year, Kerala received about 1,50,000 tourists. Tourists flow into the state is expected to go up to five lakh in the next five years, TAAI sources said. TAAI has 934 members from all regions of the country. It is organising `Travelogue' 1998 in Mumbai between March 26 and 29 to familiarise domestic tourists about tourism destinations within India.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
