Budget Quote - Nilisha Ghuliani, Vice President, Clarks Exotica Convention Resort and Spa

The Indian hospitality sector is anticipated to have a promising 2024 as the nation is witnessing a surge in domestic tourism: ranging from weekend getaways and sustainable wellness stays to Grand Weddings and spiritual journeys.

The domestic travel is flourishing and the industry is experiencing key innovative trends like redefining dining and accommodation for digital nomads, Robots, menu visualisation via VR, the rise of wellness and spiritual tourism which will be the talk of the year & ofcourse a consistent rise in RevPARs.

As part of the Hospitality Industry and the Brand Ambassador for Clarks Exotica Convention Resort & Spa, Bangalore - the Utmost & Prime Expectations from the honourable finance minister in the interim budget would be :-

Tax Rationalization is important : Will just give an example, a room night costing INR 10,000 falls under the 18% GST rate, while an off-season rate of INR 7,000 falls under the 12% GST rate.
A transformative reduction of GST from 18 percent to a globally competitive 12 percent is not only crucial for enhancing India's allure in
international tourism but will also greatly help in simplifying the Compliance processes. So we become globally competitive if this aspect is looked into. 

GST credit for hotel construction : The absence of GST credit for hotel construction poses a significant obstacle requiring urgent resolution to unlock the industry's vast potential

Approvals to be simplified for efficient Growth : The hotel industry faces a cumbersome and costly challenge due to the need for numerous licenses. Streamlining this process by implementing a single-window system for all approvals, coupled with a time-bound framework, will significantly boost efficiency and economic viability.
This simplification will foster swift progress and expansion in the hotel sector

Hospitality Industry should be incentivised in case they adopt Sustainable practices: Going Green is Expensive – The Government should support the Industry in this movement

Streamlining GST Registrations for Online Travel : Online travel agents in India are burdened by the requirement to obtain state-wise GST registrations, which involves establishing a physical presence in each state and incurs high administrative costs. Allowing OTAs to register in states through their central head office would alleviate these burdens, streamline operations, and enhance efficiency. This change is also necessary to ensure a level playing field with international competitors not subject to similar regulations.

Skill Development : Last but not the least some initiatives for skill development and trainings programmes should be available for Hospitality Employees to help Hotels/resorts enhance their Service Standards – some subsidies could be granted to Hoteliers who are ready to invest in associate training & development