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(A Special Reference to Kerala)
 Tourism and economy go hand in hand. 
 Be any country or city, everyone promotes their 
attractions to attract maximum number of tourists. 
 More the footfall more will be the money generated. 
 Punjab, Madhya Pradesh, Himachal Pradesh and so on 
are taking their tourism very seriously and are taking 
various steps to promote it.
OBJECTIVES 
 To get India on the top tourist destination of the world. 
 With more employment opportunities being 
generated for the same. Be it public or private sector. 
 As stated before increase in tourism will increase the 
per capita income. 
 To create awareness amongst tourists as to what India 
is all about.
AN INTRODUCTION… 
 fastest growing economic industries in the world and has 
become one of the major players in the international 
commerce. 
 Money made in global tourism industry was $1200 Billion 
in 2013 and this is predicted to double by 2020. 
 main source of income for many developing countries. 
 Developed countries like The United Kingdom, The United 
States of America, Canada, France and so on are promoting 
tourism in every possible manner. 
 Dubai, Hong Kong, Singapore, Thailand are offering visas 
on arrival to promote the tourism industry of their 
respective countries
INCOME GENERATION!! HOW? 
 Tourism creates income by attracting visitors to 
experience the beauty and culture of a place and 
having them spend money while they are there. 
 Exporting a product from a country will also create 
income. Therefore spending is like an EXPORT 
PRODUCT for many countries. 
 The foreign currency bought in my foreign nationals in 
forms of dollars, pounds and euro etc also helps in 
generating income in the country.
IMPACTS OF 
TOURISM 
DIRECT IMPACT 
business that produce or 
provide products and 
services directly to travellers. 
Example: Airline tickets, 
hotel rooms, tour guide 
INDIRECT IMPACT 
support business that 
provides goods or services to 
tourism. Example: Fuel for 
airplanes, food purchased for 
restaurant kitchens etc.
BENEFITS COSTS 
FINANCIAL 
 Foreign exchange earnings 
 Gross National Product 
 Income for business and other individuals 
 Contributes to balance of payments. 
FINANCIAL 
 Leakages and/or negative balance of payments 
effects imports, profits. 
 Inflation 
 Higher land prices 
 High fluctuations in revenue due to seasonality 
or economic recessions. 
EMPLOYMENT 
 Creates Job 
 Opportunities for training, learning and 
development. 
EMPLOYMENT 
 Often part time 
 Low paid 
 Seasonal 
 Low skilled 
DEVELOPMENT 
 Broadens economic base 
 Multiplier effects 
 Infrastructural provision 
 Improvement of social services 
DEVELOPMENT 
 Lack of communication with other economic 
sectors 
 Utility and infrastructure supply problems.
CASE STUDY- KERALA… 
 The coconut lagoon was one of the earliest projects to 
be implemented in Kunarakom in the Kottayam 
district. 
 At the time of implementation, the surrounding 
community was largely rural, dependant on their 
farms. 
 Total cost- 3.50crores – local resources(land, labour) 
utilised. 
 50 room property = 90 people employed!!
 Tourists visited local spice farms 
 The farmer was paid Rs.50 a day for a day’s experience. 
 Tourists also bought spices and the farmer made 
approximately Rs.1000 per day. 
 Money earned by farmer, increased his standard of 
living .
TOURIST RATING IN KUMARAKUM 
6 
5 
4 
3 
2 
1 
0 
RATINGS 
A B C D E F G H I J K L 
RATINGS 
A. Hospitality 
B. Overall Experience 
C. Information Provided 
D. Tour operators 
E. Basic Amenities 
F. Hygiene Factors 
G. Safety 
H. Quality of destination 
I. Co-operation 
J. Helpfulness 
K. Accommodation 
L. Connectivity
CONCLUSION 
 The government is taking various steps to promote the 
tourism in India. 
 By bringing up campaigns like INCREDIBLE INDIA! Which 
was started by Ministry of Tourism, Government of India. 
The Indian government wants to tell the tourists globally as 
to what all India has to offer. 
 As the tourism in India has been promoted since the last 
few years, the income generated by it has been incredible. 
 Because of all of this happening, enormous job 
opportunities have been generated.
Reference 
 www.nchmct.nic.in 
 www.tourism.gov.in 
 www.ihmaurangabad.ac.in 
 www.hotelierindia.com 
 www.hospitalitybizindia.com 
 www.hotelsmag.com 
The Economic Times 
Incredible India Forum
THANK YOU!!

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Tourism & its impact on the economy

  • 1. (A Special Reference to Kerala)
  • 2.  Tourism and economy go hand in hand.  Be any country or city, everyone promotes their attractions to attract maximum number of tourists.  More the footfall more will be the money generated.  Punjab, Madhya Pradesh, Himachal Pradesh and so on are taking their tourism very seriously and are taking various steps to promote it.
  • 3.
  • 4. OBJECTIVES  To get India on the top tourist destination of the world.  With more employment opportunities being generated for the same. Be it public or private sector.  As stated before increase in tourism will increase the per capita income.  To create awareness amongst tourists as to what India is all about.
  • 5. AN INTRODUCTION…  fastest growing economic industries in the world and has become one of the major players in the international commerce.  Money made in global tourism industry was $1200 Billion in 2013 and this is predicted to double by 2020.  main source of income for many developing countries.  Developed countries like The United Kingdom, The United States of America, Canada, France and so on are promoting tourism in every possible manner.  Dubai, Hong Kong, Singapore, Thailand are offering visas on arrival to promote the tourism industry of their respective countries
  • 6. INCOME GENERATION!! HOW?  Tourism creates income by attracting visitors to experience the beauty and culture of a place and having them spend money while they are there.  Exporting a product from a country will also create income. Therefore spending is like an EXPORT PRODUCT for many countries.  The foreign currency bought in my foreign nationals in forms of dollars, pounds and euro etc also helps in generating income in the country.
  • 7. IMPACTS OF TOURISM DIRECT IMPACT business that produce or provide products and services directly to travellers. Example: Airline tickets, hotel rooms, tour guide INDIRECT IMPACT support business that provides goods or services to tourism. Example: Fuel for airplanes, food purchased for restaurant kitchens etc.
  • 8. BENEFITS COSTS FINANCIAL  Foreign exchange earnings  Gross National Product  Income for business and other individuals  Contributes to balance of payments. FINANCIAL  Leakages and/or negative balance of payments effects imports, profits.  Inflation  Higher land prices  High fluctuations in revenue due to seasonality or economic recessions. EMPLOYMENT  Creates Job  Opportunities for training, learning and development. EMPLOYMENT  Often part time  Low paid  Seasonal  Low skilled DEVELOPMENT  Broadens economic base  Multiplier effects  Infrastructural provision  Improvement of social services DEVELOPMENT  Lack of communication with other economic sectors  Utility and infrastructure supply problems.
  • 9. CASE STUDY- KERALA…  The coconut lagoon was one of the earliest projects to be implemented in Kunarakom in the Kottayam district.  At the time of implementation, the surrounding community was largely rural, dependant on their farms.  Total cost- 3.50crores – local resources(land, labour) utilised.  50 room property = 90 people employed!!
  • 10.  Tourists visited local spice farms  The farmer was paid Rs.50 a day for a day’s experience.  Tourists also bought spices and the farmer made approximately Rs.1000 per day.  Money earned by farmer, increased his standard of living .
  • 11. TOURIST RATING IN KUMARAKUM 6 5 4 3 2 1 0 RATINGS A B C D E F G H I J K L RATINGS A. Hospitality B. Overall Experience C. Information Provided D. Tour operators E. Basic Amenities F. Hygiene Factors G. Safety H. Quality of destination I. Co-operation J. Helpfulness K. Accommodation L. Connectivity
  • 12. CONCLUSION  The government is taking various steps to promote the tourism in India.  By bringing up campaigns like INCREDIBLE INDIA! Which was started by Ministry of Tourism, Government of India. The Indian government wants to tell the tourists globally as to what all India has to offer.  As the tourism in India has been promoted since the last few years, the income generated by it has been incredible.  Because of all of this happening, enormous job opportunities have been generated.
  • 13. Reference  www.nchmct.nic.in  www.tourism.gov.in  www.ihmaurangabad.ac.in  www.hotelierindia.com  www.hospitalitybizindia.com  www.hotelsmag.com The Economic Times Incredible India Forum