India’s outbound tourism market is expected to reach USD 188 billion in 2024 and grow at a CAGR of 11.4 pc in the decade between 2024 and 2034 to reach USD 553 billion.

These were some of the findings of a report released by the Federation of Indian Chambers of Commerce and Industry (FICCI), an industry association. The report, Navigating Horizons: The Rise and Future of Indian Outbound Tourism, has prepared jointly by FICCI and consultancy firm Nangia NXT. 

The report highlights key emerging markets and opportunities for outbound travel that include various Southeast Asian, Middle Eastern, African and Eastern European countries. 

The Summit was attended by a large number of travel trade members in Delhi (Photo: India Outbound)

The report says that India’s online travel market, which consists of sales of travel services through online channels, is expected to grow at a CAGR of 10.5 pc between 2024-29, from USD 17.24 billion to USD 28.40 billion, adding that international travel has thus been eased by the steady growth in affordable technology.

It has recommended that the government administration and the tourism industry stakeholders in India may undertake various strategic interventions to promote the outbound tourism market. 

These include bilateral engagement, improved connectivity, support to travel industry stakeholders, MSME development, marketing of international destinations, digital transformation, curated packages and hospitality partnerships.

Mary M Mutuku

Attending the 3rd Outbound Tourism Summit held in New Delhi, Deputy High Commissioner of Kenya to India Mary M Mutuku said that Kenya was not only committed to deepen the relations between India and Kenya but also to promote Kenya as a preferred tourist destination. “Currently, the Indian market is among the top 5 Kenya’s key sources of tourists, and this has potential to grow even further,” Mukutu told the gathering.

She added that to attract more Indian tourists, Kenya has put in place necessary infrastructure to ease travel in the country.

“With an increase in number of flights between the two countries along with opening of Nairobi Expressway, tourists will have more convenience travelling in Kenya. A new cruise terminal at Mombasa port is a major boost to cruise tourism. The berth targets to enhance passenger handling capacity as well as allow for an increased volume of cruise ships arrival at the port,” Mutuku says.

The meeting was attended by several other diplomats, representing countries that seek greater Indian footfall.

Seitenov Darkhan

“We have huge potential for mutual and beneficial cooperation in tourism sector. There has been a significant growth in the number of tourists coming to Kazakhstan from India which is also due to offering 14 days visa free regime for Indian tourists along with increase in number of direct flights,” Seitenov Darkhan, Deputy Ambassador of Kazakhstan to India, said on the occasion.

Highlighting the investment potential for Indian industry, Darkhan added that in order to meet the needs of Indian tourists in Kazakhstan, it would be advisable to consider building a network of Indian hotels and restaurants in the major cities in Kazakhstan. 

“We invite major Indian investors to participate in implementing these initiatives in our country,” he said.

Another key destination represented at the meeting was Sri Lanka, for which India has traditionally been the largest inbound source market.

Geshan Dissanayake

“The strong shared heritage between India-Sri Lanka forms the bedrock of our bilateral relationship. India alone stands out as a key source market for Sri Lanka. The integration of Indian UPI payment system with ‘LankaPay’ has made simplified payment options for Indian tourists visiting Sri Lanka,” said Geshan Dissanayake, Minister Commercial of the High Commission of Sri Lanka in India.

Dissanayake added that to fully realise the potential of outbound tourism there was a need to focus on marketing and promotion of various offerings by Sri Lanka, infrastructure development, promoting sustainable tourism and further streamlining the visa process.

Jyotsna Suri

“Working together, we can unlock the potential of outbound tourism between India-Sri Lanka,” he added.

Jyotsna Suri, past President, FICCI and CMD of Lalit Suri Hospitality Group said that any country had to have a healthy inbound and outbound tourism. 

Ankush Nijhawan

“Indian tourism has witnessed a major growth in last few years and while we are at the threshold of massive growth, we must be cognisant of sustainability as well,” she added.

Ankush Nijhawan, Chairman, FICCI Outbound Tourism Committee and Co-Founder, TBO and MD, Nijhawan Group, said that the global travel and tourism industry is expected to reach USD 2.6 trillion by 2027, growing at a CAGR of 8.2 pc. 

“The traveller preferences are becoming increasingly diverse, and demand tailor made travel services. Demographic boost, government support, increased connectivity and niche segment growth are powering India’s outbound travel boom,” he added.

Representatives from the Embassy of Madagascar to India, Embassy of Georgia to India, Malaysia Tourism Promotion Board, Singapore Tourism Board also shared their perspectives during the session.