Reimagining Indian Tourism: Unlocking the Next Wave of Growth

India's tourism sector is entering a new phase of growth. Domestic travel continues to provide scale, international arrivals are recovering, and investment in airports, expressways and rail is bringing more destinations within reach. With a national ambition to build a USD 3 trillion tourism economy by 2047, the focus is shifting from visitor volumes to the quality of destinations, connectivity and visitor experience.

In this context, our latest report—launched at the ASSOCHAM National Tourism Conclave in New Delhi in September—examines the scale and direction of India's tourism economy. The whitepaper assesses the policy and infrastructure framework shaping the sector, the performance of six leading tourism states, and the implications for hospitality and tourism-linked real estate.

The report's analysis is shaped by five key themes:

• Policy and Infrastructure Momentum: Swadesh Darshan 2.0, PRASHAD and state tourism policies are driving destination-led development, while e-visa reforms now cover 172 countries and new expressways, UDAN routes and ropeways are opening up emerging destinations.
• State-level Opportunity: Uttar Pradesh leads with 36% of India's domestic tourist visits, while Tamil Nadu, Andhra Pradesh, Karnataka, West Bengal and Rajasthan bring distinct strengths. In several states, 5-star hotel supply lags visitor share, pointing to headroom for organised hospitality.
• Emerging Tourism Segments: Spiritual, wellness and medical, MICE and sustainable tourism are broadening demand, with adventure, cruise, rural and wildlife tourism adding new investment avenues.
• Hospitality Performance: India's organised hotel sector has ~450,000 rooms, with strong occupancy and a healthy national RevPAR.
• Workforce Readiness: With a projected shortfall of ~11 million workers by 2035, retaining talent and building specialised skills will be key to sustaining growth.

To get granular insights across states, tourism segments and hospitality markets, click the download button to access our report.