HAI President on Union Budget 2012/13Sub. : Impact on Tourism and Hospitality Industry
The Union Budget 2012-2013 presented today in Parliament appears to have limited impact on the hospitality sector.
The Hotel Industry was hopeful that it would be accorded the status of infrastructure industry in the Budget. This would have created a liberal financial environment, enabling it to achieve the target of more than doubling its hotel room inventory and providing around 25 million new jobs in the tourism sector as envisaged in the 12th Five Year Plan period. This, however, has not happened.
On the other hand, hikes in excise duty and service tax would make the hospitality and travel services more expensive.
Hotel Association of India
Date : 16th March 2012