X. TOURISM
- Tourism is one of the growth areas in the State economy and has performed well in the past. Kerala is established a place for itself in the national and global tourism scenario. Kerala is now recognised as one of the preferred tourism destinations nationally as well as globally. The outlay on tourism in the previous plans also reflects this importance. In the 8th Plan as against the initial outlay of Rs.29.22 crores the actual expenditure was Rs.52.74 cores and in the 9th Plan as against the initial outlay of Rs. 140 crores, the actual expenditure at the end of the Plan is estimated at Rs.193.54 crores. In addition to the above outlay from state funds, the sector has been able to attract substantial private investment. In fact this is one of the few sectors of state economy where there is no apparent dearth of private investment and private initiative. The Tourism Department itself recognises that its principal function is no longer the creation of physical facilities such as hotels but is of a facilitator, guide and friend of investors willing, and in fact eager, to invest in Kerala and to promote the State as a tourist destination. The Department has proposed as would seen from in table-11 below a very ambitious set of projects and programmes. One feature of this programmes is that many of them requires concomitant development and programmes by other departments such as public works, water supply, KSEB, LSG etc. The dept. has in this connection made suggestions for securing speedy and effective departmental co-ordination of efforts so as to ensure that the core of the tourism programme does not suffer due to lags on the part of other departments. The Plan Committee generally endorses the suggestion, and hope the Government will put in place effective mechanisms for inter departmental cooperation and wherever large projects are involved, constitute effective instruments such as empowered committee. The main allocations proposed by the department for the 10th Plan are of the following.
Table - 11
Details of schemes and allocation proposed by the Working Group on Tourism
(Rs. in lakhs)
Name of Scheme Proposed allocation for Tenth Plan Upgrdation and Creation of Infrastructure at Tourist Centres Conservation, Preservation and Promotion of Heritage, Environment and Culture Development of Eco-Tourism Products Infrastructure facilities and matching grants for Schemes sponsored by Govt. of India Studies on impact of Tourism including collection of tourist statistics Incentives for creation of infrastructure facilities and Tourism products in private sector Strengthening and Modernisation of Tourism Institutions District Tourism Promotion Councils and Convention and Visitors Promotion Bureau Kerala Tourism Development Corporation Tourist Resort (Kerala) Ltd. Kerala Institute of Tourism & Travel Studies Development of Bekal Beach Resort Construction of Accommodation for the Govt. functionaries while on tour and Administrat-ive Office buildings for Dept. of Tourism Infrastructure at Wagamon complex Rs.150 crores
- Upgradation and creation of infrastructure at tourism centres (93 crores). This will cover the following projects.
Kovalam Beach Resort
- Out of this, direct outlay from the Tourist Department is only Rs. 53 crores (Improvement of roads 15 cores, site development 10 crores, public amenities 5 crores, lighting 5 crores, development of trekking routes and camping sites Rs.2 crores, Botanic Garden 6 crores, Picinic, Rs. 5 crores and others Rs.5 crores). Department informed the Plan Committee that a master plan has been prepared and also a feasibility study has been completed and that the land for the facility has been acquired. For the full utilisation of the potential at Wagamon certain facilities such as improvement of the roads, development of water supply, electrical connection etc. should be provided by Other Departments after the schemes are evaluated and approved by State Government. So far as the development of Wagamon complex itself is concerned the various items proposed by the Tourism Department should be considered in the light of feasibility of entrusting some at least of the proposed development to private sector either wholly as or as part of a joint sector venture. In selecting joint sector partner, a transparent procedure should be following and a level playing field provided to private parties. In areas where there is no dearth of private investors such as hospitality facilities, KTDC should be free to making its own investment decision but without budgetary support. Most of the investments required for the Wagamon Projects are to be made by the other Department such as PWD, KWA, Local Self Government etc. and this emphasis the need for interdepartmental co-ordination. Similar schemes are proposed for upgradation and creation of infrastructure at various tourist centres like Thiruvananthauram, Kovalam, Ponmudi, Munnar, Thekkady, Kochi, Ashtamudi, Varkala, Kumarakom, Kozhikkode, Wayanad and others and for backwater development.
- The facilities at Kovalam have been upgraded to improve the image of this beach resort. Development of roads and pathways, lighting, augmentation of water supply scheme, construction of tourist information centre with modern facilities etc. have been undertaken by the department. Beach cleaning and lifeguard services are regularly offered. Action is to be initiated for the development of a sewage disposal system to fulfil the long-standing demand. Accommodation facilities have been improved at Ponmudi. Development of road, Tourist information centre, children's park etc. have been completed. The construction of a tourist complex with luxurious accommodation facilities initiated with central assistance has to be completed on priority basis. Works have already been sanctioned to beautify Munnar town through Public Works Department. Schemes like road widening and improvement, renewal of Thekkady town, augmentation of power and water supply etc. for the development of Thekkady have to be carried out urgently. Department is taking action on developing Fort Kochi as an international heritage centre. Construction of Gateway Centre Kollam, water sports activities etc. are to be taken up as part of integrated development of Ashtamudi backwaters. Detailed study has been carried out through NATPAC for the development of Kovalam-Kollam waterway for houseboat operation. The first phase of the project from Kovalam to Akkulam is being taken up with Irrigation department. Developmental activities such as construction of pathways, lighting, development of roads, drains etc. have been taken up at Varkala to make the Varkala Cliff beach and surroundings acceptable to international tourists. Department have sanctioned many schemes for the development of Kumarakom through Kumarakom Panchayat, lake road development, water supply scheme, public amenities, solid and liquid waste management etc. For the development of Kozhikkode city, certain projects like improvement of city roads, dram city projects, beach development etc. are to be considered. For the development of Wayanad, certain projects like development of tourism circuit Kalpetta, Sultanbathery, Mananthavady etc. are to be considered.
- Tourism is a growth sector in the State and has been registering commendable success in attracting both internal as well as international tourists. Even in the post Sept.11 period Kerala has fared much better than most of other tourist destination in India in attracting tourists. The State has the unmatched attraction of Nature and it still remains unspoiled in many parts of the State. Tourist department has been playing a leading role in promoting tourism and also acting as a facilitator. Being a Government department, it has the disadvantage of govt. procedures and systems regarding manning its offices. The presence of professionals in the department needs to be increased considerably. It should be recognized that tourist department should be professionally staffed and Government should freely allow them to engage professionals on contract basis. A general view which came up in the meeting of the Plan Committee, was that the District Tourism Promotion Council (DTPC) are not cost effective and its contribution to promotion of tourism is no more than marginal. There is a need to look at this structure and further devolution of funds to them may be made only after rigorous examination of DTPC's contribution to tourism development.
- Tourism has shown the ability to attract investment from the private sector. According to one estimate, 95% of the tourist infrastructure by way of accommodation are provided by private sector. Tourism industry has a complaint that in spite of its contribution to the economy, it is not treated as an industry and even promised incentives such as applying non industrial electricity tariff have been withdrawn. They are subjected to building tax while industrial units are not. The high luxury tax and the excise regulation are acting as dampers to its growth. Plan Committee was told of a particular instance in Thekkady where the right to ply boats in the Thekkady reservoir is exclusively reserved for Forest Department which due to financial difficulties is unable to provide adequate number of boats and at the same time the present policy do not allow private operation to public boats. The Reservoir is no doubt an ecological sensitive area and these concerns are capable of being addressed by insisting on suitable safeguards regarding noise and other pollutants. These are issues which can easily be solved by adopting a solution oriented approach.
- Tourism sector has also the advantage that there are many steps that the State Government can take without substantial financial investment. Prevention of begging, maintenance of cleanliness in tourist spots, provision of wayside amenities, changes in abkari policy, are some of the measures that can be thought of. The Plan Group was told that since steam railway engines have virtually disappeared from the Western world, a short ride in a steam engine driven train could be a tourist attraction. There are steam engines still active in the railway system or have been mothballed and these can be pressed into service for short trips such as Ernakulam to Alleppey, Ernakulam to Kottayam etc. The Department should examine the feasibility of such and similar imaginative steps which can attract tourists to the State.
- A summary of the Outlays proposed by the Working Groups and the Outlays
recommended by the Plan Committee is given in Table-12 below.
Table - 12
Sectoral Outlays for Tenth Plan
(Rs. in lakhs)
Sector Tourism Roads & Bridges Road Transport Ports & Harbours Inland Water Transport Other Transport Services