According to the World Travel and Tourism Council, outbound tourism expenditure by Indian tourists in 2023 was US$34.2 billion.
But the current level of tourism in India is Alan Watts, president of Hilton Asia Pacific, told “Squawk Box Asia” on Monday that it was “minuscule” compared to what was to come.
“The story of India is right in front of us,” he said. “Indian outbound tourism will be a theme in the next decade.”
Outbound spending by Indian tourists is expected to more than double to $76.8 billion by 2034, making the country the world’s seventh-largest travel spender, according to the World Travel and Tourism Council’s Economic Impact 2024 report , rising to 12th place from 12th place in 2019.
“When you think about India, it has characteristics of China, which is the second-largest accommodation market in the world,” Watts said. It has “1.4 billion people, a young population, historically strong GDP growth. But India’s infrastructure… is only now being built.”
India is investing heavily in infrastructure, building and improving roads, high-speed rail and airports, with a view to doubling its economy to $7 trillion by 2030 and turning India into a developed country by 2047.
According to Airports Council International, India currently has the third-highest number of air passengers in the world, after the United States and China. It is expected that there will be 960 million new passengers in 2042.
The country’s flag carrier Air India on Monday confirmed orders for 100 Airbus aircraft, including orders for 10 A350 and 90 A320neo jets, following a record-breaking order of 470 Airbus and Boeing aircraft in 2023 .
Next is Record order for 500 Airbus aircraft Indian low-cost carrier Indigo will deliver the aircraft in 2023, with deliveries planned between 2030 and 2035, according to Indigo.
As for whether India will become the “new China” of global tourism, Watts said, “It does seem to have the characteristics right for it, and that’s why the industry is so optimistic.”
He also pointed out that outbound tourism from India is growing faster than China.
Hotel expansion
Global hotel companies are also gearing up for a surge in new tourists, with millions expected to enter India’s middle class in the coming years.
On November 19, Hilton announced an agreement to open 150 Spark by Hilton hotels in India, a “high-end economy” brand launched in the United States in 2023.
Discussing the potential for branded hotels to expand in India, Watts confirmed that the number of branded hotels in India is about the same as in Las Vegas.
But now it’s getting more attention from outside investors.
“What’s different about India this time is its foreign direct investment. The fact that some of the big capital players are in India is new,” Watts said.
Marriott, IHG, Hyatt and Wyndham also move to tap India’s growing travel interest, Marriott announces plans The subcontinent will have 250 hotels by 2025.
attract indian tourists
As outbound tourism from China remains in decline, more countries are attracting Indian tourists through new visa-free agreements. Direct flights and advertising campaigns.
Australia’show was the holidayThe campaign, launched in November during the Australia-India Test cricket series, is expected to reach 50 million people, according to Australia’s Trade and Tourism Minister.
The number of Indian tourists visiting Australia is expected to double by 2028, according to a press release announcing the launch of the campaign.
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