Tourism in India Can Offset U.S. Tariff Losses, But Needs Big Investment
Photo Credit: A houseboat cruising in Kerala's backwaters. Pexels / Benhur Emmanuel
Skift Take
Tourism can more than compensate for the potential losses that Indian businesses may have to suffer because of the Trump tariffs, but for that the country would need to invest significantly in marketing.
India should make tourism a national growth engine, according to former G20 Sherpa Amitabh Kant, calling for at least INR 200 billion ($2.3 billion) to promote the country in global markets through a revamped “Incredible India” campaign. “A large country like India having a tourism budget of just INR 30 million ($361,000) is absurd,” Kant told CNBC-TV18, adding that a stronger tourism push could “more than compensate” for the potential losses from proposed U.S. tariffs.
The United States has suggested a 50% tariff on India in response to its imports of Russian oil. Kant, who spearheaded the original “Incredible India” campaign and now sits on IndiGo’s board as a non-executive director, sees this as a chance to offset the economic hit by unlocking tourism’s full potential. “This is a once-in-a-generation opportunity to bring in radical reforms across sectors, make India more competitive, and use tourism as a growth engine,” he said.
He add
