India’s G20 Presidency Revives Covid-Hit Hospitality, Tourism Sectors As Hotels Witness Surge In Bookings
India’s G20 presidency has been a major booster for the hospitality and tourism sectors of the country. The sectors, which suffered majorly during the pandemic, saw a revival with several cities across India hosting meetings of the G20 summit. As Delhi gears up for the G20 Summit in less than two weeks, the hotel industry has witnessed a surge in demand for rooms and other services with rates expecting to hit an all-time high. A presidential suite in a top luxury hotel may cost up to Rs 20 lakh per day during the summit, according to industry insiders.
The hospitality industry in India opines that the G20 has showcased India’s tourism potential in a big way. Joyjit Chakravorty, General Manager Hilton Garden Inn New Delhi said, “G20 Presidency has showcased Indian hospitality as the preferred experimental and sustainable tourism and MICE destination at the global stage. The events and meetings being spread across the length and breadth of our country, puts forward our local artisans, culture, performers, give away gifts, food and culture at the forefront of global tourism.” Chakravorty added, “Apart from the direct impact, we are already witnessing the infrastructure development by the government, foreign investment coming in and strengthening our ongoing growth stories.
G20 has further enhanced the relationship between government and private players for many more country wide events coming up in future.”
Kush Kapoor, CEO, Roseate Hotels & Resorts said that G20 will help the international delegates to experience the best of Indian hospitality. It will also help delegates, both government and corporate, from over 18 countries to understand the scope & potential expansion of Indian Hospitality in their own countries. “For the industry as a whole this benefits us with substantially higher revenues in the immediate future and opportunities for increased business generation in the near term,” said Kapoor.
Vishal Lonkar, General Manager, Brand Development, Renest Hotels & Resorts said that G20 has contributed to the success of the hospitality industry especially in international tourism. “G20 recognises the importance of the tourism industry as a key driver of economic growth, particularly in emerging economies. With the rise of emerging economies such as China and India, the G20 has focused on creating more opportunities for tourism growth by removing barriers to travel and reducing the costs of tourism. This has resulted in increased tourism flows, greater investment in tourism infrastructure, and the creation of more jobs in the hospitality industry.”
Lonkar further added that G20 has taken steps to reduce trade barriers by creating a more open and fair business environment. “This has enabled hospitality companies to expand their operations more easily into new markets, resulting in increased job opportunities and economic growth. Additionally, the G20 has encouraged investment in hospitality-related research and development, leading to increased innovation and advances in technology.”
Vikas Nagar, Operations Manager at Taj Ganges in Varanasi, said that the G20 meets have immensely benefited the economy of the city as well as projected the city on a world forum. “The delegates who have visited the city have not only had a taste of the fabled Indian hospitality but have also been overwhelmed by the spirituality and the culinary delights which have been offered in the city. The hospitality sector has witnessed a continuous demand even in months of April may where in the past these were considered traditionally as low months . It has benefited the local craftsman as well as the textile business in Varanasi.”
Airport hospitality too saw a major boom with G20 meets in India. Vikas Sharma, Chief Executive Officer, Encalm Hospitality said, “Following a two-year period marked by the challenges of the COVID-19 pandemic, the present moment shines as a golden opportunity for the hospitality industry. Air traffic has increased by 21.4 per cent compared to 2021-22 which signifies more people opting for airport hospitality and its services. Despite the hurdles we've faced, both business and leisure travel have made a strong resurgence in recent months, fostering hope for rapid and robust growth.” Sharma added that the arrival of foreign delegates and diplomats to our nation during the G20 summit will undoubtedly provide a substantial boost to airport hospitality services, further elevating their importance.
For the travel sector, the summit became the much needed booster dose. Ashish Sidhra, Co-founder of Alike.io said, “Strategically, over 200 G20 meetings have been scheduled across 55 iconic locations, from the sandy beaches of Goa to the historical marvel of Dholavira in Gujarat. This initiative is complemented by a robust publicity campaign targeting overseas markets, ensuring India's attractions resonate on the global stage. With an emphasis on green tourism, India is using the G20 Summit opportunity to lead the global sustainable travel trends. With more than 150,000 delegates forecasted to visit India during the year, the hospitality sector is already witnessing a booking surge, with hotel rates predicted to jump by 30-35 per cent due to the G20 events. Boosted by the G20 fillip, 2024, foreign tourist numbers are forecasted to touch 15 million in 2024, generating over USD 30 billion in revenue. This is a significant leap, considering the dip to seven million tourists in 2021 due to the pandemic.”
Ashish Jatia, Director Rhythm Hospitality said, “G20 has had a substantial indirect impact on the hospitality business in India, even though its primary focus is on global economic and financial issues. The G20 discussions' impact on trade agreements and policy has facilitated international travel and increased visitor inflow. The quality of travel has also improved as a result of infrastructure improvements and conversations about monetary stability. In addition to helping the industry recover, the G20's leadership in tackling pandemic-related issues has improved traveller trust. In essence, the G20 has been crucial in creating a climate that is favourable for the expansion of India's hotel sector.”
Ranjan Chopra, Founder, Qla, Dinning Restaurant at Mehrauli, Zorba Entertainment, Tatva Hills , Avataara Resort & Spa Goa opined that G20 summit in India has proven to be an exceptional windfall for hospitality industry. "The summit has driven hotels to achieve a 100% occupancy rate, showcasing the immense potential of such global events to boost business. This heightened demand has not only led to increased revenue but has also positioned our properties at the forefront of global luxury hospitality."
He added, "While hotels thrive with full occupancy, standalone restaurants are finding innovative ways to adapt and capitalize on this global event, ultimately contributing to the overall success and growth of luxury hospitality in India. Moreover, the G20 summit has enhanced India's image as a global destination, attracting more tourists in the long run."
Gagan Anand, Founder and Director, Scuzo Ice 'O' Magic Dessert Café felt that G20 summit will provide significant support to the hospitality industry, particularly for hotel owners looking to expand their businesses. "The influx of visitors and dignitaries during such international events often leads to a surge in demand for accommodation services. However, it's important to note that the retail sector is expected to be significantly affected during this period. Nevertheless, it's important to consider the long-term perspective. While there may be short-term challenges, hosting a prestigious event like the G20 summit can also enhance the overall image and reputation of our region. This, in turn, may attract more visitors in the future, benefiting both the hospitality and retail sectors."
