By Admin 
The ongoing war in West Asia is now directly impacting India’s economy. The country’s industrialists’ organization PHDCCI i.e. PHD Chamber of Commerce and Industry has released a report today in which it has been said that due to this conflict, tourism, aviation and hotel-restaurant sectors are suffering huge losses.
Aviation has suffered the biggest blow. Due to closure of airspace in the Middle East and change in flight routes, flights have become 2 to 4 hours long. Due to this, fuel consumption and expenses of airlines have increased significantly. Fuel already accounted for 35 to 40 percent of the total expenses of airlines and now this burden has become even heavier.
decline in foreign tourists
Foreign tourists are hesitant in coming to India. Due to the war, travelers all over the world are nervous and the number of foreign tourists coming to India has declined by 15 to 20 percent. Due to this the tourism industry earns Rs. There has been a loss of Rs 18,000 crore. Indian tourists are also now preferring to go to Thailand, Singapore and Vietnam instead of Dubai or Europe.
Increased pressure on restaurant and hotel sector
The restaurant sector earns Rs. every month. There is a loss of Rs 79,000 crore. 10 percent of the restaurants in the country have been closed. Due to expensive imported goods, transport and electricity, the cost has increased by 10 to 15 percent. Small and medium restaurant owners have been hit the hardest. Although there is some relief from food delivery, 20 to 30 percent of the income of many restaurants is still coming from delivery.
The hotels are still standing but there is pressure. Occupancy is good due to strong domestic travel, but premium and business hotels that depend on foreign guests are clearly under pressure on their earnings.
Demand for relief from government, domestic tourism becomes support
PHDCCI has made several important demands from the government – the organization says that international flight routes should be diversified and dependence on the Middle East should be reduced and the tax on aviation fuel (ATF) should be reduced.
Apart from this, the tax burden on hotels and restaurants should also be reduced. Small businessmen should get easy loans and the visa process should be made simple.
PHDCCI says that domestic tourism is the biggest support right now. Trends like revenge travel, staycations and experiential dining are driving the demand. The organization believes that this crisis is also an opportunity, India can learn from it and create a strong and self-reliant tourism ecosystem.