Lok Sabha Question No. 35 (UNSTARRED), answered on 2022-07-18
Subject: Investment in Tourism Sector in J&K
Ministry: TOURISM
Asked by: Mala Roy

## GOVERNMENT OF INDIA

## MINISTRY OF TOURISM

## LOK SABHA UNSTARRED QUESTION NO.35

## ANSWERED ON 18.07.2022

## INVESTMENT IN TOURISM SECTOR IN J&K

35. SHRIMATI MALA ROY:

Will the Minister of TOURISM be pleased to state:

- (a) the  details  of  investment  in  Tourism  sector  in  Jammu  & Kashmir (J&K) during the last three years;
- (b)
- if so, the details of the investors in this regard; and
- (c)

THE MINISTER OF TOURISM

- the impact of investment on socio-economic life in J&K?

## ANSWER

(SHRI G. KISHAN REDDY)

(a) & (b): The UT of J&K has seen tourist flow in all the seasons during  the  period  and  that  too  high  end  tourists  who  have  a  good experience  of  quality  services.  This  high  influx  of  tourists  has directly  and  indirectly  benefited  the  local  populace  including  the people living in far flung areas of the UT and it has resulted in huge investment  in  the  Tourism  sector  be  it  the  hotels,  guest  houses, house boats, home stays or other Tourism services. Other sectors indirectly connected with Tourism like Handicraft, Handloom, Transport,  Food  and  Beverages  business  etc.  have  also  witnessed an upsurge with investment made in these sectors as well.

Industrial Policy 2021 of J&K Government recognizes Tourism sector  as  an  industry  so  as  to  make  the  investment  in  Tourism sector eligible for incentives under the said policy.

Besides the J&K Government has also notified Tourism Policy 2020 which provides for various incentives in Tourism sector.

J&K Tourism Department has also notified Home Stay Policy/Guidelines 2022 with the aim to achieve de-centralization of benefits of tourism to large number of people to achieve a multiplier effect on the economy and offer several benefits like, employment generation,  increased  sale  in  traditional  craft/skill,  etc.  to  ensure that  the  economic  benefits  reach  local  people  by  making  more accommodation  rooms  available  and  reducing  the  price-point  for tourists.

Various infrastructure developmental projects under UT sector Capex Budget and Centrally sponsored scheme PMDP/PRASAD with a total allocation of Rs.683.45 crores have been taken up during the last 03 years which has facilitated up-gradation of various pilgrimage sites and works at tourist destinations across the UT of J&K in order to boost the tourism related activities and economy in the UT of J&K.

Since tourism sector is pre dominantly  a  private driven initiative, many stakeholders have come forward to make investments  by  way  of  making  new  hotel,  paying  guest  houses, lodges, travel agencies, adventure activities, tenting and so on.

As per the information provided by the Department of Industries  and  Commerce,  J&K,  Private  Investment  to  the  tune  of Rs.248.86 crores has been made in the Tourism sector during  the given period.

As  per  the  provisions  of  J&K  Tourist  Trade  Act  1978,  the prescribed  authority  in  the  Tourism  Department  registers  various hotels, guesthouses and other service providers. An analysis of the registration data provides a preliminary overview of the investment made in different services of Tourism sector. More than 1500 rooms have been registered in the hospitality sector since 2019 in addition to registration of other service providers and a large number are in process  of  registration.  Some  of  the  major  investments  in  this regard are enlisted at Annexure.

Besides, number of tourist accommodations which were not in use in view of the Covid restrictions and various other reasons prior to that in the UT of J&K have been renovated/re-modeled/upgraded by  making  substantial  investment  in  view  of  the  unprecedented highest ever tourist footfall in the UT in the last couple of years. Further  to  maintain  the  traditional  Houseboats  and  Shikaras, J&K  Govt.  has  decided  to  provide  concessional  timber  to  the owners  of  these  vessels  which  has  further  encouraged  these stakeholders to make their own investment to upgrade their vessels

to the highest standard.

(c): Tourism Sector in J&K is one of the core sectors of economy. As a result of the initiatives taken by the J&K Government in private sector  as  well  as  Government  sector  there  has  been  a  significant hike in the tourist foot  fall  despite  of  the  Covid  challenges.  In  the year  2020  the  tourist  foot  fall  was  41267  which  has  increased  to 1.05  crores  during  the first  six  months  (January-June)  of  the calendar year 2022. The UT of J&K has seen tourist flow in all the seasons during the period and that too high end tourist who have a good experience of quality services. This high influx of tourist has been directly and indirectly benefited the local populace including the people living in far flung areas of the UT.

The J&K  Tourist  Department has identified 75 off beat destinations as a part of Azadi Ka Amrit Mahotsav to commemorate 75  years  of  Independence  which  has  opened  the  scope  of  Rural Tourism and is expected to benefit the indigenous groups/stakeholder as the Government is encouraging Home stays, Tented  accommodation  along  with  local  cuisine,  Art  and  Culture which will lead to percolation of benefits from tourism sector to the grassroot level and encourage local experiential tourism.

******

## ANNEXURE

STATEMENT  IN  REPLY  TO  PARTS  (a)  AND  (b)  OF  LOK  SABHA UNSTARRED QUESTION NO.35 ANSWERED ON 18.07.2022 REGARDING INVESTMENT IN TOURISM SECTOR IN J&K.

The investment through Industries Department is given as under:

|   Sl.No | Name of Units registered with DIC under Tourism Sector                             |   Investment in Crores |
|---------|------------------------------------------------------------------------------------|------------------------|
|       1 | M/S Empyrean Skyview Projects Pvt. Ltd Patnitop                                    |                  43.15 |
|       2 | M/S Hotel The Vaishno Devi Katra, Reasi                                            |                   1.08 |
|       3 | M/S Rama Traident Katra, Reasi                                                     |                   4.6  |
|       4 | M/S Swastic Resorts, Railway Station Road, Katra Reasi                             |                   2.36 |
|       5 | M/S Hotel Rani Maa Near Railway Station Katra, Reasi                               |                  10.5  |
|       6 | M/S Hotel Tulip Tree, Railway Station Road, Katra                                  |                   5.14 |
|       7 | M/S Hotel Maa Gayatri India, Railway Road Katra, Reasi                             |                   2.73 |
|       8 | KC Grand Hotel, Rail Head Complex, Jammu                                           |                  16.16 |
|       9 | Jhelum Resorts Pvt. Ltd Opposite Bahu Plaza Rail Head Gandhi Nagar Extension Jammu |                   3.44 |
|      10 | Daluja Hospitality Private Limited Near Railway Station Jammu                      |                   9.85 |
|      11 | Skyline Hotels Narwal Bala Bye Pass Road Jammu                                     |                  49.05 |
|      12 | Four A Hotel & Resorts Pvt Ltd Purmandal Roads Birpur Bari Brahama                 |                   8.76 |
|      13 | Swastik Hotel, Gurduwara Sunder Singh Road, Jammu                                  |                   0.82 |
|      14 | Route-44, Jagti (opposite Petrol Pump) Nagrota, Jammu                              |                   1.21 |
|      15 | S Grand Centre Point Rajbagh                                                       |                   6.02 |
|      16 | Hotel Down Town Munawar Abad                                                       |                   4.42 |
|      17 | The Orchard Ahal Dani Hama Hazratbal                                               |                  17.36 |
|      18 | Hotel Mount View K.P. Road Main Market Pahalgam                                    |                   1.2  |

| 19.   | M/S Grand Mumtaz Resorts Pahalgam                    |   4.64 |
|-------|------------------------------------------------------|--------|
| 20.   | M/S Bright Place Saduapad au Laipora Pahalgam        |   0.38 |
| 21.   | Bombay Palace LariporaPahalgam                       |   0.66 |
| 22.   | Edan Resorts Spa MoveraPahalgam                      |   4.25 |
| 23.   | M/s Hotel Tranquil                                   |  16.21 |
| 24.   | M/S Victory Guest House Rajbagh                      |   1.65 |
| 25.   | M/S the Sara Rajabah                                 |   7.41 |
| 26.   | M/s Shahbaz Hussain and Rava Javaid                  |   0.31 |
| 27.   | Snow Land Guest GagribalBuchwara                     |   2.55 |
| 28.   | Hotel Rahat LadiPahalgam                             |   2.91 |
| 29.   | M/s Hotel Zabarkan Resorts Lad Pahalgam              |   2.91 |
| 30.   | M/s Royal Residence DehwotooPahalgam                 |   1.6  |
| 31.   | M/S Kawal Cottage BidhadKokernag                     |   2.56 |
| 32.   | M/s Hotel the River Resorts LadiPahalgam             |   1.16 |
| 33.   | M/S Easten Grand Haripora                            |   1.75 |
| 34.   | M/S Mount Lack View Resorts Baba Dariyadin Ganderbal |   5.67 |
| 35.   | M/s Mount view Hotel and Restaurant                  |   0.58 |
| 36.   | M/s Himalaya Herbal Resorts LachipatriSonamarg       |   1.99 |
| 37.   | M/s Safa Cottage HardimadamTangmarg                  |   1.82 |
|       | Total                                                | 248.86 |

******