Lok Sabha Question No. 1109 (UNSTARRED), answered on 2021-07-26
Subject: MoU with Online Travel Companies
Ministry: TOURISM
Asked by: Chandra Sekhar Bellana

## GOVERNMENT OF INDIA

## MINISTRY OF TOURISM

## LOK SABHA UNSTARRED QUESTION NO.1109 ANSWERED ON 26.07.2021

## MOU WITH ONLINE TRAVEL COMPANIES

## 1109. SHRI CHANDRA SEKHAR BELLANA:

Will the Minister of TOURISM be pleased to state:

- (a) whether  the  Government  has  recently  signed  an  MoU  with online travel companies like Clear Trip and Ease My Trip etc.
- (b) if  so,  the  details  thereof  and  the  reasons  thereon  for  signing such an MoU;
- (c) the basis on which these companies have been selected and the details of the selection process of these companies;
- whether any revenue sharing mechanism agreement has been entered  into  with  these  companies  and  if  so,  the  details
- (d) thereof; and
- (e) whether  any  guidelines  have  been  issued  in  this  regard  to State  Tourism  Departments  on  the  modalities  of  such  a partnership and if so, the details thereof?

## ANSWER

(SHRI G. KISHAN REDDY)

## MINISTER OF TOURISM

(a) & (b): Yes,  Sir.  The  Ministry  of  Tourism  has  recently  signed MoUs with three Online Travel Companies namely EaseMyTrip.com, Cleartrip Pvt Ltd and Yatra Online Pvt Ltd to get a clear picture on the geographical spread of the Hospitality Sector, its size, structure and  existing  capacity  so  as  to  offer  relevant  services  to  the Hospitality  Industry  [like  assistance  in  COVID-19  preparedness through SAATHI (System for Assessment, Awareness & Training for Hospitality Industry), Star Classification etc.], under National Integrated Database of the Hospitality Industry (NIDHI). As a step towards realising this vision, the Ministry has solicited assistance from the Online Travel Aggregation Companies by way of entering into an MoU with the Ministry of Tourism.

(c): A  circular  has  been  uploaded  on  the  Ministry  of  Tourism website inviting all Online Travel Aggregation  Companies to express  their  intent  to  participate  in  this  exercise.  A  copy  of  the same is given at Annexure. It is an ongoing process to engage with Industry stakeholders. (d): No, Sir. No revenue sharing mechanism in the agreement has been entered into with these companies. (e): The guidelines regarding NIDHI & SAATHI have been issued to the  State  Tourism  Departments  &  the  Ministry  is  continuously engaging with State Tourism Departments for promoting them. The modalities related to the objectives of the MoU are in development stage.

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ANNEXURE STATEMENT IN  REPLY  TO  PART  (c)  OF  LOK  SABHA  UNSTARRED QUESTION  NO.1109  ANSWERED  ON  26.07.2021  REGARDING  MOU

WITH ONLINE TRAVEL COMPANIES.

## CIRCULAR

Ministry  of  Tourism  is  in  the  process  to  build  a  technology  driven system, aligned with 'Atmanirbhar Bharat', to get a clear picture on the geographical spread of the Hospitality Sector, its size, structure and  existing  capacity  so  as  to  offer  relevant  services  to  the Hospitality  Industry  (like  SAATHI,  Star  Classification  etc.),  under NIDHI  (National  Integrated  Database  of  the  Hospitality  Industry). This initiative is poised to be a game changer for the industry by not only  serving  as  a  platform  for  the  Hospitality  organizations  to ideate,  share  best  practices  and  connecting  with  the  Government for  ease  of  doing  business  but  also  by  acting  as  an  interface between  the  Government,  the  hospitality  industry  and  the  tourist. This will not only assist in the generation of information for policy and decisions, HR requirements, disseminating disaster/health safety protocol, but will also help in creation of jobs. As a  step towards  realising this vision, the Ministry solicits assistance from the Online Travel Aggregation Companies by way of entering  into  an  MoU  with  the  Ministry  of  Tourism.  This  MoU  is  a promise  to  work  together  to  strengthen  the  hospitality  industry ecosystem, will be open to all OTAs, will be non-exclusive, will be non-financial and shall not legally obligate any party.

Please  drop  a  mail  to  hraccdivision@gmail.com  with  your  contact details  to  express  your  intent  to  participate  in  this  exercise.  We shall connect with you with details.

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