THE SRINAGAR RETREAT

A REPORT

CONTENTS

SECTION ONE: INTRODUCTION

President’s Foreword ............................................................................ 3

The WTTC India Initiative – The Members ........................................ 4

SECTION TWO: THE SRINAGAR RETREAT

The Programme of Events .................................................................... 6-7

The Delegates ...................................................................................... 8

Conclusions and Recommendations ..................................................... 9-17

Glimpses .............................................................................................. 18-19

The Group Photograph ........................................................................ 20-21

SECTION THREE: THE NEXT STEP

The Srinagar Declaration ...................................................................... 24

The Valedictory RemarksMr N K Singh ...................................................................................... 25

The Conclusion ................................................................................... 26

CHAIRMAN:

Sir Ian ProsserChairmanInterContinental Hotels Group

VICE CHAIRMEN:

American Airlines

Jean-Marc EspaliouxChairman of Management Board &CEOAccor

André JordanChairmanLusotur SA

Jonathan S LinenVice ChairmanAmerican Express Company

Vincent A WolfingtonChairmanCarey International, Inc

EXECUTIVE COMMITTEE:

Peter ArmstrongPresident & CEORocky Mountaineer Railtours

David BabaiChairmanGullivers Travel Associates

Sebastián EscarrerVice ChairmanSol Meliá

Manuel Fernando Espírito SantoPresidentEspírito Santo Tourism

Edouard EttedguiGroup Chief ExecutiveMandarin Oriental Hotel Group

Maurice Flanagan CBEGroup Managing DirectorThe Emirates Group

Michael FrenzelChairmanTUI AG

David HouseGroup President, Global Networkand Establishment ServicesAmerican Express Company

Richard R KelleyChairmanOutrigger Enterprises, Inc

Geoffrey J W KentChairman & CEOAbercrombie & Kent

J W Marriott, JrChairman & CEOMarriott International, Inc

David MichelsChief Executive, Hilton Group plcHilton International

Curtis NelsonPresident & CEOCarlson Companies

P R S OberoiChief ExecutiveThe Oberoi Group

Henry SilvermanChairman, President & CEOCendant Corporation

Jonathan TischChairman & CEOLoews Hotels

Brett TollmanVice ChairmanThe Travel Corporation

GLOBAL MEMBERS:

Akbar Al BakerCEOQatar Airways

Giovanni AngeliniCEO & Managing DirectorShangri-La Hotels & Resorts

Phil BakesChairman & CEOFAR&WIDE Travel Corporation

Ted BalestreriChairman & CEOCannery Row Company

Henrik BartlHead of InternationalHotel FinancingAareal Bank AG

Jurgen BaumhoffCEOQatar National Hotels Company

Gordon BethuneChairman of the Board & CEOContinental Airlines

Raymond BicksonManaging DirectorThe Taj Group of Hotels

Richard BrownChief ExecutiveEurostar GroupRegis BulotChairman of the BoardRelais & Chateaux

Marilyn Carlson NelsonChairman & CEOCarlson Companies

Alun CathcartDeputy ChairmanAvis Europe Plc

U Gary CharlwoodFounder, Chairman & CEOUniglobe Travel (International)Inc

Jennie ChuaChairman & CEORaffles International Hotels &Resorts

David CliftonManaging Director, Europe & AsiaInterval International

Glen DavidsonSenior VP, Worldwide TravelInsurance & Related ServicesAmerican International Group Inc

Alain DemissyChairmanMondial Assistance Group

Rod EddingtonChief ExecutiveBritish Airways plc

Mathias EmmerichChairmanRail Europe Group, Inc

Rakesh GangwalPresident & CEOWorldspan

Laurence GellerChairman & CEOStrategic Hotel Capital

Henri Giscard d’EstaingChairman & CEOClub Méditerranée

Maurice H GreenbergChairman & CEOAmerican International GroupInc

Naresh GoyalChairmanJet Airways

Richard HelferRaffles International Hotels &Resorts

James HensleyPresidentAllied Europe

James HoganPresident & Chief ExecutiveGulf Air

Stephen HolmesVice ChairmanCendant Corporation

Raimund HoschPresident & CEOMesse Berlin GmbH

Xabier de IralaChairman & CEOIberia, Airlines of Spain

Nuno Trigoso JordãoPresident & CEO Sonae Turismo Gestaoe Servicos

Sol KerznerChairman & CEOKerzner International Ltd

Nigel KnowlesManaging PartnerDLA

Krishna KumarVice ChairmanThe Taj Group of Hotels

Hans LerchPresident & CEOKuoni Travel Holding Ltd

Manuel MartinPartnerCyberDodo Productions Ltd

Wolfgang MayrhuberCEOLufthansa German Airlines

Paul McManusPresident & CEOThe Leading Hotels ofthe World

David MongeauVice PresidentCIBC World Markets

Alan MulallyExecutive Vice PresidentThe Boeing Company

John M NoelPresident & CEOThe Noel Group

Tom NutleyChairmanReed Travel Exhibitions

Alan ParkerManaging DirectorWhitbread Hotel Company

Jean Gabriel PérèsPresident & CEOMövenpick Hotels & Resorts

Dionísio PestanaChairmanGroup Pestana

Stefan PichlerChairman & CEOThomas Cook AG

Fernando PintoCEOTAP Air Portugal

Wolfgang Prock-SchauerChief Executive OfficerJet Airways

David RadcliffeChief ExecutiveHogg Robinson plc

Kurt RitterPresident & CEORezidor SAS Hospitality

Peter RogersPresident & CEODiners Club International

Carl RudermanChairmanUniversal Media

Bruno SchöpferChairman of the BoardMövenpick Hotels & Resorts

Robert SelanderPresident & CEOMasterCard International

Per SetterbergCEOGlobal Refund Group

Barry SternlichtChairman & CEOStarwood Hotels & ResortsWorldwide, Inc

Ron StringfellowExecutive ChairmanSouthern Sun Group

Lalit SuriChairman & Managing DirectorBharat Hotels Ltd

Ian SwainChairman & CEOSwain Travel Services Inc

Kathleen TaylorPresidentWorldwide Business OperationsFour Seasons Hotels and Resorts

José Antonio TazónPresident & CEOAmadeus Global TravelDistribution

Jeffrey TofflerChairmanCoventry Partners

Mustafa TürkmenCEO & Managing DirectorEnternasyonal TourismInvestments, Inc

Patrice VinetPartnerAccenture

Daniela WagnerManaging Director, InternationalOctopustravel.com

Peter YesawichManaging PartnerYesawich, Pepperdine, Brown &Russell

HONORARY MEMBERS:

Lord Marshall of KnightsbridgeChairmanBritish Airways plc

Sir Frank Moore, AOChairmanTaylor Byrne Tourism Group

Frank OlsonChairman of the BoardThe Hertz Corporation

Gérard PélissonCo-Chairman, Supervisory BoardAccor SA

Tommaso ZanzottoPresidentTZ Associates Ltd

CHAIRMAN EMERITUS:

James D Robinson IIIGeneral PartnerRRE Ventures

IMMEDIATE PAST

CHAIRMEN:

Harvey GolubRetired Chairman & CEOAmerican Express CoWTTC Chairman (1996 – 2001)

Robert H BurnsChairmanRobert H Burns Holdings LimitedWTTC Chairman (1994 – 1996)

PRESIDENT:

Jean-Claude Baumgarten

As at October 2003

Introduction President’s Foreword

WHILST THE WTTC INDIA INITIATIVE HAS EVOLVEDENORMOUSLY SINCE ITS INCEPTION IN FEBRUARY2000, OUR PRINCIPAL GOAL REMAINS UNCHANGED –TO RAISE AWARENESS OF THE CRUCIAL ROLE THATTRAVEL & TOURISM PLAYS IN THE INDIAN ECONOMY.

The WTTC India Retreat has proved to be a successful vehicle forcommunicating this message and I am grateful to the participants ofthe first three Retreats for making this possible. There is no doubtthat the success of these events is due to the commitment of thedelegates who, not only agree to spend a weekend locked in debate,but also play a crucial role in unraveling what needs to change inorder for Travel & Tourism to flourish in India.

Readers of this report will not besurprised to learn that our decision to holdthe third Retreat in the State of Jammu &Kashmir was not one that was taken lightly.Security issues were discussed at length anda number of our guests had strongreservations.

However, I think I speak for everybodyinvolved when I say that, once there, we wereall convinced that this was an extremely aptand pertinent location for discussing theeconomic importance of Travel & Tourism.After all, the State of Jammu & Kashmir wasformerly one of India’s most popular tourismdestinations and yet currently tourists are fewand far between. Mr Omar Abdullah,President of the National Congress andkeynote speaker at this Retreat explained tous that everything had changed extremelyrapidly. People who had previously relied onTravel & Tourism suddenly found that theyhad no income and handicrafts that had beensold in abundance within Jammu & Kashmir,became items for export.

This was how the people of this beautifulState came to realise the extent to which they

had relied on Travel & Tourism for theirlivelihood.

So what better place than Srinagar forrecognising the economic and job-creatingimportance of Travel & Tourism?

I am extremely grateful to the ChiefMinister of Jammu & Kashmir, MuftiMohammad Sayeed, who acted as the Patronof this Retreat and whose support was asource of enormous encouragement.

Moving onto the business agenda of theRetreat, I am delighted to highlight tworecent steps which were the direct result ofour discussions in Srinagar:1. The decision to release a WTTC WhitePaper on Civil Aviation.2. The decision to make the State of Jammu& Kashmir a WTTC Partner State.

I hope that these steps and therecommendations offered in this reportdemonstrate our commitment to Travel &Tourism. It is our firm belief that thisindustry can provide an important tool fortackling some of the economic, social andenvironmental challenges facing India today.

3

SECTION 1

JEAN-CLAUDE BAUMGARTEN

President

World Travel & Tourism Council

The WTTC India Initiative:The Members

Mr Vikram Madhok*Abercrombie & Kent

Mr Sunder G AdvaniAdvani Hotels & Resorts (India) Ltd

Mr Ankur Bhatia*Amadeus India Pvt Ltd

Mr K L Muralidhara*American Express

Mr Harsh NeotiaAmbuja Cement Eastern Ltd

Mr Shiv Kumar JatiaAsian Hotels Ltd

Mr K Roy PaulAir India

Mr Lalit Suri*The Grand Group of Hotels

Mr Maurice Flanagan*Emirates

Maharana Arvind Singh MewarHistoric Resort Hotels Ltd

Mr Vivek NairHotel Leelaventure Ltd

Mr Sunil AroraIndian Airlines

Mr Nakul AnandITC Hotels

Mr Naresh GoyalJet Airways

Maharaja Gaj Singh of JodhpurMaharaja Heritage Resorts

Mr P R S Oberoi*The Oberoi Group

Ms Priya PaulThe Park Hotels

Mr Uttam Kumar BoseSahara Airlines India

Mr Arjun SharmaSelect Holiday Resorts

Mr Himmat AnandSita World Travel

Mr Chandan Kashikar*Six Continents Hotels

Mr R K Krishna Kumar*The Taj Group

Mr Adi J KatgaraTravel Corporation India Pvt Ltd

Mr Ashwini Kakkar*Thomas Cook (India) Ltd

THE WTTC INDIA INITIATIVE IS BACKED BY TWENTY-THREE KEYPLAYERS FROM SOME OF THE MOST INFLUENTIAL TRAVEL & TOURISMCOMPANIES IN THE WORLD.

In joining this Initiative each Member has made a personal commitment to worktowards overcoming the barriers to tourism growth in India, irrespective of their individualbusiness needs.

It is our belief that through coming together and speaking with one voice, we are betterpositioned to advance the cause of Travel & Tourism in India.

The Srinagar Retreat

SECTION 2

4

The Members of the WTTC India Initiative are:

* Also Global Members

PROGRAMME

DAY 1 - FRIDAY, 5 SEPTEMBER 2003

12.35 Participants arrive at Srinagar Airport on Flight 9W 603

13.15 Participants check-in at InterContinental The Grand Palace,Srinagar

13.30-15.00 Buffet LunchHosted by Mr Jean-Claude Baumgarten, President, WTTC

15.00-17.30 Leisure time for Shikara ride or walk by the Dal Lake

17.30 Participants assemble for Tea in Chinar Bagh

18.00 Inaugural Session commences in Durbar Hall

IntroductionMr Yogesh Chandra, Secretary General, WTTC India Initiative

Welcome AddressMr Lalit Suri, Chairman & Managing Director, The Grand Group of Hotels

Presidential AddressMr Jean-Claude Baumgarten, President, World Travel & Tourism Council

Address by Chief Guest - The Chief Minister of Jammu & KashmirMufti Mohammad Sayeed

Inaugural AddressDr Karan Singh, Member of Parliament

Presentation by Department of TourismGovernment of Jammu & Kashmir

20.30 Cocktails and DinnerHosted by Mr M Y Khan, Chairman, Jammu & Kashmir Bank

DAY 2 - SATURDAY 6 SEPTEMBER 2003

07.30-09.30 Breakfast at Chinar Café

09.45-10.00 Delegates assemble in Durbar Hall

10.00-10.05 Opening Remarks on the Retreat AgendaMr Yogesh Chandra, Secretary General, WTTC India Initiative

10.05-10.30 Presentation - Progress Through Partnership Amongst PeopleMr Suhel Seth, CEO, Equus Red Cell Advertising

10.30-11.00 The Impact of Tourism on the State EconomiesMr Jairam Ramesh, Secretary, All India Congress Committee

11.00-11.30 The Marketing of TourismMr Amitabh Kant, Joint Secretary Tourism and CMD, ITDC

11.30-12.00 Tourism and Jammu & KashmirMr Omar Abdullah, President, National Conference

12.00-13.30 Reflections on morning Session - Questions and AnswersAnchored by Mr Suhel Seth, CEO, Equus Red Cell Advertising

13.30-14.30 Luncheon at Chinar BaghHosted by Mr Suhel Seth, CEO, Equus Red Cell Advertising

14.30-16.00 Break-out sessions to cover the following topics:1. Aviation/Taxation2. Marketing of tourism3. How tourism impacts the state economies4. Infrastructure (particularly roads and railways)5. Development of Gateways (airports, ports and marinas)

16.00-18.00 Working Group Presentations to be followed by open debateAnchored by Mr Suhel Seth, CEO, Equus Red Cell Advertising

18.00-18.30 Valedictory AddressMr N K Singh, Member, Planning Commission

18.30-18.45 Closing of RetreatMr Jean-Claude Baumgarten, President, World Travel & Tourism Council

20.30 Cocktails and Theme Dinner (Black and White)Hosted by Mr Lalit Suri, Chairman & Managing Director,The Grand Group of Hotels

6 7

MEMBERS OF PARLIAMENT

Mr Ashwani Kumarand Mrs Madhu Kumar

Begum Noor Bano

Mr Dineshbhai Trivediand Mrs Minal Trivedi

Dr Karan Singhand Mrs Yasho Rajya Lakshmi

Mr Prithviraj Chavanand Mrs Satya Sheela Chavan

Mrs Renuka Chowdhuryand Ms Poojita Chowdhury

Mr Saleem Iqbal Shervani

MEDIA

Ms Bachi KarkariaResident EditorThe Times of India

Mr Chandan Mitraand Mrs Shobori GangulyEditor-in-ChiefThe Pioneer

Mr Karan ThaparPresidentInfotainment Television

Mrs Naazneen KarmaliAnd Mr Aquil KarmaliConsultant EditorThe Business India Group

Mr Rabindra SethFreelance Journalist

Mr Rohit BansalResident EditorFinancial Express

Dr Sanjay Baruand Mrs Rama BaruChief EditorFinancial Express

Ms Tavleen SinghColumnist

GOVERNMENT

Mr N K Singhand Mrs Prem KumariMemberPlanning Commission

General S K SinhaGovernorJammu & Kashmir

Mr Sudhir S BloeriaChief SecretaryJammu & Kashmir

Mr Ghulam Ahmad MirMinister of TourismJammu & Kashmir

Mufti Mohammad SayeedChief MinisterJammu & Kashmir

Mr V Subramanianand Mrs SubramanianAdditional SecretaryMinistry of Civil Aviation

Mr Amitabh Kantand Mrs Ranjeeta KantJoint SecretaryMinistry of Tourism

WTTC MEMBERS

Mr Sanjeev TalwarRegional DirectorAir India

Mr Lalit Suriand Mrs Jyotsna SuriChairman & Managing DirectorThe Grand Group of Hotels

Maharana Arvind Singh MewarChairmanHistoric Resort Hotels

Princess Padmaja Kumari MewarHistoric Resort Hotels

Ms Anjana MaheshwariGeneral ManagerIndian Airlines

Major S S H RehmanDirectorITC Limited

Mr Nakul AnandManaging DirectorITC Hotels

Ms Nandini VermaVice PresidentCorporate Affairs & Public RelationsJet Airways

Mr Saroj DattaExecutive DirectorJet Airways

Ms Ragini ChopraVice PresidentBusiness Development& Corporate CommunicationsThe Oberoi Group

Mr Himmat AnandCEOSita World Travel

Mr Ajoy MisraSenior Vice PresidentSales & MarketingThe Taj Group of Hotels

Mr D K BeriVice PresidentBusiness & Corporate AffairsThe Taj Group of Hotels

Mr Ashwini KakkarCEO & Managing DirectorThomas Cook India Ltd

Mr Alok SharmaVice PresidentCorporate Strategy and CommercialSahara Airlines Ltd

PARTNER STATE

Mr Rajeeva SwarupCommissionerDepartment of TourismArt & CultureGovernment of Rajasthan

WTTC TEAM

Mr Jean-Claude BaumgartenPresident

Mr Yogesh ChandraSecretary General, WTTC India

Ms Marianne Thompson-HillDirector, Regional Programmes

CONSULTANT

Mr Suhel Seth

9

The Delegates Conclusions and Recommendations

The Working Group

ChairmanMr Saroj Datta

RapporteursMr Alok Sharma

DelegatesMr S K MisraMr V SubramanianMs Anjana MaheshwariMr Sanjeev TalwarMr Chandan MitraMr Rohit BansalMr Prithviraj Chavan

RECOMMENDATIONS

The principal issue of concern forthis working group was theprice of travel. In that respect, thegroup made the followingrecommendations:

Aviation

� Civil Aviation should be treatedas an employment generatorand usnd as an ‘economicactivity engine’. Such anapproach would enable thecountry to exploit the direct andindirect economic benefits ofcivil aviation. The cost ofdomestic flights should belowered. Airlines shouldrecognise that while, loweringfares will inevitably lead to areduction in revenues from eachtraveller, this would quickly becounteracted by an increase inthe number of travellers. Thefinal result would benefiteverybody – the tourist, theairline, the hotelier, the taxidriver and the guide.

� WTTC would need to convincethe Ministry of Finance of thebenefits of cutting the cost oftravel. It was noted that theMinistries of Tourism, Civil

Aviation/Taxation

Aviation and all other relateddepartments were alreadyconvinced that this would be abeneficial step.

� Cost cutting should not beperceived to be a short-termsolution, but rather one thatwould benefit India in thelong-term.

Taxation

We should appeal for a lowering ofthe cost of:

� Aviation Turbine Fuel; and

� landing and navigation charges.

We should also highlight the need:

� For the elimination of InlandAir Travel tax.

� To review the Route DispersalGuidelines.

8

Marketing of Tourism

The Working Group

ChairmanMr Nakul Anand

RapporteurMs Ragini Chopra

DelegatesMr Amitabh KantMrs Renuka ChowdhuryMs Padmaja KumariMs Tavleen SinghMr Karan Thapar

Conclusions and Recommendations

The Internal Challenge

� Once lured to India, it wasimportant that the brandlived-up to people’sexpectations.

� In order to do this, it wasnecessary to invest in anumber of factors includinginfrastructure, hygiene,airports and aviation.

� Industry leaders should worktogether in partnership with theGovernments.

� In order to gain supportfrom the Government - bothCentral and State – WTTCshould continue to raiseawareness of the importanceof Travel & Tourism as acreator of jobs and economicprosperity.

RECOMMENDATIONS

The working group looked at theproblem of marketing in terms ofboth the external message and theinternal challenge. They made thefollowing comments andrecommendations:

External Marketing ofIndia

With regards to the externalmarketing of India, the groupposed three questions:

1. How successful was theIncredible India Campaign?

2. What makes India a uniqueand distinctive destination?

3. How could India bedistinguished fromneighouring destinations?

As a result of their discussions, theyrecommended that it was necessaryto:

� Enhance awareness of India

as a tourism destination.

� Create an India brand thatstrongly attracts consumers.

� Members of Parliament whohad participated in the Retreatscould also raise awareness bothwith Central Government andin their States, as well as amongelected representatives andopinion makers.

� The media could address crucialeconomic and developmentissues through comments andarticles.

� Awareness programmes couldbe created for schools, collegesand discussion fora.

However, the group felt that thesegoals could not realistically bereached without a hugecommitment in terms of time andmoney. As a means of raisingmoney they made the followingsuggestions:

� A special tax of 1,000 Rupeescould be levied on theoutbound tourist. This waslikely to generate as much as450 Crores. This fund couldthen be used solely for thepurposes of an integratedcommunications strategy tobuild Brand India.

� The private sector could beallowed access to the Brand IndiaFund, currently managed by theMinistry of Commerce, and tothe Special India Investment Fund,created and managed by theMinistry of Finance.

10 11

Tourism & the State Economies

The Working Group

ChairmanMaharana Arvind Singh Mewar

RapporteurMr Rajeeva Swarup

DelegatesMs Bachi KarkariaMr Himmat AnandMr Dineshbhai TrivediBegum Noor BanoMr D K Beri

Conclusions and Recommendations

3. By generating revenue.

4. By encouraging sustainabledevelopment.

5. By encouraging thedevelopment ofunderdeveloped regions.

6. By helping to establish animage and brand for the State.

RECOMMENDATIONS

This Working Group felt thatTourism was the only industry thatboosts every state economy. Theywere encouraged to note that mostof the State Governments werefully aware of this fact as well as ofthe other benefits of Travel &Tourism. Prior to making specificrecommendations, they identifiedsix ways in which Travel& Tourism benefited the States:

1. By generating employment:

� Tourism is one of the largest

generators of employment.

� It generates jobs for every age,gender and skill level.

� It provides opportunities forself-employment.

2. Through the ‘chain effect’:

� Tourism is an engine foreconomic growth.

� It benefits everybody, not justthe person who sells theholiday. Money spent by thetourist filters down from the topand typically thirteen peoplewill benefit. Examples includethe taxi driver, the guide, theman selling the camera film orthe postcards.

Hence, the recommendations ofthe group were that Travel &Tourism should:

� Be universally accepted on theGovernment agenda fordevelopment.

� Be made an integral part ofpublic policy, with acomprehensive Master Plan.

� Have commensurate budgetaryallocations.

� Sensitise all stakeholders.

12 13

Infrastructure

The Working Group

ChairmanMr N K Singh

RapporteurMs Nandini Verma

DelegatesMr Ashwani KumarMs Naazneen KarmaliMr Satish JacobMr Lalit SuriDr Sanjay Baru

Conclusions and Recommendations

15

RECOMMENDATIONS

The Working Group reviewed therecommendations that had beenmade at the Goa Retreat inFebruary 2003. It was found thatmany of these recommendationswere still valid and the followingassessment was made:

1. Civil Aviation

� It was noted withdisappointment that very littleprogress had been made in thissector.

� A forward looking CivilAviation Policy was requiredand should be announced asearly as possible.

� There was an urgent need toprivatise Delhi and Mumbaiairports.

� Greenfield airport projects inMetro cities should be made apriority and the 1998 cabinetdecision regarding airportprivatisation should beimplemented immediately.

� A regulatory framework wasrequired to provide a levelplaying field and to facilitate thedevelopment of the requisiteinfrastructure.

� Initiatives should be undertakenfor promoting an Open SkiesPolicy and to encourage healthycompetition in this sector.

� It was noted that airports arewindows into a country, stateand city. Indian airports shouldtherefore be refurbished toglobal standards and providetravellers with a highly efficientservice.

2. Railways

The recommendations made atthe Goa Retreat were still valid,namely that:

� There should be an increase intourist trains.

� The Government shouldconsider the possibility ofallowing the private sector tooperate on certain routes.

� Infrastructure should beimproved.

� Entertainment and luxuryservices should be introducedsuch as catering, ayurvedictreatment and massage.

� Overseas tour operators andtravel agents should have accessto the railway reservationsystem and have globalconnectivity for on-linebookings.

In addition, it was necessary:

� To focus on efficiency, reliabilityof schedules, safety and hygiene.

� To expand facilities at stationsfor waiting and strandedpassengers.

These recommendations wereconsidered critical, especiallybearing in mind that 1.4 Crorepassengers travel on trains in Indiaevery day.

3. Roads

The Goa Recommendationsneeded to be brought into focusagain as follows:

� Prioritise six or seven importanttourist areas for intensiveinfrastructure development.Government/private sectorinvestment should beconcentrated in these areas untilinfrastructure reachesinternational standards.

� A percentage of the nationalearnings from tourism shouldbe set aside for infrastructureimprovement.

In addition, issues relating tolong-term operations and themaintenance of roads should becarefully considered and financialengineering options should besuitably explored.

4. Urban Sector

� It was felt that this sectorneeded to be included underInfrastructure.

� Drainage, sewage, sanitation andwater were of particular concernand it was recommended thatthese issues should beaddressed urgently.

In conclusion, this Working Groupreminded delegates that Mr N KSingh, Chairman of the PlanningCommission, had informed thedelegates of an earlier Retreat thata fund existed specifically fortourism development. This fundhad been mentioned by the PrimeMinister, during his IndependenceDay address from the Red Fort.

It was noted that the Five Year Planfor the Tourism DevelopmentFund had an allocation of 3,000Crores for the development andpromotion of tourism. This was anopportunity to ensure that thisfund was adequately spent.

14

The Developmentof Gateways

The Working Group

ChairmanMajor S S H Rehman

RapporteurMr Ajoy Misra

DelegatesMr G S DharMr Karan ThaparMr Yogesh ChandraMr Rabindra Seth

Conclusions and Recommendations

17

RECOMMENDATIONS

This Working Group made thefollowing recommendations:

� We should choose quality overquanitity, and start bydeveloping a few of thegateways to internationalstandards, eg:

- A category airports – Delhiand Bombay. These should bebenchmarked against the bestinternational airports such asSingapore and Hong Kong.

- B category airports – Theseshould be benchmarked againstother international airports.

- Hub/spoke configuration -eg at places like Jaipur,Aurangabad, etc.

� We should develop New Delhias the International transit hubfor Asia.

� Other alternative gatewaysshould also be developed.

SeaCurrently all our ports are gearedessentially for cargo. We need todevelop port handling facilities forcruise ships.

- East – Chennai

- West – Mumbai

- South – Cochin

Road

- Roadlink to China?

- Roadlink through Pakistan?

- Asian roadlink through NorthEast to Myanmar, Thailand andVietnam.

Rail

- Rail-link through Pakistan?

- Asian roadlink through NorthEast?

- General upgradation of existingkey rail terminus.

- Energising rail tourism throughsurplus land development,special rail tourism circuits andprivate sector participation inrailway station management.

16

Glimpses

18 19

The Group Photograph

Sitting (from left): Tavleen Singh, Chandan Mitra (MP), Karan Thapar, Suhel Seth, Meenakshi Singh, Jyotsna SuriRenuka Chowdhury (MP), Vandana Chandra, Begum Noor Bano (MP), Mrs Ashwani Kumar, Anjana MaheshwariMrs V Subramanian

Sitting 2nd Row (from left): Satya Sheela Chavan, Poojita Chowdhury, Naazneen Karmali, Bachi KarkariaN K Singh, Prithviraj Chavan (MP), V Subramanian, Dineshbhai Trivedi (MP), Ashwani Kumar (MP)Jean-Claude Baumgarten, Lalit Suri (MP), Amitabh Kant, Ragini Chopra, Dr Sanjay Baru, Rabindra Seth

3rd Row (from left): Major S S H Rehman, Aquil Karmali, Saroj Datta, Alok Sharma, D K Beri, Nakul AnandAjoy Misra, M Ashraf, Himmat Anand, Rajeeva Swarup, Satish Jacob, G S Dhar, Rohit BansalMarianne Thompson-Hill, Sanjeev Talwar, Yogesh Chandra

20

The Next Step

SECTION 3

ON 7 SEPTEMBER 2003 THE WORLD TRAVEL & TOURISM COUNCIL INDIAINITIATIVE DETERMINED THAT THE STATE OF JAMMU&KASHMIR WOULDBENEFIT FROM A PARTNERSHIP WITH WTTC. IN LINE WITH THISDECISION, THE DECLARATION BELOW WAS SIGNED BY THE WTTCPRESIDENT, JEAN-CLAUDE BAUMGARTEN AND PRESENTED TO MUFTIMOHAMMAD SAYEED, CHIEF MINISTER OF JAMMU & KASHMIR.

The signing of the Declaration affirms that WTTC is confident that despite the currentconflict in the State, Jammu & Kashmir continues to have enormous potential as a touristattraction. It is important to recognize that a resurge in Travel & Tourism would bringnew hope for the people and the economy.

WTTC IS GRATEFUL TO MR N K SINGH, MEMBER OFTHE PLANNING COMMISSION FOR AGREEING TOGIVE THE VALEDICTORY ADDRESS IN SRINAGAR.

Mr Singh was not only able to offer the wisdom that comes fromhis experience and position in Government but also, havingattended the two earlier Retreats, he was familiar with the work ofWTTC and therefore able to assess its progress.

In the summing up of his address,Mr N K Singh made the followingrecommendations.

• The industry should aim to

reposition India both externally and

internally. The ministry of Finance

India Investment Fund could be used

for this purpose.

• The private sector should provide

the government with a study of

the impact of taxation on the

Travel & Tourism industry. This

should include a comparison to

neighbouring destinations and an

analysis of the benefits of the

rollbacks affected recently.

• The hotel industry should request

a restructuring of the current debt

in line with the benefits introduced

for the textile industry.

• The Travel & Tourism industry

should maximize benefits from the

development of the Prime Minister’s

quadrilateral roads project.

• The private sector should push for

a reformed Civil Aviation Policy.

• The private sector should offer to

help the Ministry of Tourism to plan

how to best use their allocated

resources in the coming years.

MR N K SINGHMemberPlanning Commission of India

The WTTC India Initiativ

e recognises the value of

Travel & Tourism in the State of Jammu & Kashmir and

pledges its support to this cause by educating, promoting

and assisting Travel & Tourism to this State.

WTTC is pleased to invite the State of Jammu & Kashmir

to become a Partner State in the India Initiative.

Jean-Claude Baumgarten

President

World Travel & Tourism Council

7th September 2003

The Srinagar Declaration The Valedictory Remarks

24 25

The Conclusion

THERE IS NO DOUBT THAT INDIA IS RAPIDLYBECOMING A MAJOR PLAYER IN THE TRAVEL &TOURISM INDUSTRY, BOTH AS A KEY POTENTIALTOURISM DESTINATION FOR BUSINESS AND LEISURETRAVELLERS, AND AS A GENERATOR OF SUBSTANTIALNUMBERS OF TRAVELLERS TO OTHER DESTINATIONS.

At the end of our fourth year in India, WTTC remains convinced thatthe fastest and most effective way to move forward is to form apartnership between the private and public sectors. By workingtogether we are in a better position to deliver consistent results thatmatch the needs of economy, local authorities and communities withthose of business. The WTTC Retreat is now established as animportant forum for facilitating this as it brings together senior Membersof India’s Parliament and Government, leaders from the Indiantourism industry and key media from the region.

Gulmarg and Pehelgam as well as in otherparts of Jammu & Kashmir. Tourism providedthe entire valley with employment andincome. It was like a gift from God. And then,we began taking everything for granted. Andit all changed.”

It was this sentiment and the on-groundrealities facing the State which encouragedus to invite Jammu & Kashmir as the fourthWTTC Partner State. The signing of theSr inagar Declaration demonstrates thecommitment of WTTC India to helping thepeople of Jammu & Kashmir to repositiontheir region as a tourist attraction.

The next WTTC India Retreat will beheld in Kolkata from 13-15 February 2004and will focus on the issue of regionaltourism. We are delighted to announce thatthe Kolkata Retreat will be hosted byMr Nakul Anand, Managing Director,ITC Hotels at the ITC Sonar Bangla, Kolkata.We are confident that this next Retreat willg ive us the opportunity to further ourdiscussions and to tackle some of theoutstanding issues that continue to formbarriers to tourism development.

26

YOGESH CHANDRA

Secretary General

World Travel & Tourism Council India Initiative

The WTTC Retreat is recognized forpromoting the cause of Travel & Tourism andthe Srinagar Retreat was no exception. Heldin the beautiful but troubled State of Jammu& Kashmir, it quickly became apparent thatthis was the perfect setting for discussing theRetreat theme - The Impact of Travel &Tourism on the State Economies.

WTTC research shows that in 2003Travel & Tourism is expected to generate 3.7per cent of world GDP and 67,441,000 jobswhile the broader Travel & Tour ismEconomy is expected to total 10.2 per centof GDP and 194,562,000 jobs. In India aloneit is predicted to generate 2.0 per cent of GDPand 11,093,100 jobs, while the broader Travel& Tourism economy is expected to total 4.8per cent of GDP and 23, 839,800 jobs.

Certainly in Sr inagar the economicimpact of Travel & Tourism was clear fromthe speech of the keynote speaker, Mr OmarAbdullah who spoke of the devastatingimpact of the loss of tourism on the localeconomy “Once we were home to waveafter wave of visitors. Tourists came not justfor a few days or weeks but stayed for monthson end in houseboats and cottages in Srinagar

© 2003 WORLD TRAVEL & TOURISM COUNCIL

1-2 Queen Victoria TerraceSovereign Court, London E1W 3HAUnited KingdomTel: +44 (0) 870 727 9882 or +44 (0) 207 481 8007Fax: +44 (0) 870 728 9882 or +44 (0) 207 488 1008Email: enquiries@wttc.orgWeb: www.wttc.org

Yogesh ChandraSecretary General

Ritu ChatrathExecutive Assistant

D-56 Malcha MargChanakyapuriNew Delhi-110 021, IndiaTel: +91 11 2410 9745Fax: +91 11 2410 8464Email: rchatrath.wttc@starith.net

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