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Final Report on 20 Year Perspective Plan for Development of Sustainable Tourism in Maharashtra

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GOVERNMENT OF INDIA MINISTRY OF TOURISM & CULTURE DEPARTMENT OF TOURISM MARKET RESEARCH DIVISION FINAL REPORT ON 20 YEAR PERSPECTIVE PLAN FOR DEVELOPMENT OF SUSTAINABLE TOURISM IN MAHARASHTRA MARCH 2003 ΑΒΧ DALAL MOTT MACDONALD (FORMERLY DALAL CONSULTANTS & ENGINEERS LIMITED) Study Report on Preparation of 20 Years Perspective Plan for Dalal Mott MacDonald Development of Sustainable Tourism in Joint Director General (MR), Department of Tourism Maharashtra Joint Director General (MR), Department of Tourism Ministry of Tourism & Culture C-1, Hutments, Dalhousie Road New Delhi – 110 001 India Study Report on Preparation of 20 Years Perspective Plan for Development of Sustainable Tourism in Maharashtra March 2003 Dalal Consultants & Engineers Limited Sarojini House 6 Bhagwan Dass Road New Delhi 110 001 India Tel: (011)-3389386, 3383521. 1441/Maharashtra/A/18 July 2002 C:\websiteadd\pplan\maharashtra\Vol 1\Executive Summary Final.doc/01 Study Report on Preparation of 20 Years Perspective Plan for Dalal Mott MacDonald Development of Sustainable Tourism in Joint Director General (MR), Department of Tourism Maharashtra Study Report on Preparation of 20 Years Perspective Plan for Development of Sustainable Tourism in Maharashtra ssue and Revision Record Rev Date Originator Checker Approver Description This document has been prepared for the titled project or named part thereof and should not be relied upon or used for any other project without an independent check being carried out as to its suitability and prior written authority of Dalal Consultants and Engineers being obtained. Dalal Consultants and Engineers accepts no responsibility or liability for the consequence of this document being used for a purpose other than the purposes for which it was commissioned. Any person using or relying on the document for such other purpose agrees, and will by such use or reliance be taken to confirm his agreement to indemnify Dalal Consultants and Engineers for all loss or damage resulting therefrom. Dalal Consultants and Engineers accepts no responsibility or liability for this document to any party other than the person by whom it was commissioned. 1441/Maharashtra/A/ C:\websiteadd\pplan\maharashtra\Vol 1\Executive Summary Final.doc/01 Study Report on Preparation of 20 Years Perspective Plan for Dalal Mott MacDonald Development of Sustainable Tourism in Joint Director General (MR), Department of Tourism Maharashtra TABLE OF CONTENTS EXECUTIVE SUMMARY 1 INTRODUCTION 1-1 1.1 Tourism Scenario in India – An Overview 1-1 1.2 Study Objective 1-13 1.3 Scope of the Study 1-13 1.4 Approach & Methodology 1-15 1.5 Report Format 1-17 1.6 Limitations of the Study 1-18 2 CURRENT STATUS OF TOURISM IN THE STATE 2-1 2.1 Introduction 2-1 2.2 State Profile 2-1 2.3 Significance of Tourism 2-3 2.4 State Tourism Policy 2-4 2.5 Development Regulations in Maharashtra 2-7 2.6 State Plan Outlays on Tourism 2-8 2.7 Trend in Tourist Arrivals 2-9 2.8 Travel Circuits and Destinations / Attractions 2-9 2.9 Current Status of Integrated Tourist Infrastructure / Facilities 2-13 2.10 Current Status of Basic Infrastructure 2-16 2.11 Current Status of Environment 2-24 2.12 National River Action Plan 2-24 2.13 Current Status of Institutional Framework for Tourism 2-31 3 FIELD SURVEY FINDINGS 3-1 3.1 Introduction 3-1 3.2 Sampling Plan and Methodology 3-1 3.3 Survey Findings: Foreign Tourists 3-4 3.4 Analysis of Survey Findings: Foreign Tourists 3-9 3.5 Survey Findings: Domestic Tourists 3-10 3.6 Major items of interest during visit 3-15 3.7 Analysis of Survey Findings: Domestic Tourists 3-17 1 of 3 1441/Maharashtra/A/29 June 2002 C:\websiteadd\pplan\maharashtra\Vol 1\Main Report Final.doc/01 Study Report on Preparation of 20 Years Perspective Plan for Dalal Mott MacDonald Development of Sustainable Tourism in Joint Director General (MR), Department of Tourism Maharashtra 3.8 Main areas of concern / Other observations 3-17 3.9 Survey Findings: Tour Operators / Travel Agents 3-17 3.10 Survey Findings: Tourism and Related Govt. Departments 3-22 3.11 Analysis of Survey Findings: Tourism and Related Govt. Departments 3-27 3.12 Analysis of Survey Findings: Basic and Tourist Infrastructure at Visited Destinations 3-29 3.13 Summary of Infrastructure Gaps Identified By Field Survey 3-29 4 PROJECT IDENTIFICATION, SELECTION AND VIABILITY 4-1 4.1 Introduction 4-1 4.2 Prioritization of destinations for tourism development 4-1 4.3 Project ideas / concept 4-3 4.4 Project Selection / Prioritisation 4-8 4.5 Project Viability of Selected / Short Listed Projects 4-12 4.6 Environment Impact Analysis 4-13 5 PERSPECTIVE PLAN 5-1 5.1 Introduction 5-1 5.2 Tourism Policy (Vision) 5-1 5.3 Environment Protection and Cultural Preservation 5-4 5.4 Competitor Analysis 5-5 5.5 Market Analysis 5-7 5.6 Perspective Plan 5-10 5.7 Investment Planning 5-13 5.8 Summary of 20 years Perspective plan for sustainable development of tourism in Maharashtra 5-20 6 IMPLEMENTATION STRATEGY 6-1 6.1 Introduction 6-1 6.2 Communicating and finalizing the plan 6-1 6.3 Developing an Institutional framework 6-3 6.4 Promotion/ Marketing Cell of MTDC 6-4 6.5 Regional Execution Offices 6-5 6.6 Destination marketing 6-5 6.7 Financing tourism development 6-9 2 of 3 1441/Maharashtra/A/29 June 2002 C:\websiteadd\pplan\maharashtra\Vol 1\Main Report Final.doc/01 Study Report on Preparation of 20 Years Perspective Plan for Dalal Mott MacDonald Development of Sustainable Tourism in Joint Director General (MR), Department of Tourism Maharashtra 6.8 Human resource development 6-13 6.9 Implementation agencies 6-14 3 of 3 1441/Maharashtra/A/29 June 2002 C:\websiteadd\pplan\maharashtra\Vol 1\Main Report Final.doc/01 Study Report on Preparation of 20 Years Perspective Plan for Dalal Mott MacDonald Development of Sustainable Tourism in Joint Director General (MR), Department of Tourism Maharashtra E EXECUTIVE SUMMARY E.1 Introduction Tourism industry in Maharashtra has a tremendous potential for growth, given the availability of basic infrastructure and the variety of tourist themes offered by various destinations in Maharashtra. Maharashtra has a rich historical and cultural heritage, which has been under-explored by the tourism industry and the government agencies. The strong basic infrastructure availability through out the state would provide a perfect platform for fresh private investments in development of tourism in the state, and in the process creating many direct and indirect employment opportunities to local residents. Till date, in the absence of proper MIS and long term planning, the development of tourism in Maharashtra, has suffered due to the fragmented approach of various government departments like forest, tourism, ASI, irrigation etc. DCEL has proposed a perspective plan for sustainable development of tourism in Maharashtra for the next 20 years, that not only stresses on more private participation but also gives importance to environmental and socio economic concerns. The plan also proposes an implementation strategy that involves all concerned departments for an integrated approach towards tourism development. E.2 Year wise phasing of investment The total investment envisaged for development of tourism in Maharashtra can be classified with respect to the sources of investment namely private sector and the public expenditure. The major investments expected under private sector investments are accommodation projects and revenue generating projects. Public expenditure is suggested for augmentation of basic and tourism infrastructure and promotional activities. The direction and magnitude of the flow of investments depends on the prioritisation of destination and the nature of projects proposed in that region. In the first 5-10 years, the western region of Maharashtra, specifically Konkan and the Aurangabad region would be on priority in terms of expenses incurred on tourism projects, tourism infrastructure and promotion. In the eastern region, which is comparatively less popular amongst tourists, higher tourist inflow is expected after the proposed Multimodal International airport at Nagpur becomes operational. The eastern region would be on the priority in the later years from the years 2011-12. The purpose of investments made at a particular region would also follow a logical sequence moving from investments to fill up infrastructure gaps to public expenditure on tourist infrastructure and finally private sector investments in revenue generating tourism projects starting from accommodation and restaurants to water sports, amusement parks and other retaining themes. The phasing of investments in the perspective plan considers the following characteristics of the plan. 1. Investments are phased based on the prioritization of destinations thereby minimizing the cost of basic infrastructure development exclusively for tourism purposes. 1441/Maharashtra/A/ E- 1 C:\websiteadd\pplan\maharashtra\Vol 1\Executive Summary Final.doc/01 Study Report on Preparation of 20 Years Perspective Plan for Dalal Mott MacDonald Development of Sustainable Tourism in Joint Director General (MR), Department of Tourism Maharashtra 2. More stress is laid on private sector participation. 3. Destination development is proposed through initial government spending on basic and tourism infrastructure and private spending on tourism projects. 4. Simultaneous development of other similar destinations (secondary destination) to act as substitutes to destinations reaching their carrying capacity, thus retaining the tourists in Maharashtra. 5. Promotion expenditure
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