TOURISM AND ECONOMIC DEVELOPMENT-A CASE STUDY OF ASSAM A THESIS SUBMITTED TO NAGALAND UNIVERSITY IN THE PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE DEGREE OF DOCTOR OF PHILOSOPHY IN ECONOMICS SUBMITED By MRIGANKA SAIKIA Ph.D. Registration No.504/2012, dated 09/07/2012 Supervisor PROF. MITHILESH KUMAR SINHA DEPARTMENT OF ECONOMICS NAGALAND UNIVERSITY, HQRS. LUMAMI NAGALAND – 798627, INDIA 2017 Dedication I dedicate this thesis to my father Late Phanidhar Saikia whose generosity, blessings and all round support helped me to unlock the door of my education life. नागाल赍ै ड विश्वविद्यालय NAGALAND UNIVERSITY DECLARATION I, Sri Mriganka Saikia, bearing Registration No. 504/2012, dated 09/07/12 do hereby declare that the subject matter of the thesis entitled “TOURISM AND ECONOMIC DEVELOPMENT-A CASE STUDY OF ASSAM” is the record of work done by me and the contents of this thesis did not form the basis for award of any degree to me or to anybody else to the best of my knowledge. This thesis is being submitted to Nagaland University for the degree of Doctor of Philosophy in Economics. Date: Place: (Mriganka Saikia) Research Scholar, Department of Economics Nagaland University, Hqrs. Lumami We recommend that this thesis be placed before the examiners for evaluation. Head Supervisor I नागाल赍ै ड विश्वविद्यालय NAGALAND UNIVERSITY (संसद द्वारा पाररत अधिधियम 1989, क्रमांक 35 के अंत셍गत थाधपत कᴂद्रीय धिश्वधिद्यालय ) (A Central University established by an Act of Parliament No.35 of 1989) म奍ु यालय : लमु ामी, जꅍु हबे ोटो (नागालै赍ड), पिन कोड – 798627 Headquarters: Lumami, Dist: Zunheboto, (Nagaland), Pin Code-798 627 Prof. Mithilesh Kumar Sinha Department of Economics CERTIFICATE This is to certify that the thesis entitled “TOURISM AND ECONOMIC DEVELOPMENT-A CASE STUDY OF ASSAM” submitted by Mriganka Saikia for the degree of Doctor of Philosophy in Economics is the outcome of his bonafide research work. This study has not been submitted previously for any other degree in this or any other university. It is further certified that the candidate has complied with all the formalities as per the requirement of Nagaland University. I, therefore, recommend this thesis to be placed before the examiners for consideration of award of the Ph.D.degree of this University. (Prof. Mithilesh Kumar Sinha) Supervisor Department of Economics Nagaland University, Lumami. II ACKNOWLEDGEMENT This thesis owes its existence because of the help, support, guidance and inspiration of several people. I would therefore like to offer my sincere thanks to all of them who have knowingly and unknowingly helped me in the successful completion of this work. At this moment of accomplishment, first of all, I would like to express my deepest sense of gratitude and humble respect to Prof. Mithilesh Kumar Sinha, my esteemed supervisor. This work would not have been possible without his guidance, support and encouragement. Under his guidance, I successfully overcame many difficulties and learnt a lot. I would like to thank all the faculty members in the Department of Economics, Nagaland University for their excellent advice and warm encouragement. At this juncture, my special thanks must go to Prof. B. Kilangla Jamir, Head, Department of Economics, Nagaland University and Dr. Giribabu for their valuable comments towards improving my work. It is my fortune to gratefully acknowledge the support of some special persons. Words are short to express my appreciation to Sri Pankaj Saikia, Assistant Professor, Department of Economics, Dhing College, with whom I have a brotherly relation, for his active support, generous care and encouragement. I am also extremely indebted to Dr. Sarat Kumar Dutta, Principal , Dhing College and all the Teaching and Non- Teaching members of Dhing College family for their valuable suggestions, constructive criticisms and encouragement. Particular thanks to Prof. Inamul Hoque, retired Head, Prof. Sujit Kumar Sarma, Head, Department of Economics, for their moral support. III I am also very much thankful to the staff members of different libraries as well as Government Officials of Different Departments, particularly, Nagaland University Library, Gauhati University Library, Omeo Kumar Das Institute of Social Change and Research Library, ICHR Library, Dhing College Library and officials of Tourism Department, Forest Department, Government of Assam etc for their active support and co- operation throughout the research study. I would like to offer my sincere thanks to a large number of friends, well- wishers and relatives for their valuable help and support. At this moment, I would like to extend warm thanks and appreciation to Smt. Tilu Saikia, Smt. Laksheswari Bora, Sri Bakul Ch. Sarma, Sri Kumud Mazumdar, Sri Rajib Hazarika, Sri Biman Kr. Doley, Sri Tilak Choudhury, Master Anshunav Choudhury, Sri Partha Rathi Hazarika, Sri Kandarpa Rajbongshi, Mrs. Krishnakshi Bora Rajbongshi, Sri Pranab Bora, Mrs. Niva Das Bora, Sri Pabitra Saikia, Dr. Ashim Jyoti Thakur, Dr. Udayan Baruah, Dr. Sushanta Kashyap and Dr. Anjana Bhattacharya. My special thanks to my brother Madhurjya Saikia, his wife Murchana Bora and my sister Rasmita Saikia Choudhury for their sincere encouragement. I also take this opportunity to sincerely acknowledge the University Grants Commission (UGC) NERO, Guwahati, for providing me the Study Leave under UGC FDP programme during 12th plan period which buttressed me to perform my work comfortably. Last but not the least, I will remain ever grateful to my father late Phanidhar Saikia and my father in law late Haren Chandra Bora who keep blessing on me from heaven. They were the source of inspiration for me in my early days. IV Moreover, I would like to pay high regards to my mother Smt.Chandra Prava Saikia for her utmost moral support and inspiration throughout my research work. I will be failing in my duty if I do not mention here about the full co- operation of my wife Mrs. Runjun Bora Saikia, my lovely daughter Shristinanda Kashyap and my son Jijnyash Pratim Kashyap . Their unconditional love, whole- hearted encouragement and unwavering support helped me to get through this agonizing period in the most positive way. I thank all of them once again from the bottom of my heart. Finally, I thank the one above all of us, Omnipresent God, for giving me this opportunity and granting me the capability to proceed successfully. I also praise God for giving me the strength to plod on during each and every phase of my life. ( Mriganka Saikia ) V List of Tables Table Title Page 1.1 Selection of Sample from Local Community Representing Different 37 Occupations for the Study 1.2 Selection of Sample Tourists from Selected Tourist Spots of Assam 37 2.1 Some Selected Demographic Features of Assam 44 2.2 Status of Selected Health Indicators 47 2.3 Area of the National Park and Wildlife Sanctuaries in Assam 50 2.4 Trend of Growth of Agricultural Sector to GSDP at Constant 2004-05 53 Prices 2.5 Annual Growth and Contribution of Industrial Sector to GSDP of Assam at 57 2004-05 Constant Prices 2.6 Production of Some Selected Industries in Assam 58 2.7 Volume of Tourists Traffic Visiting the Kaziranga National Park Annually 64 2.8 Inflow of Tourists to Manas National Park 66 2.9 Inflow of Tourists to Majuli 68 2.10 Inflow of Tourists to Sivasagar 69 3.1 Trend of International Tourists Arrival 79 3.2 World’s Top 10 Tourism Destinations 80 3.3 World’s Top 10 Tourism Receipts 80 3.4 Allocation of Fund for Tourism under the Five Year Plans 95 3.5 ATDC’s Physical Performance 102 3.6 Centrally Sponsored Projects of ATDC 102 3.7 ATDC’s Project with Private Participation 102 3.8 Domestic and Foreign Tourists Inflow to Assam 103 3.9 Tourists Arrival in Assam since 1997 103 3.10 Model Summary 105 3.11 ANOVA 105 3.12 Coefficients 105 3.13 Generation of Revenue from Tourism in Assam since 1997 107 3.14 Model Summary 108 VI Table Title Page 3.15 ANOVA 108 3.16 Coefficients 108 4.1 Age-wise Distribution of Sample Respondents of Local Community 125 4.2 Descriptive Statistics of Age Distribution of Respondents of Local 126 Community 4.3 Religion-wise Distribution of Sample Respondents of Local Community 126 4.4 Sex-wise Distribution of Sample Respondents of Local Community 127 4.5 Marital Status of Sample Respondents of Local Community 127 4.6 Family Size of Sample Respondents of Local Community 128 4.7 Descriptive Statistics of Family Size of Respondents 129 4.8 Number of Dependents of Sample Respondents of Local Community 130 4.9 Descriptive Statistics of Number of Dependents 130 4.10 Educational Status of Respondents Belong to Local Community 131 4.11 Occupational Status of Sample Respondents of Local Community 133 4.12 Distribution of Sample Respondents on the Basis of Nature of Occupation 133 4.13 Distribution of Sample Respondents before Engaged in Tourism 134 4.14 Distribution of Sample Respondents on the Basis of Factors Induced to Join 135 in Tourism 4.15 Distribution of Total Number of Employees on the Basis of Nature of 135 Employment 4.16 Distribution of Total Number of Employees on the Basis of Salary Range 136 4.17 Descriptive Statistics on Salary Earned by Employees (in Rs.) 137 4.18 Distribution of Sample Respondents on the Basis of Support Received from 137 Government 4.19 Distribution of Sample Respondents on the Basis of Using Modern 138 Amenities 4.20 Availability of Alternative Facilities for Developing the Region 139 4.21 Type of Alternative Occupational Facilities Available 139 4.22 Respondent’s Attitude towards Risk Involved in Tourism Investment 140 4.23 Scope for Additional Employment Generation 141 4.24 Distribution of Sample Respondent’s Views on Employment Generation 142 4.25 Nature of Income of the Sample Respondents 143 VII Table Title Page 4.26 Income and Expenditure of Local Respondents from Tourism 144 4.27 Distribution of Sample Respondents on the Basis of Savings from Tourism 144 4.28 Distribution of Sample Respondents on the Basis of Rate of Saving, 145 Reinvestment and Return from Reinvestment.