Highlights of Tourism Policy 1998

• Ten tourist circuits have been identified as major thrust areas.

• A master plan would be prepared for providing quality services and ensuring integrated development and marketing of all these circuits.

• Creation of a special fund to finance state-of-the-art. tourist infrastractural facilities in each circuit.

• Co-operation of private sector and NRIs for financing projects at various tourist places.

• The new tourism policy aims at increasing the number of approved hotels in the State from 80 to 300 and the bed-capacity from 5,000 to 15,000 in the next decade.

• It aims at raising the level of foreign tourists arrival to the State from 7.2 lakh to 30 lakh per annum arid domestic tourists arrival from 360 lakh to 1000 lakh.

• It intends to ensure an lnvestment of Rs. 10,000 crores at current prices to be made in tourism industry from the public and private sector in the next decade in the State as against Rs. 350 crore per annum at present.

• This will provide additional employment to 5 lakh persons directly and to another 50 lakh persons indirectly in the State in next decade.

• The New Tourism Policy provides for an attractive tax benefit package for the tourisim units. They would get the same benefits as are given to the industrial units in the State.

• It also entails exempting hotels from the levy of luxury tax below a rental of Rs.1000/-, facility of exemption/deferment from levy of luxury tax to the new recognised tourism units for a period of five years from the date of commencement of operations. exemption/deferment of levy of entertainment tax to new ropeways for a period of five years, exemption/deferment of trade, tax on the restaurants in the new recognised tourism units for a period of five years, compounding system to assess the levy of entertainment tax on tourism units for the display of television programmes in their rooms using the services of a Cable operation or through a Dish Antenna exemption from trade tax and entertainment tax on all units recognised under the paving guest scheme with a capacity of upto five rooms (maximum ten beds) and exemption from entertainment tax to ail existing and new amusement parks U.P.F.C. and PICUP will extend loans to tourism projects.

• In the hill region. financial assistance, subject, to a ceiling of Rs. 10 lakh will be provided under the tourism self-employment scheme to start tourism related ventures.

• Beer-bar licences will also be granted to recognised private hotel units having restaurant facilties.

• The procedure to get various approvals will be simplified and the criteria to assess luxury tax will be rationalised.

• Neccessary infrastructure facilities will be developed through private-public partnership and special importance would be given to facilitate investment by NRIs.

• Priority to develop basic infrastructure facilities viz. roads, aviation services rail, surface and water transport assured electrical supply, telecom facilities, drinking water, sewage facilities and accommodation.

• New products like yoga spiritual, ayurveda, naturopathy, advanture sports, water cruises, film locales, diverse cuisines, traditional attire, village life etc. will be developed to attract more tourists.

• Eco-tourism will be promoted in hills, forests and water bodies.

• A Heritage hotels subsidy scheme with a subsidy of 10% and ceiling of Rs. 7.5 lakh will be introduced to encourage the conversion of private heritage building into attractive accomodation facilities.

• Restoration of ancient places, havelies, buildings and forts will be undertaken in the State.

• A Capital Investment subsidy scheme with an incentive of 10% and a ceiling of Rs. 5.00 lakh will be introduced to attract more investment in tourism sector.

• For effective co-operation between various departments and to solve problems faced by the enterpreneurs a "Paryatan Mitra" committee will be constituted headed by the Chief Secretary.

• District Tourism Promotion councils will be constituted as a registered society an all the districts of the State to promote local initiative for the development of tourism.

• Establishment of a Hospitality Management Institute at Varanasi.

• A special "Research Cell" and a "Mahotasav Cell" will be set-up in the directorate of Tourism to facilitate collection of data, analytical research and better conduct of festivals.

• Effective marketing will be arranged through participation in domestic and international travel trade conferences, fairs and world tourism marts and by organising an 'Uttar Pradesh Show' every year in some foreign countries.

• Increase in employment in Industrial and Allied Sector from the present level of 8 to 15%.

• 10 to 12% annual rate of growth in the Industrial Sector.

• Raise the share of industry in the Net State Domestic Product from the existing 20 to 25%.

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