Indian Outbound Travel Will Be The Story Of The Next Decade

According to the World Travel and Tourism Council, Indian visitors spent approximately $34.2 billion on outbound travel in 2023. However, Asia Pacific President Allan Watts Hilton said the current level of Indian travel is minuscule compared to what is to come.

"The story for India is before us," he said. "India outbound will be the story of the next decade."

According to the World Travel and Tourism Council's Economic Impact 2024 report, Indian travellers' outbound spending is projected to more than double to $76.8 billion by 2034. This would make the country the seventh largest travel spender in the world, up from 12th in 2023.

"When you think of India, it has the characteristics of China, which is the second largest lodging market in the world," said Watts. It has a 1.4 billion young population and historically strong GDP growth. But the infrastructure is only just getting built in India now."

India is investing heavily in infrastructure to build and improve its riads high-speed trains and airports to double the economy to $7 trillion by 2030 and turn India into a developed nation by 2047. India currently has the third most air passengers in the world after the United States and China, according to Airports Council International. It is expected to add 960 million new passengers by 2042. On Monday, Air India, the country's flag carrier, confirmed an order for 100 Airbus aircraft, 10 A350 and 90 A320 neo jets, on top of a record-breaking order for 470 Airbus and Boeing aircraft in 2023. That follows a record-breaking order for 500 Airbus jets by India's low-cost carrier Indigo in 2023, scheduled to be delivered between 2030 and 2035, according to Indigo.

As for whether India will be the new China in the global travel industry, Watts said, "It certainly seems to have the right characteristics for it, and that is why the industry has been so bullish." He also noted that outbound travel is growing faster in India than in China.

Expansion of Hotel

Global hospitality companies are also preparing for an explosion of new travellers, a million of whom are projects to move into India's middle class in the coming years. On November 19, Hilton announced a deal to open 150 Spark by Hilton hotels in India, a premium economy brand launched in the United States in 2023. In discussing the potential for branded hotel expansion in India, Watts confirmed that India has around the same number of branded hotels as Las Vegas. But now, it is getting more attention from outside investors.

Watts said, "What's different about India this time is its foreign direct investment. Some of the big capital players are in Indi, and that's new."

Marriott, IHG, Hyatt, and Wyndham are also moving to capture growing travel interest in India. Marriott announced plans to have 250 hotels in the subcontinent by 2025.

Courting Indian travelers

As outbound travel from China remains muted, more countries are counting Indian travellers through new visa-free agreements, direct flights and ad campaigns. Australia's Howzat for a holiday? The campaign launched in November during the Australia-India Test cricket series is projected to reach 50 million people, according to its minister for trade and tourism. The number of Indian travellers to Australia is expected to double by 2028, according to the latest report.

#indiantravellers #trending #destinations #visa #outbound #internationaltrip