Sunday, September 1, 2013

Tourism Industry- A brief Analysis in the context of Nepal


A Brief status of Tourism Industry in the context of Nepal
The word "Tourism" is derived from French word "tourisme", originated in 19th century, and cited for the first time in Oxford English Dictionary in 1811, meaning "the business of providing accommodation and services for people visiting a place". In general, tourism involves movement or journey of human beings from one place to another place for various purposes.
Many people have been defined tourism in their own way but the definition given by Huniger and Krapf is conceptual one and adopted by Association international d' experts' scientifique du tourism (AIEST):
"Tourism is the sum of the phenomena and interrelationships arising from the travel and stay of non-residents, in so far as they do not lead to permanent residence and not connected with earning activity”. The term "tourist" appeared around 1800, meaning an individual who moves or travel for pleasure of travelling out of curiosity.

 Nepal is leading touristic destination in the world. The tourism industry so called smokeless industry can be boon for Nepalese for their socio-cultural, environmental and economical development.

Trend of tourism activities in Nepal
}  Began significant growth since1950s- development of modern tourism with the advent of democracy in Nepal.
}  Mass tourism effects since 1960s- plans and policies created in these periods.
}  Alternative tourism concept last of 1970s.
}  Sustainable Tourism development last of 1980s.
}  Ecotourism, Quality tourism 1990s.
}  Responsible Tourism CoC (code of conduct) & CSR with 2000 A.D.

Status:
According to ministry of culture, tourism and civil aviation; the expenditure made by a tourist per day is halved in 2012 in last 5 years in Nepal. The trend of incoming tourist rate is in increasing from 2009. This is good sign for Nepalese people but basics strategies need at present for sustainable growth of these one in upcoming days.
Year
Growth rate (%)
Daily expenditure of a tourist ($)
2008
-5
73
2009
1.9
65.3
2010
18.21
43.2
2011
22.10
38.2
2012
9.8
35.6
Foreign direct investment (FDI) in tourism sector increases more than four fold in 2012-13, indicating rising interest of foreign investor in this industry due to higher arrival of tourist as well as ending of political instability and conflict.
FDI in tourism
Year
Amount (Rs)
2005-06
164 million
2006-07
267 million
2007-08
744 million
2008-09
763 million
2009-10
717 million
2010-11
1.18 billion
2011-12
837 million
2012-13
3.89 billion
According to department of industry (DOI), Tourism is 3rd higher recipient of FDI after services and manufacturing sectors. The future scenario of tourism in Nepal is encouraging and upgrading; and should be sustained for sustainable attraction of foreign investment for sustainable and balanced development of the country. The foreign investment is good source of employment opportunity, GNP and tax revenue for developing countries. Besides leisure tourism the government should promote business as well as corporate tourism in Nepal. Business tourism is the provision of providing facilities and services for the people attending meeting, conference, congresses, exhibition, business events, incentives travels and corporate hospitality.
It is the most things that investors are concerned with the Nepal's political climate. So, main concentration should be motivated towards maintaining of stability of political situation for huge tourism potential in Nepal.
According to travel and tourism economy impact 2012 Nepal published by the world travel and tourism council (WTTC), investment in the travel and tourism sector in 2012 amounted to Rs. 12.5 billion or 4.1% of the total investment. The report said that investment would rise 8.2 percent in 2013. In 2011, the tourism industry attracted capital investment of Rs. 12 billion. The report shows that the travel trade provided 553500 jobs directly in 2012. And the contribution was 412500 in 2011. In the global scenario, travel & Tourism directly supported 101,118,000 jobs (3.4% of total employment) in 2012. This is expected to rise by 1.2% in 2013 and rise by 2.0% pa to 125,288,000 jobs (3.7% of total employment) in 2023.
This is what the fact in global context as well, in the country too; reflects the economic significance of tourism industry in enhancing livelihood and as a whole developing economy of the country. Realizing the impact and significances of tourism in various aspects and fields, it is next to adopt mitigating measures and develop the strategies for sustaining industry inside the country. There are many missions to carry on at present, many to develop vision for future and many tasks to implement for achieving objectives.

Sources:
Arthik aviyan- rastriya dainik patrika
Bhatta, Damodar Prasad., Ecotourism in Nepal.
The Kathmandu post- National daily newspaper.
World travel and tourism council-annual report 2013.
Various other texts: