By Mr. Balaji M, CEO of Clarks Exotica Convention Resort and Spa
“As we approach the Union Budget, the hospitality sector is hopeful for measures that formally recognise hospitality and tourism as a priority sector, given its significant contribution to employment generation, infrastructure development, and economic growth. Large-format resorts and convention-led destinations like Clarks Exotica Convention Resort & Spa play a vital role in driving business travel, MICE tourism, weddings, and leisure stays, particularly in destinations located close to major urban centres.
One of the key expectations from the upcoming Budget is rationalisation of GST rates for hospitality services. A simplified and more uniform tax structure would help the sector remain competitive, boost demand, and encourage both domestic and international travellers. Granting industry status or priority sector recognition to hospitality would further enable easier access to financing, support long-term investments, and strengthen operational sustainability. Additionally, reintroducing or extending input tax credit benefits for hotels and convention properties could significantly ease cost pressures.
Infrastructure development continues to be a crucial focus area. Sustained investment in road connectivity, airports, and last-mile transport will greatly benefit resort destinations on the outskirts of major cities, improving accessibility for corporate events and leisure travellers. Enhanced focus on convention and exhibition infrastructure would also support India’s growing ambition to position itself as a global MICE destination.
Policy support for sustainability initiatives, including incentives for energy-efficient operations, water conservation, and waste management, would further encourage responsible growth across the sector.
Finally, skilling and workforce development remain essential. Continued support for hospitality training and talent development will help address manpower challenges while elevating service standards.
Overall, we remain optimistic that the forthcoming Budget will adopt a balanced approach, enabling the hospitality sector to grow sustainably while contributing meaningfully to India’s tourism and economic vision.”