Think about holidays and chances are high that you would be visualising the serene beaches of Goa, a holiday destination that is in the bucket list of all leisure travellers, foreign and domestic alike. The Dollar Business caught up with Manohar Azgaonkar, the newly appointed Minister for Tourism of Goa, to understand how his Ministry plans to make Goa a round-the-year tourist destination and increase forex earnings.

Interview by Anishaa Kumar | July Issue 2017 | The Dollar Business

TDB: As Minister for Tourism of Goa, how do you plan to take the state’s tourism industry to the next level?

Manohar Azgaonkar (MA): After taking over, I have started reviewing all the work that has been undertaken till date and will be deliberating with experts and stakeholders on how to make this industry more attractive. Issues concerning the safety and security of tourists will be given top priority, followed by cleanliness and hygiene on and off the beaches. Goa attracts six million tourists every year and it is my endeavour to bring in more tourists, especially high-end
tourists.

As far as generating revenue goes, first the present Goa Tourism Trade Act needs to be amended. This will end illegal and unauthorised activities, and streamline and regulate all tourism related trades. Also, the Single Window System will expedite permissions for various tourism related events and activities. We also plan to promote sports tourism as well as make Goa a shopping destination.

TDB: How far is it true that last year the sector’s revenue declined because the EDM festival, organised in December every year, was cancelled? Is the recently announced Goa Heritage Spirit Festival expected to stem the decline?

MA: I do agree that music festivals attract tourists, especially young travellers and music fans from across the globe. So, there was a decline in revenue, but it was nothing major. However, I agree that such events create employment opportunities and generate revenues. I am currently reviewing the proposal and evaluating the prospects of holding EDMs in Goa and will take a final decision after consulting all stakeholders.

As for the Goa Heritage Spring Festival, it is not only about revenues. We want to promote feni, Goa’s heritage drink through this festival. This is a popular drink in Goa, and it is now time we take feni beyond our borders. The Goa government has already amended the Goa Excise Act and given feni the heritage tag. We plan to showcase significant aspects of feni through the festival.

TDB: How much does the tourism sector contributes to the state exchequer and how you plan to increase the share?

MA: Except a decline in FY2016, the contribution from the tourism sector has been mostly on the rise. In FY2013, the revenue contributed was Rs.3.18 crore, which increased to Rs.5.81 in FY2014, to Rs.11.78 crore in FY2015, and then dropped to Rs.6.73 crore in FY2016 – these are revenues from direct and indirect taxes. However, if we include revenues generated through other activities conducted in the tourism sectors such as adventure activities, hotel bookings, tour packages, rent and catering, event fees, etc., the figure will be much higher.

Going forward, we will promote with fervour festival tourism, adventure tourism, medical tourism and more. An increase in budget for tourism marketing and promotion is essential and I will ensure that budget for the sector is hiked, especially for development of tourism-related services and initiatives.

TDB: How is the budgetary allocation for the tourism sector ?

MA: A sizeable budget is already in place for the tourism sector. About Rs.34 crore has been allocated for safety and security of the beaches and Rs.10 crore for the improvement of facilities on the beaches. The sector has also received Rs.70 crore for infrastructure projects and Rs.50 crore for promotion and marketing
activities.

In addition, there are separate budgets for illumination, heritage preservation, master plan policy, etc., and several experts are being appointed to supervise the projects. Goa Tourism is also tapping a lot of funds from the Central Tourism Ministry under various schemes – the most recent was a Rs 99.99 crore fund under the Swadesh Darshan Scheme for coastal circuit development. In addition, the Ministry has forwarded several other proposals and is awaiting funding for the same.

TDB: Of late, Goa seems to have started facing stiff competition from Kerala, as the latter is pursuing an aggressive marketing strategy. How do you plan to overcome this challenge?

MA: Considering the fact that there is stiff competition from various tourism boards, both national and international, I do agree that Goa needs to increase its marketing budget. Three years ago, Goa Tourism underwent a brand makeover putting in place new marketing and promotion strategies. I will review these strategies and try to improve upon them.

Today, Goa is no longer just a beach destination. It is a 365-day holiday destination. So, the state needs to promote both on and off the beach tourism. Tourists also want to enjoy Goa during the monsoons and I am keen on promoting monsoon tourism, eco-tourism, hinterland tourism, wellness and yoga tourism, and various other such activities.

TDB: In 2016, the domestic and international tourist arrivals in Goa were 5,650,061 and 680,683, up 18% y-o-y and 26% y-o-y, respectively. However, safety continues to be a concern. What are your plans on these fronts?

MA: Frankly speaking, issues are blown out of proportion at times. Goa has been the most preferred choice among holidaymakers, even during the time when other tourist destinations faced geo-political crises. The state government has taken every step to make Goa a safe holiday destination. Security measures are heightened during festivals and there is a taxi service exclusively for women. Goa has achieved recognition for being a safe destination for women travellers.

Goa tourism is evolving and I am open to new ideas to improve safety and security. And, as the new Tourism Minister, this is one of the priorities for me. We already have a Rs.34 crore budget for safety and security. And, it will not end here. There will be regular monitoring of measures and incorporation of new steps.

TDB: Former President of Travel and Tourism Association of Goa (TTAG) Francisco Braganca recently said that the increase in domestic tourism is ruining Goa’s reputation and is creating an imbalance. Your comments?

MA: Statistically, the number of domestic tourists will be higher than foreign tourists. Foreign tourists generally visit Goa between October and April, while domestic tourists visit Goa throughout the year as Goa is also a weekend destination for many of them.

Nonetheless, there is a steady rise in foreign tourists as 150 countries have been brought under the regime of Electronic Tourist Visas (ETVs) and the Goa airport at Dabolim has become a preferred port of arrival for foreign tourists. Similarly, luxury cruise liners have also been sailing to Goa. This season, about 40 such vessels will bring in about 30,000 tourists. Also, we are seeing an increase in arrivals of foreign tourists as Free Itinerary Travellers (FITs).

During the monsoons, foreign tourists visit Goa for wellness and yoga packages. Apart from this, a large number visit Goa for the International Film Festival of India, followed by the Feast of St. Francis Xavier and the year-end festivities.

Every year, we can expect a 12-15% increase in foreign tourist arrivals as Goa will always continue to be a brand that is well-accepted by international travellers. The response we have received at international travel fairs and exhibitions is also encouraging and has helped us stay connected with upcoming markets.

"Contribution from Tourism Sector has been Growing Steadily"

TDB: How do you see GST impacting the tourism sector?

MA: GST will be a game changer for Goa in the medium-to-long term. We may have issues in the short-term as getting a majority of the businesses into GST net may pose a challenge. However, tax compliances are expected to be better, resulting in higher revenues. I am optimistic that Goa’s tourism industry will become more competitive and attractive.