India Review & Analysis

Buoyant Goa tourism worried about future

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Goa’s heat and humidity has ensured a steady tourist inflow, despite the spread of coronaviru­s in India, but a proposed hike in liquor prices has made restaurant and bar owner apprehensi­ve about the future.

Goa’s Ports Minister Michael Lobo said that tourist arrivals had increased after the coronaviru­s outbreak as people are not traveling to places like Thailand, China, Italy and other destinatio­ns. “They are coming to Goa pushing the number of tourists up,” said Lobo who comes from Calangute, one of the most popular beaches in Goa. He said Goa was safe and claimed that the state’s weather is not conducive for the virus to spread. Goa, known for its beaches, food and nightlife, received more than seven million tourists last year. Nearly half a million of them were foreigners.

But Goa’s bar and restaurant owners have appealed to Chief Minister Pramod Sawant to review his government’s decision to increase tax on liquor by 30% as it would impact the tourism industry. Cheap liquor in the state has been one of the main attraction­s for tourists.

In a memorandum submitted to the

chief minister and the state Excise Department, Michael Carrasco, president of the All Goa Bar Owners Associatio­n also said that instead of an excise tariff hike, a crackdown on illegal sale of liquor at nonlicense­d vends would help the government generate more revenue.

“With all these hikes, the revenue of the government will come down due to decrease in sales. The common man and the tourist will feel the pinch and will avoid going to restaurant­s, due to high prices,” Carrasco said.

“In our Goan culture, bars and restaurant­s are known for cheap food and affordable liquor. This culture and tradition will eventually die off. Goa is also known all over India and the world for affordable food and liquor, with these hikes there will be no difference of prices all over India, for example (liquor in) Delhi would be cheaper than Goa,” Carrasco also said.

Traditiona­lly, Goa is known as a state with a liberal excise regime, with its liquor priced cheaper, compared to the neighbouri­ng states Karnataka and Maharashtr­a.

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