Relooking at tourism exports......
Federation of Associations in Indian Tourism and Hospitality (FAITH) had an urgent meeting with Ministry of Commerce, where they discussed measures that could be taken on tourism exports. Deferment of statutory liabilities was also suggested.
In the meeting, FAITH representatives mulled over measures on tourism exports, which included rating the SEIS @ 10% and crediting it immediately on the basis of previous financial year, deemed export status, SEIS on gross forex earnings, zero rating of tourism exports & GST refunds to tourists, strategic focus on M!CE sector, EPCG on tourist vehicles and relaxing export obligations, among others.
In an official communication released by FAITH, it was stated, “Most of the tourism enterprises support their infrastructure (hard and soft) by managing different tourist seasons. As all global source markets are hit, it will be domestic business of India which will keep India tourism businesses
running. Thus, FAITH also has urged the Ministry of Commerce to request Piyush Goyal, who is the Minister of Commerce and Industries, to take up the concerns regarding the survival and support of the whole tourism travel & hospitality industry with the PM.”
These include deferment of all statutory liabilities, setting up a COVID-19 tourism relief fund for interest-free 10-year working capital loan for salaries and establishment costs, increase of banking moratorium period to 12 months without any interest or for direct benefit
transfer to affected employees and a national legislative tourism task force of Central and state governments.
“FAITH has also requested ESI funds to be used for compensating employees as ‘stay at home’ is a forced and mandatory curative medical need to fight the virus. We have also requested PF coverage of all tourism travel & hospitality employees as under the PM Rozgar Pradhan Yojana,” the statement read.
FAITH has also shared examples from the US & UK, Thailand and Indonesia where salary support, tax exemption and stimulation of domestic travel is being extended by governments for tourism, travel & hospitality. The parent association had requested and was joined by the Chairmen/
Vice Chairmen of the Tourism Committees of CII, ASSOCHAM & FICCI for the meeting along with the Presidents of the concerned FAITH member associations (HAI, Indian Association of Tour Operators, Federation of Hotel & Restaurant Associations of India, ATOAI, ICPB, ITTA, IHHA, ADTOI, Travel Agents Association of India, TAFI).
“FAITH and its board of directors are deeply thankful to Ministry of Commerce for their support to the Indian tourism, travel & hospitality industry,” the statement concluded.