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Hill States Seek Tourism Boost from Rail Links, Miss Budget Incentives

Tourism stakeholders in Himachal Pradesh have welcomed the Union Budget's emphasis on improving rail connectivity to hill states, seeing it as a major potential boost for tourist inflow. They highlight that current limited air connectivity, with only small airports, restricts access to the state. However, they expressed disappointment over the absence of specific fiscal incentives or policy support to encourage further investment in the tourism and hospitality sector. The stakeholders hope for concrete implementation of the railway plans and future consideration of targeted investment support.

Key Points: Budget Rail Push for Hills Welcomed, But Tourism Wants More

  • Rail connectivity boost for hill states
  • Lack of new tourism investment incentives
  • Current air connectivity limitations
  • Potential of mountain & adventure trains
  • Call for implementation over road projects
3 min read

Rail connectivity may drive tourism to hill states, but budget lacks incentives: Stakeholders

Tourism stakeholders welcome budget focus on hill state rail connectivity but express disappointment over lack of new investment incentives for the sector.

"If broad-gauge trains are extended up to Shimla... tourist inflow will rise sharply. - Mahendra Seth"

Shimla, February 2

Tourism stakeholders in Himachal Pradesh have welcomed the Union Budget's emphasis on improving rail connectivity to hill states, saying it could significantly boost tourist inflow, but expressed disappointment over the absence of specific incentives for investment in the tourism industry.

Speaking to ANI in Shimla on Sunday, Mahendra Seth, President of the Himachal Pradesh Tourism Stakeholders Union and Shimla Hotel Association, said the budget has highlighted plans to expand railway connectivity in hill states like Himachal Pradesh and Uttarakhand, which could prove to be a major boost for tourism.

"One important aspect of the Union Budget is the focus on increasing rail connectivity, especially for hill states like Himachal Pradesh and Uttarakhand. I believe this is a very positive and forward-looking idea," Seth said.

He pointed out that Himachal Pradesh currently has only three small airports, which can handle limited aircraft operations, restricting air connectivity to the state.

"Himachal has three small airports where only small aircraft can land. Large aircraft like Boeing planes cannot operate there. Despite efforts over many years, these airports have not been expanded," he said.

Seth said that improved broad-gauge railway connectivity could address this limitation and significantly increase tourist arrivals.

"If broad-gauge trains are extended up to Shimla or nearby areas, or if connectivity is improved from Pathankot to Kangra, tourist inflow will rise sharply. Tourists from Mumbai, Maharashtra and South India could then travel directly to Himachal, instead of halting at Chandigarh," he added.

Referring to the proposal for mountain and adventure trains, Seth said such initiatives could further enhance tourist movement to the state.

"If high-speed or improved train services reach Himachal, the impact on tourist inflow will be very significant," he said.

However, the tourism stakeholders expressed concern that the budget did not offer concrete fiscal support to the hospitality sector.

"The GST rate for hotels was already reduced to five per cent earlier. We were expecting investment incentives or policy support to encourage further investment in the tourism sector, but nothing new was announced," Seth said.

He said incentives would have strengthened the tourism ecosystem and encouraged expansion, especially at a time when infrastructure constraints remain a challenge.

Seth also said that while heritage railways should be preserved, early expansion of broad-gauge rail links would have been more beneficial than over-reliance on road widening projects.

"We are not saying heritage trains should be scrapped, but if broad-gauge rail connectivity had been developed earlier instead of focusing only on four-lane roads, it would have benefited tourism more," he added.

Tourism stakeholders said they hope the Centre will follow up on its railway announcements with concrete implementation and consider targeted incentives to support tourism investment in hill states.

- ANI

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Reader Comments

P
Priya S
As someone from South India, I would love to take a direct train to Shimla! 🚄 Currently, the journey is so long with multiple changes. This would definitely make me visit more often. But they need to ensure the trains are comfortable and punctual. Our family trips depend on it.
R
Rohit P
Focus on railways over more four-lane roads in the hills is a wise move. The mountains are already crumbling with excessive road construction. Trains are more sustainable and can carry more people with less environmental damage. Jai Hind! 🙏
M
Michael C
I visited Himachal last year and the road journey from Chandigarh was exhausting. A direct train would be fantastic for tourism. However, the stakeholder makes a valid critique. Announcing connectivity is one thing, but without parallel incentives for the hospitality industry, the infrastructure won't be matched by service capacity.
S
Shreya B
True yaar. They talk about boosting tourism but give no concrete help to the people who actually run the hotels and guest houses. After the pandemic, many are still struggling. A little support would have gone a long way. Hope the Centre listens and announces something soon.
K
Karthik V
Good step forward, but execution is key. We've heard about railway expansions for years. Let's see the ground reality. Also, they must preserve the heritage trains like the Kalka-Shimla line – it's a UNESCO site and a major tourist attraction itself. Balance is needed.

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