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Business EconomyPosted at: Oct 5 2021 6:19PM


Travel industry proposes free Covid insurance to foreign tourists, re-starting scheduled international flights

Nirbhay Kumar
New Delhi, Oct 5 (UNI) Making strong pitch for starting scheduled international flights, Delhi-based travel and tour operators' body Indian Association of Tour Operators (IATO) has proposed to offer free Covid insurance to foreign tourists coming to India.
The suggestion made to the Tourism Ministry is aimed at promoting India as tourists-friendly destination globally.
Given that travel and tour operators earn significant portion of their annual revenue during holiday season starting October, they want the government to relax all travel restrictions.
Speaking to UNI, IATO President Rajiv Mehra said that there are limited foreign flights on limited international routes under 'Air Bubble' agreement and as a result airfare is very high.
"The government should open e-Visa facility and fully-vaccinated tourists should be allowed. On the basis of bilateral air service agreements with various countries, flights should be allowed. If airlines find it viable they will operate," Mehra said.
The IATO President said that government can offer free Covid insurance to tourists for a year or two or till the situation stabilises.
"If a tourist spends US$ 1000-1500 he can also spend another US$ 25 for insurance against Covid. The government can offer insurance for free as this will send out very good message among tourists," Mehra said.
Travel and tourism industry has been among the worst-affected sectors by pandemic forcing thousands of firms out of business and causing massive job loss.
STIC Travel group Chairman Subhash Goyal said that the industry has suffered heavily during the last two years. Moreover, the country has lost huge foreign exchange earnings due to ban on international flights.
"In 2019, the foreign exchange earnings from tourism sector were about US$ 30 billion. This year, our forex earning has been down by about US$ 2.5 billion. If tourism sector revives we will not only cover the loss but exceed the targets. Total number of people involved in tourism sector is 68 million and if airlines are included the number will go up to 75 million. In the last two years, 25 million people lost their jobs," Goyal noted.
He urged the government to start e-Visa for tourists and resume international flights.
The travel industry veteran said that there are 60 countries in the world which are accepting both Indian vaccines and also accepting Indian tourists.
"My suggestion is to start international flights with these 60 countries immediately. We can then allow flights with other countries too. Scheduled international flights should be started from October 15 or latest by November 1," Goyal said.
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