Sector Snapshot · Leisure Services

India's Tourism Sector Outpaces the Global Growth Average

A fast-read primer on India's tourism and hospitality sector — the backdrop against which we benchmark every company's cost structure in this category.

Rs 15.73 lakh cr

Tourism's contribution to GDP

84.63 mn

Jobs generated by travel & tourism, 2023-24

US$60 bn

Tourism & hospitality sector size target by 2028

US$36.05 bn

International visitor spend, 2024 (record)

39th

India's Global Travel & Tourism Development Index rank, 2024

GDP and Employment Contributions Both Lead the Average

Tourism's total economic footprint outpaces its direct footprint on both fronts, reflecting a large indirect multiplier.

GDP Contribution

Direct vs. total impact

2.72%

Direct Share

5.22%

Total Impact

Employment Contribution

Direct vs. total impact

5.82%

Direct Share

13.34%

Total Impact

What's Pushing the Sector Forward

Above-average GDP contribution, robust demand, and reform-driven policy support define the sector.

Above-Average GDP Contribution

Contributes 5.22% to GDP (total impact), above the world average

Robust Demand

International visitor spend hit a record $36.05bn in 2024

Policy Support

GST on hotel stays under Rs7,500 cut to 5%
Expanded e-visa and Golden Visa reforms

Recent Developments

A sample of the industry-wide and policy moves shaping the sector through early 2026.

→ India's tourism and hospitality sector is poised to reach nearly $60 billion by 2028.
→ Travel and tourism generated approximately 84.63 million jobs in 2023-24.
→ GST reduction on hotel stays under Rs7,500 to 5% aims to build toward a $1 trillion hotel industry contribution to GDP by 2047.
→ Telangana's tourism sector attracted Rs15,000 crore in investment across 31 projects under its 2025-2030 policy.
→ Wellness tourism is growing strongly in India, boosting occupancy by up to 36% in some properties.
→ India ranked 39th in the Global Travel & Tourism Development Index 2024.

Companies We Benchmark in This Sector

Listed Indian Leisure Services companies in tDoBe's cost-benchmarking coverage.

Indian Hotels Co

IRCTC

ITC Hotels

Jubilant Foodworks

EIH

Chalet Hotels

Travel Food Services

TBO Tek

Leela Palaces Hotels

Ventive Hospitality

Devyani International

BLS International

Lemon Tree Hotels

Le Travenues (Ixigo)

Westlife Foodworld

Jeena Sikho Lifecare

ITDC

Sapphire Foods

See How These Companies Compare on Cost

The numbers above set the stage. Our Report translates it into a company-by-company cost benchmark — down to the category — so you can see exactly where a business sits against its peers.

Explore the Leisure Services Report