Parliamentary Panel Expresses Concern About MICE Tourism in India

India, despite being one of the world's fastest-growing economies, has failed to capture more than 1% of the global MICE (Meetings, Incentives, Conferences, and Exhibitions) tourism business. A recent report from a high-level parliamentary panel highlighted this concerning trend, shedding light on the reasons behind India's poor performance in this sector.

The report, presented during a special session of Parliament, pointed out the lack of a focused approach towards MICE tourism as one of the main culprits. This revelation comes at a time when Prime Minister Narendra Modi inaugurated significant MICE infrastructure projects, such as Bharat Mandapam and 'YashoBhoomi,' emphasizing the government's commitment to promoting this industry.

The creation of these infrastructures is expected to open doors to increased funding opportunities and generate employment in the tourism sector. This move has been welcomed by industry stakeholders, who have long sought industry status recognition for MICE tourism.

According to the report titled 'Development of Niche Tourism (including Spiritual Tourism), Theme-based Tourist Circuits, and Potential Tourist Spots,' India ranked a mere 28th globally in the 2019 International Congress and Convention Association (ICCA) ranking of countries, with only 158 meetings. Indian cities also fared poorly in ICCA's international city rankings for the number of international association meetings, with only seven Indian cities making the list. Delhi secured the 75th position with 37 meetings, while Ahmedabad ranked 424th with just four meetings. Even tourist hotspots like Goa struggled, ranking at 307th place with only eight meetings.

Less than 1% Share in Global Business Conventions

Despite possessing infrastructure and amenities comparable to developed countries, India's MICE tourism performance continues to lag due to several factors. These include the absence of a dedicated system for tracking national and international MICE events, high taxation and operational costs, and a lack of standardized processes and services.

The committee also noted that successful international cities typically have convention bureaus to support organizations and associations hosting events, a feature notably absent in India. Competition from countries like Singapore, Thailand, UAE, China, Macau, and Malaysia further challenges India's position in the MICE market.

Recognizing the potential for enhancing a city's reputation and visibility through the convention industry, the panel recommended the creation of marketing bodies to attract more MICE events and investments to Indian cities.

Moreover, the committee highlighted the inadequacy of four and five-star hotel rooms in India, emphasizing the need for an increase to match international standards. Furthermore, stakeholders identified improving air connectivity, especially for international flights, as a crucial factor in promoting MICE tourism.

In conclusion, the parliamentary panel's report underscores the urgency of addressing the various challenges facing India's MICE tourism sector. By implementing focused strategies and investing in infrastructure, India can aspire to a more significant share of the global conventions business, aligning with its status as a rapidly growing economy.