Reviving Odisha: Hotel Industry Calls for Government Action to Boost Tourism

Reviving Odisha: Hotel Industry Calls for Government Action to Boost Tourism

Self-Improvement Jun 22, 2025

With its rich cultural heritage and breathtaking natural landscapes, Odisha stands on the cusp of becoming one of India’s most sought-after tourist destinations. Members of the Hotel and Restaurant Association of Odisha (HRAO) are taking a proactive stand by urging the state government to address prevailing challenges in the tourism sector that could hinder this promising growth. Could Odisha climb up the ranks to become the 7th most popular destination by 2027?

Bridging Infrastructure Gaps

Milind Gupta, the Secretary General of HRAO, highlighted the urgent need to address infrastructure deficits. “The lack of proper infrastructure and land availability is severely hampering tourism development in Odisha,” he emphasized. Gupta pointed out the visible gap between demand and supply as a hurdle for investors, showing a pressing need for governmental intervention.

Proposing Tangible Solutions

The hotel industry isn’t asking for change without presenting solutions. At the heart of their proposals are innovative changes, including simplifying approval processes, introducing a framework for tourism under the Special Economic Zone (SEZ), implementing single-window clearances, and offering capital and interest subsidies to attract investors. Gupta expressed optimism despite the Tourism Policy 2022’s apparent ineffectiveness, hoping for a future where these proposals catalyze meaningful change.

Increasing Capacity for Growing Demand

A state with just 16 classified hotels and 1,055 rooms, Odisha’s current capacity falls short of its tourism potential. According to the India Tourism Statistics Report 2024, the state drew in 97.25 lakh domestic and 0.45 lakh international tourists last year, revealing the need for a strategic expansion in accommodation facilities. Debashis Patnaik, another HRAO member, affirmed that there is room for growth: “The govt has identified land banks in 15 places across the state.”

An Economic Opportunity

Beyond its cultural and natural allure, Odisha bears an economic opportunity waiting to be tapped. As stated in the Times of India, the state is losing over Rs 9,000 crore annually in foreign exchange due to outbound Indian tourism. To counter this, the industry is focusing on manpower training, and integrating tourism-focused education starting from the school level to ensure a knowledgeable and skilled workforce ready to elevate Odisha’s tourism sector.

Awaiting Government Response

The upcoming 6th Odisha Tourism Conclave is more than a mere conference; it is a pivotal moment for stakeholders to implore leaders to reshape Odisha’s tourism landscape. Bringing together travel experts, investors, and industry leaders, the conclave will be a platform for conversations aimed at attracting investment and promoting international tourism. With high hopes from governmental authorities, the hotel industry is poised for a dynamic partnership to script a new tourism chapter for Odisha.

By seizing these opportunities and addressing these challenges head-on, the question remains: Will Odisha harness its potential fully and emerge as a top-tier tourist hub in India?

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