Kathmandu. The Hotel Association of Nepal (HAN) has given a 12-point suggestion to the government for the development and expansion of the tourism sector. HAN has given suggestions to the government to provide facilities like industry to hotels, to make a systematic census of tourists coming from India via land route and to prepare a national tourism action plan with the goal of bringing in 5 million tourists in five years.

According to HAN President Binayak Shah, although the government has presented tourism as an important basis of economic prosperity through the new policy and program and budget, there is a need for further improvement in the policies, work procedures and implementation of the required policies, procedures and implementation.

HAN has demanded that the hotel should be given the status of an industry as an industry as the first suggestion. Shah said that although the government has already recognized the hotel as an industry, the facilities provided by the industry have not been available in practice. He said that necessary policies and procedures should be formulated and implemented immediately.

HAN has demanded that hotels should be provided electricity facilities at par with industries. Currently, hotels have to pay electricity tariff of around Rs 16-17 per unit at commercial rates, Shah said, adding that electricity will be comparatively cheaper if facilities are provided at par with industries.

“Tourists coming to Nepal compare their expenses here with those of neighboring countries. If tourism services become expensive in Nepal, we will be weak in competition,” he said, “Therefore, it is necessary to provide facilities like industry to hotels.” ’

Informal tourism business should be regulated

HAN has also demanded that the growing informal business in the tourism sector should be brought under the purview of regulation. Shah said that although homestay, bed and breakfast are being run in the tourist areas of Kathmandu, Bhaktapur, Patan to Chitwan, some of them are out of registration and regulation.

According to him, the formal hotel business is supposed to pay tax by abiding by the government’s policies, rules and standards, but the informal sector fails to fulfill its obligations, which has created unequal competition.

“It is not that the informal sector should be shut down, but it should be systematically regulated,” Shah said.

Demand to plan to bring 5 million tourists in five years

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HAN has also asked the government to prepare a national tourism master plan and action plan with the goal of bringing in 5 million tourists in the next five years.

According to Shah, the capacity of hotels and tourism infrastructure, which can serve 35 to 40 lakh tourists annually, has been developed in Nepal. But tourist arrivals are much less than that.

“We currently have the capacity to serve 35 to 40 lakh tourists, but the number of tourists is only around 12 lakh. This means that only about one-third of our capacity is being utilized,” he said.

He said that since Nepal is between China and India, a large number of tourists can be brought from these two countries. He said that for this, air and road connectivity should be improved, the airport should be operated at full capacity and a national tourism strategy is necessary.

Demand for enumeration of tourists coming from India via land route

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HAN has also given priority to the demand to systematize the data of tourists coming to Nepal from India via land route.

According to Shah, although the data of Indian tourists entering Nepal via air route is maintained at present, the system of keeping data of Indian tourists coming via land route is not effective.

“Big hotels have opened from Jhapa to Mahendranagar. A large number of Indian nationals come to the hotel casinos on Fridays, Saturdays and Sundays,” he said, “But the expenses they spend in Nepal and their numbers are not fully captured in the tourism statistics.” ’

According to Shah, the actual number of tourists coming to Nepal could be much higher than the current figure if the census of tourists coming via land route could be systematized.

Lack of manpower in tourism sector

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HAN has also raised the lack of required manpower in the tourism sector as a serious issue. Shah said that although there is unemployment in the country, it is difficult to find the required workers and skilled manpower in the hotel and tourism sector.

He said that even though new hotels are being added, the required skilled manpower has not been available from the market. Shah said that there is a huge imbalance between demand and supply in the labor market as Nepali youths are increasingly going abroad in search of employment.

He also demanded that the government make a special plan for the production of skilled human resources and training required in tourism sector.

Demand to implement ‘Desh Darshan’ program to promote domestic tourism

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HAN has also demanded the implementation of the ‘Desh Darshan Program’ for the promotion of domestic tourism. Shah said that although the previous government had announced a program to give two to three days paid leave to the civil servants to visit the country, it could not be implemented due to lack of necessary procedures.

He said that if the program could be implemented by formulating working procedures, it would not only promote domestic tourism but also benefit hotels, travel agencies, airlines, farmers, transport entrepreneurs and taxi drivers.

Demand to simplify payment system for foreign tourists

HAN has also demanded that the payment system should be simplified for foreign tourists. Shah said that tourists coming from Bangladesh and Sri Lanka, in particular, should be able to make payments in their own currency.

Although the monetary policy of Nepal Rastra Bank has announced a policy to make arrangements for tourists coming from Bangladesh and Sri Lanka to pay in their own currency, necessary procedures are yet to be made.

“The number of tourists coming from Bangladesh is significant. Even though they are willing to come to Nepal, there is a problem as the payment system is not easy,” said Shah. ’

He also said that tourists coming to Lumbini from Sri Lanka should be able to pay in their own currency. HAN suggested that the payment of visa fees and other payments should be made easier for foreign tourists through digital means.

Government bodies related to tourism development need reform

HAN has also demanded to increase the effectiveness of government bodies related to tourism development including Nepal Tourism Board, Civil Aviation Authority of Nepal and Nepal Airlines Corporation.

According to Shah, the tourism sector has not been able to reap the expected benefits as these bodies have not been able to work effectively according to their responsibilities. He said that the budget implementation of the Nepal Tourism Board has not been effective even though it is a crucial time for tourism promotion.

“It is now September. It is time to intensify tourism promotion. The tourism board has a budget of about two billion rupees, but it has not been done effectively,” he said.

HAN has stressed the need for effective coordination and clear responsibility among the government bodies for the promotion of tourism.

Tourism should be linked to the national economy

According to Shah, the tourism sector is not limited to the hotel business but also affects many sectors of the economy. The increase in tourism will have a positive impact on the hotel and travel business, as well as agriculture, transport, aviation, taxi, employment and government revenue.

Therefore, the government should formulate a long-term national action plan to develop tourism as the main basis for economic prosperity, he said.

“Tourism benefits not only hotels, but also farmers, transporters and taxi drivers. The revenue received by the government also increases,” Shah said, “Therefore, there is a need for a national master plan to give priority to tourism.” ’

HAN has submitted a 12-point suggestion to the Prime Minister and the Prime Minister’s Office covering these issues. The suggestions include providing facilities to hotels at par with industries, regulating the informal tourism business, improving the tourist arrival data system, preparing a national tourism master plan, managing manpower, promoting domestic tourism and simplifying the payment system.