Budget 2026: Adventure tourism might be promoted as revenue model
What's the story
The upcoming Union Budget is likely to promote adventure tourism as a new revenue model for states, according to HT Mint. The move aims to formalize the sector and make it a consistent source of income for states. The focus is not just on promoting tourism but also on making adventure tourism an economic driver for state governments.
Economic impact
Adventure tourism to boost state revenues
The government hopes to integrate the adventure tourism hubs with existing circuits, thereby increasing tourist stays and also per-visitor spending. This would help states monetize their natural assets without heavy construction and urbanization. The move is expected to generate revenue while allowing the states to leverage their natural assets sustainably.
Sector challenges
Adventure tourism sector still fragmented in India
Despite a strong domestic market and rising global interest, India's adventure tourism sector is still fragmented. States like Uttarakhand, Himachal Pradesh, and Jammu & Kashmir have become natural hubs for this industry. However, the lack of a national framework has limited its growth potential and ability to convert natural advantages into sustainable economic returns.
Regulatory measures
National SOPs for activities
The upcoming Budget may also announce the formulation of national standard operating procedures (SOPs) for adventure tourism activities. This would include safety protocols, certification requirements for the operators and guides, equipment standards, insurance coverage, as well as emergency response protocols. These measures are expected to boost investor confidence while minimizing liability-related risks in the sector.
Employment potential
Adventure tourism as a key job creator
The Centre is looking at developing adventure tourism destinations across states, leveraging India's diverse geography. The sector is seen as a major job creator, building on the 84.6 million tourism jobs recorded in 2023-24. Projections suggest that the Indian adventure tourism market could reach $46.73 billion by 2030, further contributing to employment generation in this field.