210 Projects Amounting to Rs. 540 crore for NE states

Union Ministry of Tourism Sanctioned 210 Projects Amounting to Rs. 540,
Crore for North East States During the First Three Years of the 11th Plan
——————————————————————————–

13:52 IST

The Union Minister of State for Tourism Shri Sultan Ahmed has said that his ministry is taking special interest in promoting North East Region as “Paradise Unexplored” both for domestic and international tourists. Addressing the All India Editors Conference on Social and Infrastructure Issues in Guwahati today, though 10% of the plan allocation of the Ministry of Tourism is earmarked for North Eastern Region. However, the funds released by the Ministry to NER has far exceeded the limits.

He said, the total number of infrastructure projects with an amount of Rs. 391.85 crore were sanctioned to NER during the 10th plan period(2002-07). Whereas during the first three years of the 11th Plan (up to December, 2009), the number of projects sanctioned is 210 with an amount of Rs. 540 crore.

Shri Sultan Ahmed said. The Ministry of Tourism has drawn up perspective Tourism plan for each of the North Eastern states for 20 years which have been sent to them for the development of tourism in their states.

He said. For the year 2010-11, the Ministry of Tourism held prioritization meetings with these states one by one for the projects which are to be prioritized as per the perspective plan. 76 projects have been approved out of which 39 are destinations, 6 are circuits and 29 are under Rural Tourism.

Listing other initiatives Shri Sultan Ahmed said that the Ministry had organized a road show at Kolkata in August 2009 for providing an opportunity to States of NER to showcase their wide variety of tourism products to both domestic and international travelers. He said the ministry has modified the Market Development Assistance Scheme for the region. Under the scheme, one tour by the approved service provider to a particular state and a total of not more than two in one financial year are eligible for the financial assistance. However, one additional tour is considered for visiting the North Eastern region. He said, service providers from the NER are eligible for three tours outside their respective states.

The scheme also enables to the approved service providers in the NER for undertaking promotional activities in the overseas markets for participating in travel fairs and exhibitions, sale cum study tour and printing of publicity material for distribution overseas.

Referring to publicity and marketing, the Minister listed the steps taken by the ministry to promote North East Region. He said during 2009-10 the following steps were taken:

(i) a booklet on the legends and folklores of North East of India has been produced by the ‘India Today’ group supported by the Ministry of Tourism which are related to geography, beliefs, culture, tradition etc. of this region

(ii) Ministry released a campaign on various TV channels to promote NER among the domestic travelers. A 60 seconds TV commercial was aired during the campaign, released in January/February, 2010.

(iii) Ministry of approved central financial assistance of Rs. 14.90 lakh to Sikkim for the production of CDs and tourism literature.

(iv) Ministry of Tourism participated in SATTE, 2010 at Delhi wherein all the NER were provided stalls to highlight their tourism products

(v) Inter-state regional conference of Tourism Ministers of NER was organized at Gangtok, during 5th to 7th December, 2009

In 2010-11, the Ministry of Tourism has approved central financial assistance of Rs. 26.38 lakh to Mizoram for the production of tourism literature and documentary film

Familiarization tours to the NER are being arranged for travel and media representatives from overseas on a regular basis under the Hospitality scheme of the Ministry.

Shri Sultan Ahmed said, Recently, the Union Ministry of Tourism has modified its guidelines for extending financial support to state governments/UTs for production of publicity material in collaboration with the private sector. Under the existing scheme, the Ministry supports the NE R for the production of collaterals and tourism promotional material on 50:50 cost sharing basis subject to maximum of Rs. 25 lakh by Ministry. The 50% states’ share could be split equally between State and the private sector. However, recognizing the special needs of the NER, the upper ceiling of Rs. 25.00 lakh per state in a financial year will not apply.

The Minister said, his Ministry provides financial assistance for setting up State Institute of Hotel Management IHMs/Food Crafts Institute FCIs. Recently, the Cabinet Committee on Economic Affairs has approved the widening scheme’s scope to cover the funding of infrastructure creation in vocational schools, polytechnics/it is, Universities etc. for starting courses in tourism and hospitality sector.

The Minister said, Hotel industry are entitled for capital investment subsidy to the tune of 30% for hotels(not below 2 star category) under the North East Industrial Investment Promotion Policy, 2007. Also 5 years tax holiday is available for creation of accommodation in the districts close to World Heritage sites provided they are constructed and start functioning from 1st April 2008 to 31st March, 2013.

Shri Sultan Ahmed said with a view to provide an opening for showcasing the rural products, the Ministry grants CFA for creating infrastructure and for human resource development. He said out of 153 rural sites, 51 sites in NER are being developed under the Rural Development scheme. The Ministry is also providing funds for creating infrastructure relating to adventure activities in NER.

The Minister said, his Ministry now is also providing the financial assistance for the construction of Heliport as a component for areas which are inaccessible but having tourism potential with the financial ceiling of Rs. 75 lakh. And North Eastern States specially Sikkim has shown keen interest in the scheme.

Shri Sultan Ahmed said, with a view to promote meetings, incentives conventions and exhibitions (MICE), Ministry is providing central assistance up to Rs. 5 crore for the construction of a convention centre in each state/UT