Tourism (WT/TPR/S/249, p.174, para.183; and p.176, para.187)
The Secretariat report mentions that there is no specific legislation to regulate the tourism sector and other related activities in India. However, we also note that there is a voluntary based licence scheme for travel agents, tour operators and tourist transport operators. According to the report citing information of the Indian authorities, "a foreigner may not operate as a travel agent, tour operator or tourist transport operator" under this licence scheme. In this regard, we would like to know whether a foreigner, or a foreign company, could operate as a travel agent, tour operator, or tourist transport operator in India without the "voluntary" licences. If not, what is the legal basis of such a restriction?
Reply: The Ministry of Tourism grants approval/recognition and not licencing to the various service providers in the categories of inbound tour operators, domestic tour operators, tourist transport operator, adventure tour operator and travel agencies as per the revised guidelines dated 18.07.2011. The aims and objectives of the scheme for recognition of service providers in all the said five categories are to improve their quality standards and service so as to promote tourism in India and abroad.
This is a voluntary scheme open to all bonafide service providers in India to bring them in organized sector. The approval/recognition is given by Ministry of Tourism only to those service providers who are in operation/business in India for more than a year.
However, the service provider has to obtain license/permission from various Central Government and state Government authorities on case to case basis to start their business.