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CII National Committee writes to tourism minister seeking opening of hotels across states

NEW DELHI: Indian Hotels Company (IHCL) CEO Puneet Chhatwal, chairman of CII's national committee on tourism and hospitality and MakeMyTrip Group executive chairman Deep Kalra, co chairman of the committee have written to tourism minister Prahlad Patel seeking opening of hotels in all states, policy support and a rollback of some tax proposals introduced this year. “It is imperative that the tourism and hospitality industry reopens following Unlock 3.0 in the country,” said Chhatwal and added that CII has reached out to ministry of tourism at the centre and Anil Baijal, LG, Delhi government for support during these ‘unprecedented times.’ Requesting the minister to advise all state governments to allow hotels to operate as per Unlock 3.0 MHA guidelines, making loans more accessible and seeking a 12 months deferment of statutory dues, the letter dated August 13 said budget 2020 proposed a new TDS levy similar to TCS under GST law, whereby travel agents and OTAs are required to withhold 1-5% TDS while remitting payments to hotels and airlines. "Keeping in with the fact that the entire industry is heading for a loss this year, the proposed provision should be rolled back,” the letter stated and added: “Proposed TCS on sale of overseas packages in Finance Bill 2020 is detrimental to tourism business in India. Proposed TCS will not only increase the cost of packages sold by Indian tour operators, it will also shift all sales of outbound tourism to overseas suppliers, denying the govermment income tax and GST revenue...proposed TCS should be rolled back.” The industry leaders have also sought restrictions on the size of large public gatherings, congregations for conferences, marriages etc to be based on size of banquet halls and not number of people (current guidelines cap marriage related gatherings at 50 people), and have suggested measures like making e visas free or providing them at a nominal cost till December 2021, changes in LTA rules, zero rating GST for MICE, zero rating GST for bookings made on domestic travel for two years to boost domestic tourism. They have also highlighted Covid testing protocols that could be followed for safe international and domestic travel. “As per current rules, LTA can be claimed for travel fare or tickets within India only, expenses incurred for accommodation, or any other fee will not be eligible for exemption. To incentivize domestic tourism, government may modify the rules and allow citizens to avail LTA benefit on domestic tours including travel fare or tickets and accommodation for a period of two years,” the latter stated. Investments in the hotel sector can also be encouraged by giving infrastructure status for lower investments, according to the leaders. “The government has granted infrastructure status to hotel projects above Rs 200 crore...If mid-market hotel projects under Rs 200 crore are granted infrastructure status and have longer tenure to repay loan, they will be profitable,” the letter stated.

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Kerala to welcome domestic tourists from September

THIRUVANANTHAPURAM: Tourism minister Kadakampally Surendran said the state would welcome domestic tourists from September with restrictions. He also announced a Rs 455 crore loan scheme to support the tourism sector affected by the COVID-19 pandemic. The scheme known as the Chief Minister’s special tourism loan fund will benefit both entrepreneurs and workers in the sector. Entrepreneurs in the sector can avail a loan up to Rs 25 lakh while the small ventures can avail up to Rs 3 lakh. The tourism department will offer 50 per cent subsidy for the first year of the loan term. The workers will get Rs 20,000 to Rs 30,000 as a soft loan from Kerala Bank. There will not be repayment for the first six months, said the minister. The minister also said that a Rs 100 crore project with Kerala Bank for the sector was in the preparatory stage. Surendran said the former principal secretary to the Chief Minister, M Sivasankar, could not fulfil the trust reposed on him by the Chief Minister. “He was appointed for his calibre and was kept away when the Chief Minister came to know about his activities,” said the tourism minister. He said the UDF and BJP were acting like Siamese twins to unleash rumours against the government. The Leader of Opposition is acting like a new version of Goebbels, said Surendran. He denied that the government had any role in the alleged commission payment to Swapna Suresh, accused in the gold smuggling case, for the construction of a Life Mission project.

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India travel demand high, says Lufthansa as air bubble flights to Germany resume

The Lufthansa Group on Monday expressed confidence that air travel demand to and from India remains high despite the COVID-19 lockdown disruption, as it welcomed the bilateral air bubble agreement which allowed Germany's largest airline to resume flights from India last week. George Ettiyil, Lufthansa Group's Senior Director for South Asia Sales, said the airline is offering more than 40 flights from Frankfurt and Munich to Delhi, Mumbai and Bangalore until the end of August, beyond which it hopes to formally apply for inbound flights to India in consultation with Indian authorities. “For India, one of our most important international markets, we are seeing positive developments after it was more or less cut off from the rest of the world since mid-March,” said Ettiyil, in reference to the coronavirus lockdown which grounded flights in March. “Since travel demand to and from India remains high, we will formally apply for inbound flights to India beyond August in due time and will be in close consultation with Indian authorities concerning this. In this context it is important to note that our flights to and from India are relief flights and not regular flights. They address the continuing need for essential travel to and from India, bringing people together again and to support the travel needs of businesses,” he said. In an effort to open up more flights, India has struck bilateral air bubble arrangements allowing travel to and from certain countries including Germany, the US, UK and France. The Lufthansa Group has been making use of the Reverse Transcription Polymerase Chain Reaction Test (RT-PCR test) at German airports, which helps detect acute infection linked to coronavirus, as part of this gradual resumption of flights. “Since July, Lufthansa has been offering Indian customers a convenient option at Frankfurt and Munich airports to test for coronavirus on short notice. These PCR coronavirus tests only require a throat swab and are certified by German health authorities,” said Ettiyil, who is hopeful that such tests would be adopted at more airports around the world, including India. He said: “Both coronavirus test centres at our hubs in Frankfurt and Munich provide customers the opportunity to avoid being quarantined upon arrival in Germany, with a negative coronavirus test in their hand. Results are usually available within four to five hours after testing and are linked to the customer's flight ticket. "This also makes it easier to travel safely to other countries worldwide that accept a certified PCR coronavirus test, thereby avoiding quarantine. That is why having PCR corona test centres like the ones in Frankfurt and Munich at airports worldwide, including India, are seen as a key factor to restore international travel.” The airline industry has been particularly hard-hit as a result of the coronavirus lockdown the world over, with the Lufthansa Group reporting an 80 percent drop in revenue in the second quarter of the year in financial results released earlier this month. “We are experiencing a caesura (break period) in global air traffic. We do not expect demand to return to pre-crisis levels before 2024. Especially for long-haul routes there will be no quick recovery,” said Carsten Spohr, Chairman of the Executive Board and CEO of Deutsche Lufthansa AG, in reference to the results. “We are convinced that the entire aviation industry must adapt to a new normal. The pandemic offers our industry a unique opportunity to recalibrate: to question the status quo and, instead of striving for ‘growth at any price', to create value in a sustainable and responsible way,” he said. As one of Europe's largest airlines, the group is seeing the first signs of recovery on some tourist routes during what is a summer holiday period in Europe and is keen to highlight the safety aspect of flying. “It is important to mention that the risk of contracting the virus during a flight is very low. This is also due to all Lufthansa Group aircraft being equipped with state-of-the-art hepa filters that continuously clean cabin air: all recirculated air is filtered and cleaned of impurities such as dust, bacteria and viruses,” explains George Ettiyil. “Start flying and say hello to the world again – there is no safer way to travel than on an aircraft,” he adds.

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Latest travel guidelines for passengers flying to Uttar Pradesh, Tamil Nadu

The Airports Authority of India (AAI) has issued an updated state-wise quarantine regulations for domestic passengers in its efforts to address concerns raised on quarantine norms in different states. So, air passengers heading to Tamil Nadu and Uttar Pradesh, need to keep these travel advisories in mind to ensure a safe and smooth journey. Advisory for domestic passengers travelling to Tamil Nadu : -All passengers travelling to Tamil Nadu shall be required to register on the state website and obtain TN e-pass at https://tnepass.tnega.org. -Covid test for passengers arriving into Chennai from Maharashtra, Gujarat and Delhi. -Covid test for passengers arriving into any other airport of Tamil Nadu from any state at the discretion of health officials. -Covid test for all passengers travelling within Tamil Nadu at the discretion of health officials. -14 days of home quarantine for all passengers arriving into Tamil Nadu from any other state. Advisory for domestic passengers travelling to Uttar Pradesh : -Passengers need to register on the state website before they exit the arrival hall using the web link (https://reg.covid.in) or phone number (1800-180-5145) - 7 days of institutional quarantine followed by 7 days of home quarantine for international passengers. - 14 days of home quarantine for domestic passengers. Over 5 million domestic passengers were flown to their destinations on 56,792 flights since the resumption of domestic flights in a calibrated manner on May 25, Union Civil Aviation Minister Hardeep Singh Puri had said last week. "More than 5 million domestic passengers have flown to their destinations on 56,792 flights since calibrated domestic operations began on 25 May 2020. 93,062 passengers flew on 911 flights on August 9, 2020, alone," he had said. Following the coronavirus pandemic and subsequent lockdown, all domestic and international flight operations were suspended in March. Domestic operations were resumed on May 25.

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Travel to Canada now possible as air bubble between India and Canada becomes operational

Reportedly, the air bubble between India and Canada is now operational with the national carriers of both the nations all geared up to restore travel between the countries. Referring to the development, the Director General of Directorate General of Civil Aviation (DGCA) stated that as per bubble agreement, any Indian holding any kind of valid visa, can now travel to Canada, the United Kingdom, United States and United Arab Emirates. Canada is the latest addition to the list, as India managed to form air bubbles or similar arrangements with other countries, such as the United Kingdom, United States, Germany and France. India has also set up bi-lateral travel arrangements with seven countries so far along with the Maldives and the United Arab Emirates also brought under these so-called air corridors. Although these air bubbles ensure that people will now be allowed to travel abroad or visit India, they will still need to undergo mandatory tests and quarantine rules set by their destination countries. Now, as reported, Indian and Canadian airlines can operate between these countries. Here are all the details that you need to know about this latest development. Those who will be allowed to fly to India: All Overseas Citizens of India (OCIs) holding Canadian passports, stranded Indian nationals, and foreigners, including diplomats, holding a valid visa from any category, and who are eligible to enter India as per the Ministry of Home Affairs. Those who will be allowed to fly to Canada: Stranded Canadian residents and nationals, any Indian with any type of valid Canadian visa, seamen of both Indian origin and foreign nationalities would be subject to clearance from the Ministry of Shipping. Further, Minister of Civil Aviation Hardeep Puri has also confirmed that more air bubbles with other countries will soon be set up.

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Private train operators given freedom to choose halt stations: IRCTC

New Delhi: Private operators who will be handed over 150 trains to ply on 109 routes by the Railways will have the freedom to choose halt stations of the trains they operate, documents released by the national transporter have shown. However, the private operators have to submit in advance to the Railways the list of such intermediate stations on the trains' paths where they are proposing halts in advance. The private operators also have to provide the time in and time out at the intermediate railway stations, which shall form part of the train operation plan. This has to be submitted in advance and will be in place for at least a year, after which it can be revised, a draft of the Concession Agreement has said. "The Concessionaire shall have the flexibility in deciding the stops/ halts in accordance with the terms and conditions of the Concession Agreement," the Railways has said in reply to a query by one of the private players who attended pre-application meetings. The Railways has also said the number of such halts of the private trains will not be more than the number of existing halts of the fastest train of the Railways operating in that route. The train operation plan submitted by private operators will also have to include the stations at which the water tanks in the trains need to be filled and also the railway stations, washing lines or stabling lines, as the case maybe, at which the train toilets would be evacuated. As earlier reported by, the fares for private trains that are scheduled to begin operations by 2023 will not be regulated by any authority and will be decided by the private operators depending on market conditions. Bombardier Transportation India, Siemens Limited, Alstom Transport India Ltd are among the 23 firms that have evinced interest in running private trains. The first-of-its-kind venture, the project to bring in private players to run trains is expected to see private sector investment of around Rs 30,000 crore. The 109 pairs of routes have been formed into 12 clusters that will cover major parts of the Indian Railways network. The aim of the project is to upgrade passenger experience on the railway network to world-class standards, with modern train rakes, most of which will be manufactured in the country under the 'Make in India' initiative. Indian Railways will earn by charging the private entity fixed haulage charges and energy charges as per actual consumption. The national transporter will also get a share in the gross revenue which will be decided through a transparent bidding process. As of now, the private train operator would need to access the Railway's PRS (passenger reservation system) for management and distribution of its ticket inventory. For usage of such reservation system, they may have to pay a charge to the Indian Railways, the document said.

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