Tourism ministry to help states tap private sector for tourism promotion

03 Jul 2010

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The union ministry of tourism will extend financial support to states and union territories for production of publicity material in collaboration with the private sector.

This is being done to give a fresh boost to tourism under the public-private partnership model, and to encourage production of adequate publicity material of international standards, for use in the domestic and international markets, a government release said on Friday,

The financial support for such initiative would be 50 per cent of the total cost in the case of the North East states, including Sikkim, Jammu & Kashmir and the three newly formed states of Chhattisgarh, Jharkhand and Uttarakhand. The remaining 50 per cent would be shared equally by the state governments/union territories and private stakeholders.

In the case of the other states/union territories, the ministry of tourism will contribute 34 per cent of the total cost or a maximum amount of Rs25 lakh, whichever is less, to the state governments and 34 per cent of the total cost or a maximum amount of Rs15 lakh, whichever is less, to the union territories, for production of publicity material in each financial year.

The balance 66 per cent will be borne by the state governments and private stakeholders jointly, with a minimum share of 25 per cent of the total cost being borne by the state government/UT.

The ministry of tourism has also revised its guidelines for grant of central financial assistance to states and union territory administrations for organising fairs / festivals and events such as seminars, conclaves, conventions etc on tourism related themes.

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