Bihar Tourism, under the Chairmanship of Shri Nitish Mishra, Honorable Minister of Tourism and Industries, Government of Bihar, organised an investment meet and roadshow at Ashoka Hotel in New Delhi today. The event aimed at promoting investment in Bihar and promoting the state’s tourism offerings.
Promoting Bihar’s Heritage and Investment Potential
Abhay Kumar Singh, IAS, Tourism Secretary, Government of Bihar, addressing the gathering, highlighted the state’s rich heritage and ongoing developmental initiatives. He urged potential investors to confidently invest in Bihar, assuring them of the government’s support and numerous facilities, including direct subsidies. Singh emphasised the government’s commitment by sharing that major hospitality groups like Taj, Hyatt, and Sarovar have already invested in Bihar. He promised investors a warm welcome, reflecting the famous hospitality of Mithila, his homeland.
Detailed Policy and Financial Incentives
The event drew a diverse audience of businessmen, travel agents, tour operators, and hoteliers from Delhi. Shri Singh shared detailed information about the schemes, programs, and policies currently being run by the Bihar Tourism Department. He highlighted the extensive work being done at both the policy and infrastructure levels across various tourism circuits in Bihar. This includes substantial subsidies aimed at boosting the tourism industry, with positive results already visible.
Investment Subsidies
- 30 per cent for investments up to Rs 10 crore, with a maximum cap of Rs 3 crore.
- 25 per cent for investments up to Rs 50 crore, with a cap set at Rs 10 crore.
- 25 per cent for investments exceeding Rs 50 crore, with a cap raised to Rs 25 crore.
Additional Financial Incentives
- 100 per cent reimbursement for the Land Conversion Fee.
- 100 per cent lump-sum reimbursement for the Stamp Duty and Registration Fee related to the lease, sale, or transfer of land.
- 80 per cent SGST reimbursement for five years from the date of commercial operation, capped at 100 per cent of the sanctioned project cost.
- 100 per cent Electricity Duty Reimbursement for the initial five years for new tourism units.
- 5 per cent reimbursement of the monthly remuneration paid to recognised tourist guides, up to Rs 5,000 per guide per month for two years.
- 50 per cent reimbursement of the certification fee for obtaining green certification, capped at Rs 10 lakh.
- 50 per cent GST reimbursement for the organising costs of meetings, exhibitions, conferences, and events.
Industrial Opportunities and Future Plans
Kundan Kumar, IAS, Resident Commissioner, Government of Bihar, elaborated on the new industrial policy of the Bihar government, which has created significant opportunities for investors. He noted a substantial increase in industrial investment, citing more than Rs 50,000 crore in MoUs signed during the Bihar Business Connect 2023. This surge in investment extends to general industrial activities and tourism, improving the overall scenario in Bihar. Kumar, who also serves as the Investment Commissioner and CEO of Bihar Foundation, assured attendees of his availability to address any issues investors might face.
Tourism Growth and Policy Updates
Bihar Tourism Director Shri Vinay Kumar Rai revealed that Bihar attracted 8.21 crore domestic and foreign tourists in 2023. He expressed a commitment to further increasing this number. The event also featured presentations on Bihar’s new tourism policy and the updated status of tourist facility development.
Grants and Support for Tourism Development
Managing Director of the Tourism Corporation, Shri Nand Kishore, presented specifics of the tourism policy. He explained that tour operators or hoteliers from other states need to establish an office in Bihar and collect GST to avail grants. These grants, up to Rs 25 crore, are available for constructing hotels, theme restaurants, parks, meditation centers, golf courses, and rural villages.
Engagement and Support to Tour Operators and Hotels
The Bihar Tourism Department has introduced the Bihar Tour Operators, Travel Agency, and Hotel Management Incentive Scheme 2024 to bolster tourism activities. Notified on February 2, 2024, the scheme offers a range of incentives:
Domestic Travel: Eligible for a reimbursement of INR 15,000 or 50 per cent of travel and accommodation expenses, whichever is lower.
International – Neighbouring Countries: Eligible for reimbursement of INR 30,000 or 50 per cent of travel and accommodation expenses, whichever is lower.
International – West and Southeast Asia: Eligible for reimbursement of INR 35,000 or 50 per cent of travel and accommodation expenses, whichever is lower.
International – Korea, Japan, Africa, Europe: Eligible for reimbursement of INR 50,000 or 50 per cent of travel and accommodation expenses, whichever is lower.
International – North America, South America, Australia, New Zealand: Eligible for reimbursement of INR 75,000 or 50 per cent of travel and accommodation expenses, whichever is lower.
Travel operators empanelled with the Directorate of Tourism are eligible for these reimbursements, which cover expenses related to travel and accommodation for participation in travel trade events.
Incentives for Tour Operators under Bihar Tourism Policy
The Bihar Tourism Policy provides additional incentives for tour operators, hotels, and resorts. These include:
Employment of Tourist Guides: Reimbursement of 5 per cent of the monthly remuneration paid to empanelled tourist guides, subject to a maximum of INR 5,000 per guide per month for a period of two years from the effective date of the policy.
Event Organization Costs: GST reimbursement of up to 50 per cent of the event cost or INR 2 lakh per event, with a limit of three events per organizer per year. This incentive applies to events organized at properties or sites recognized by the Department of Tourism (DoT).
These initiatives are designed to enhance tourism infrastructure and promote Bihar as a prime destination for both domestic and international travellers.
