Borrowing SEZ idea, Centre starts working on Special Tourism Zones

The Special Economic Zones may be generating political heat but the Government is borrowing the SEZ idea to plan Special Tourism Zones

The Special Economic Zones SEZs may be generating political heat but the Government is borrowing the SEZ idea to plan Special Tourism Zones STZs.

The National Tourism Advisory Council NTAC, the official think tank of Tourism Ministry, is meeting here on November 27 to discuss the concept note on STZs which has made some strong recommendations on the lines of SEZs. Some states, including Haryana and Kerala, have already told the Centre they are game for STZs.

The concept note suggests:

8226; STZs be located in tourist destinations, cities, along the coastline

8226; Government should provide single window clearance

8226; 100 tax exemption for a period of 10 years

8226; Each STZ should be able to provide 2,000 to 3,000 hotel rooms.

8226; Facilities for shopping, entertainment

8226; Exemption from import duty on capital goods

8226; Withdrawal of luxury tax, lower VAT etc.

8226; Exclusive NRI tourism zones or elite world tourist zones for high-end global tourists

The concept paper, prepared by a sub committee appointed by the NTAC, makes clear that STZs with a clear-cut policy and plan in consultation with big private players in the field of tourism and related services is essential for the growth of tourism.

8220;When the government is ready to give necessary support services in the form of infrastructure and tax relief, private investors will come flocking in to take the concept to its dazzling heights, resulting in the creation of even newer infrastructure in the region, increased economic activities and also employment generation for the dependent communities in the areas that fall in the STZs,8221; states the concept note.

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Restoration of monuments and setting up new ones wherever necessary, aesthetic landscaping and upkeep, creation of tourist shopping avenues, village and cottage industries, cultural learning and performing centres, provision of multilingual and cross-cultural service providers with help of private institutions, are part of the Special Tourism Zones development plan.