The Karnataka State Cabinet in its meeting held on 18th February 2021, approved a proposal to accord industry status to classified hotels in Karnataka. This decision is expected to boost recovery of the hospitality sector through various benefits including applicability of industrial tariff for electricity and property taxes among other benefits. Hotels/Resorts classified / approved by the Ministry of Tourism, Govt. of India may avail the industry status benefits.
The tourism and hospitality sector has been one of the worst affected due to the global Covid-19 pandemic. Government’s decision to grant ‘industry status’ to classified hotels / resorts in Karnataka is most timely and welcome.
Karnataka has recently released its Tourism Policy 2020 – 25 with focus on attracting investments by offering attractive terms viz., incentives, subsidies and concessions. Additionally, the Govt. of Karnataka has extended its support to initiatives that can help in the revival and growth of the state’s tourism and hospitality sectors.
The members of Karnataka Tourism Society and stakeholders in travel, tourism and hospitality sector extended their gratitude to Karnataka chief minister BS Yediyurappa; CP Yogeshwar, Minister of Tourism, Ecology and Environment departments; P Ravi Kumar, IAS, Chief Secretary, TK Anil Kumar, IAS, Principal Secretary, Department of Tourism and KN Ramesh, IAS, Director, Department of Tourism, Govt. of Karnataka.