http://www.thehindubusinessline.com/life/2005/12/16/stories/2005121600070100
htm

<Two-star and 3-star hotels in India, in fact, are over-priced compared to
those in Sri Lanka, Thailand and Malaysia, says Himmat Anand, COO of SITA
In-bound division (Kuoni India). "Decent hotels charging $20-30 a day are a
rarity. The tax laws have proved to be a deterrent for the hotel industry."
This often leaves the budget traveller in a catch-22 situation, as he has to
choose between steeply priced hotels and poorly maintained guesthouses.>

<budget travellers can take to the skies, thanks to low-cost domestic
carriers. The recently launched SpiceJet charges a similar fare for
foreigners and domestic passengers>

<The higher capacity of international airlines and the launch of no-frills
services to India has increased the inflow of foreign tourists, says Korde.
The tourist traffic, in turn, has enabled budget hotels to reduce their
average room rates. Joshua Murali, the sales manager of STIC Travels,
ascribes the influx of tourists to the recent open sky policies. Alitalia
has flown in almost a million passengers into India this year and 30 per
cent of them were budget tourists.>

<Most travel industry officials agree that the facilities in South-East Asia
are far superior to those of India.>

<The CEO of Thomas Cook, Ashwini Kakkar, is not so gung-ho about the advent
of budget tourists. While 15-20 per cent of the agency's clients belong to
this category, he points out that high taxes, unhygienic hotels and lack of
sight-seeing information are keeping travel enthusiasts away from India.>




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