The government while promoting job creation potential must also focus on the quality aspect of these jobs
By Amit Kumar, Puja Pal, Khushboo Aggarwal
The Finance Minister in her Budget speech emphasised the significance of tourism, particularly religious tourism, and its importance in generating jobs, attracting investment, promoting entrepreneurship and unleashing economic opportunities for other sectors of the economy. She announced that on the lines of the Kashi Vishwanath Temple Corridor, the government will develop the Vishnupad Temple and Mahabodhi Temple corridors in Bihar. Rajgir will also be developed as a tourist centre as it holds religious significance for Hindus, Jains and Buddhists. Further assistance will be provided to develop Odisha’s temples, beaches, monuments, sanctuaries and natural landscape.
The Finance Minister, in her interim Budget speech, had said that tourism, including religious tourism, has the potential to promote local entrepreneurship and employment in the country. For this, States will be encouraged to develop their tourist destinations to brand and market them globally. Thus, the recent boom in religious tourism has created the potential to contribute significantly to employment generation and entrepreneurship.
Predominant Segment
As a nation with deep religious roots, India continues to witness religious tourism as the predominant segment of the tourism industry. According to the Minister of State for Tourism (2018), almost 60% of domestic tourism is religious-based.
The recent opening of the Ram Temple in Ayodhya attracted a significant influx of devotees, with approximately 3 lakh visitors on its inauguration day, January 23. The inauguration of Ram temple has also encouraged other State governments to develop religious sites in their respective States as tourist destinations. For example, the Madhya Pradesh Chief Minister announced ‘Ram Gaman Path’ and ‘Ramayana Mela’ in Chitrakoot. The Bihar cabinet passed a proposal to develop Sitamarhi on the lines of Ram temple. The Odisha government also unveiled its ‘Srimandir Parikrama Project’ which is to be built around the Jaganath temple.
In 2019, of all the new jobs that were created across the globe, travel and tourism accounted for 25%, according to the World Travel and Tourism Council (WTTC). In India, almost 13% of the jobs were created in tourism in 2020-21 as per the annual report of the Ministry of Tourism (2022-23). NLB Services CEO has argued that religious tourism in India is expected to grow at a compound annual growth rate of 16% by 2030. He further argues that States such as Uttar Pradesh, Maharashtra, MP, Bihar, Tamil Nadu, Punjab and Uttarakhand are expected to generate two lakh employment opportunities in the next few years. Ram mandir alone is expected to create around 25,000 jobs in various roles.
Lead Contributors
So, in the wake of this sustained push to promote religious tourism, it is pertinent to assess its potential to generate employment and promote entrepreneurship opportunities in India. The main segment where ample employment opportunities will be created is the service sector such as hotels, restaurants, cafes, stalls, transport, healthcare services, retail and souvenir stores, educators, interpreters, tourist guides, security and safety staff. For example, The Labour and Employment Minister of UP said that the opening of Ram Temple in Ayodhya will generate some five lakh direct and indirect job opportunities in the hospitality sector in the coming five years.
Another segment that will expect an increase in employment generation is the construction sector. For instance, the Ayodhya Master Plan 2031 includes Rs 85,000 crore investment in the upgradation of the city’s infrastructure projects, which comprise the development and expansion of the International Airport and redevelopment of the railway station. All these projects besides leading to infrastructural development of the city will have a multiplier effect on employment generation. The hospitality and the construction sectors have implications for women employment as according to the World Travel & Tourism Council, the travel and tourism sector employs nearly twice as many women compared to other industries.
Local Economy
Religious tourism has a well-established positive effect on employment opportunities and incomes of locals across the globe. The establishment of religious sites for tourism aids local residents in safeguarding and upholding their cultural heritage, while also offering them opportunities for livelihood enhancement through the expansion of local enterprises such as homestays, guesthouses, restaurants and souvenir shops. A study by Egresi (2012) found that religious tourism in Mardin, Turkey, led to a rise in local restaurants, stores, markets, and artisans selling souvenirs, thereby fuelling the local economy. As analysed by Shinde (2010), tourism in Vrindavan, India, has promoted entrepreneurship where the people have started managing ashrams and temples as religious enterprises. Similar mushrooming of local businesses was also witnessed in and around Shirdi temple (Shinde, 2016).
Thus, the recent surge in religious tourism in India, along with the current government’s focused efforts to use it for creating employment opportunities, is a welcome development. Religious tourism holds significant promise in fostering the development of the local economy by offering employment and entrepreneurship avenues. Local people, particularly women, will have the opportunity to participate in the workforce. The service sector, particularly hospitality and construction, has significant employment opportunities. However, the primary concern remains about the quality of jobs in these sectors as they are mainly informal.
Thus, the government while promoting the job creation potential of religious tourism should also focus on the quality aspect of these jobs. To capitalise on these opportunities, Responsible Tourism initiatives are needed, focusing on sustainability. Government initiatives directly supporting religious tourism, such as the SWADESH and PRASAD 2.0 schemes, should be promoted as strategies to stimulate economic activity.
(Amit Kumar is Assistant Professor, Department of Economics, Christ University, Delhi NCR, Puja Pal is Assistant Professor, GB Pant Institute of Social Sciences, Prayagraj, UP, and Khushboo Aggarwal is Postdoctoral Fellow, Delhi School of Public Policy & Governance (IoE), University of Delhi)