TOURISM & CO-OPS A Symbiotic Relationship

1. TOURISM & CO-OPSA Symbiotic Relationship Presentation By Rajiv I.D. Mehta Director – Development, ICA - AP

2. Global Scenario • Globalization has liberalized trade regime • Open Market System has expanded the markets • Free Trade Agreements have brought MFN culture • Free flow of services and products have improved flow of international tourists

3. Co-op Advantages • Co-operation is a Philosophy of Right Attitudes • Value Based / Idealistic form of enterprises • Enterprises with unique blend of economic and social objectives • Member owned • Stakeholder Controlled • Cost Effective • Transparent • Effectively Governed • Reliable • Responsible & • User Friendly

4. Co-op Efficacy • Works best at the primary level (production of a commodity, delivery of services) • Proven track record in Agriculture, Consumer, Housing, Health, Transport sectors • Federal Structure adds to the competitive skills – lobbying, marketing, knowledge, skill building • Helps equitable distribution of benefits • Leadership development and membership education builds social capital • Leads to inclusive growth of economy

5. Tourism Industry • Fast growing industry • Expanding scope of the industry • Increasing interest in green, rural, tribal, health, social, eco & adventure tourism • ICT a great booster of tourism through network of tourism related services • Bottom line – Destination ought to be market friendly, impressive, convenient, cost effective, clean, reliable, friendly & convivial

6. Types of Tourists • HIGH END: Comfort Conscious - Sensitive • For leisure, pleasure & business • MIDDLE SEGMENT: Facility Conscious • For leisure, religion, social, academic, research & business • LOW END: Flexible • For leisure, religion, academic, research & business

7. Common Choices for Tourist Destination • E (electronic) -friendly destinations • Well integrated destinations (comfortable lodging, clean boarding, local dedicated transport, personal advisory and warmth) • Reliable and responsible destination • Convenient destination (well connected by road, rail, air) • Safe destination

8. Components of Tourism Industry • Travel Planning & Ticketing • Boarding & Lodging • Local Advisory / Guide service • Reliable & affordable local transport • Health & General care • Insurance both life & general • Captive markets / buyers

9. Convergence • Solidarity factor for travel plans & ticketing • Cooperative of small hotel owners, paying guest accommodations, extension of existing cooperatives’ services, dedicated tourism cooperatives • Taxi owners, tourists’ guides, service providers to be enrolled as members • Investors & market providers to be inducted as stakeholders at secondary level • Enabling policy environment & clear guidelines

10. Institutionalization • Why do we need to institutionalize small producers, service providers & small entrepreneurs…………To attain a body corporate status !! • OPTIONS ARE……Company Law, Co-operative Law & Special Provisions of the Co. Law • Company law protects the interests of investors & not service producers • Co-operative Law assures democratic control & equitable distribution of benefits among members • Recent amendments allow non-active members of special category to be the stakeholders & participate in decision making • Tourism & Co-op Ministries should formulate a joint strategy to develop both the tourism & co-operative sector in line with the process of SYMBIOSIS.

11. TICA Experience • MR DAVALIO from Legacoop, Italy and Mr PARAMHANS from Railway Employees Cooperative in Malaysia will further crystalize the matter • AND • Resource Persons from DUNIRA Strategy will help us set broad contours of a Strategic Partnership Between the Co-operatives & Tourists • T H A N K Y O U