World Travel & Tourism Council

'India should encourage local people to work in the travel and tourism industry'

Jean-Claude Baumgarten, president, World Travel and Tourism Council (WTTC), tells Reema Sisodia that the 8th Global Travel & Tourism Summit will reinforce the benefits that the travel and tourism sector will bring to people around the world on a social, cultural and economical basis

Jean-Claude Baumgarten President, World Travel and Tourism Council (WTTC)

What is the main focus and agenda of this year's Summit?

The theme for the 8th Global Travel & Tourism Summit is ‘World Citizens’. Travel and tourism is - for many people around the world - a basic human right, as fundamental to their lives as food, shelter and freedom. And, with growth projections based on increasing levels of wealth across the world, the phenomenon of travel and tourism is called to play an even more significant role in our lives and our societies. WTTC’s latest research highlights the impact of this industry, in the 238 million jobs that it provides worldwide and its 10 per cent contribution to global GDP.

This year's Summit will reinforce the benefits that the sector can bring to people around the world, on a social, cultural and economical basis. It will provide an unrivalled opportunity for the industry's leaders to come together to explore a way in which they can play an enhanced role in nurturing the world's natural and cultural as well as tackling social and economic issues.

What will be the Summit's highlight and new elements to be introduced this year?

The Summit in Dubai will welcome world leaders for an open exchange on a worldwide agenda - unlocking travel and tourism's full potential. The discussions are aimed at informing and inspiring industry and governments along a path which will guide them in acting as responsible global citizens in a rapidly evolving world. In this way, travel and tourism can continue to nurture the world's natural and cultural environments while still driving invaluable social and economic development.

Under the patronage of His Highness Sheikh Mohammed bin Rashid Al Maktoum, vice president and prime minister of the UAE and Ruler of Dubai, these leaders will aim to explore the approaches that can balance the prizes of freedom and opportunity to travel with sustainability in a changing world.

Bringing public and private sector leaders together should throw new light on their roles - and on the role of individuals too - in reaching that balance. The summit itself is the consequence of a major public/private partnership comprising the Dubai Department of Tourism and Commerce Marketing, Emirates Group, Jumeirah Group and Nakheel.

What participation is expected at this year's Summit?

Travel and tourism is a major influence on the way the world works and on the quality of life of so much of its population. The Summit will tackle and confront global issues. Travel and tourism leaders are at the very heart of local challenges on a global scale, as well as being the potential drivers of successful development at all levels of economy and this is why WTTC constantly consistently attracts the world's leaders to its annual Summits. 2008 is no exception and we expect to welcome over 1,000 delegates over two days of the Summit.

How was the year 2007 for WTTC post the 7th Summit held in Lisbon?

2007 saw continued growth for the industry worldwide, however the new TSA results that WTTC released in March 2008 reveal a moderate impact on the travel and tourism industry as a result of the global economic downturn, with its annual growth rate experiencing a slowdown in 2008, to three per cent.

Challenges come from the US slowdown and the weak dollar, higher fuel costs and concerns about climate change, which was one of main topics at the Lisbon Summit in 2007. However, the continued strong expansion in emerging countries - both as tourism destinations and as an increasing source of international visitors - means that the industry's prospects remain bright into the medium term.

Looking past this present cyclical downturn, the long-term forecasts point to a mature but steady phase of growth for world travel and tourism between 2009 and 2018, averaging a growth rate of 4.4 per cent per annum, supporting 297 million jobs and 10.5 per cent of global GDP by 2018.

While climate change is still high priority for the industry, we must also focus attention on other pillars that support this industry's activity, including infrastructure and human resources and development.

What are your impressions of the Indian travel and tourism industry?

WTTC’s latest research reveals strong performance for travel and tourism demand in India in 2008, growing at 7.3 per cent. The long-term forecasts point to a continued solid phase of growth between 2009 and 2018, averaging at 9.4 per cent per annum.

Travel and tourism is expected to contribute 6.1 per cent to India's national GDP, with no increase in the coming decade. However the anticipated growth will create 30.5 million jobs in 2008, 6.4 per cent of total employment, rising to 40 million jobs, 7.2 per cent of total employment by 2018.

Travel and tourism presents major opportunities for India as an economic catalyst. The country's performance figures are impressive but the government of India must ensure that the country develops the support to manage this expected growth as well as to retain and train the workforce in order to meet the demands of both international and regional visitors. India has diverse tourism products with rich historical heritage as well as cultural and natural attractions. Its main challenges are developing an infrastructure system that can meet the demand of these projected figures and encourage local people to work in this industry.