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Travel industry slips into despair

New Delhi, Nov. 30: The terror attacks in Mumbai are expected to severely hit the inflow of foreign tourists in the next three to six months, an indication of which is the move by foreign airlines to cut flights from Mumbai.

Around 20 per cent of foreigners use the Mumbai airport.

Travel advisories have been issued by countries such as the UK, Australia, New Zealand, Thailand and Canada. Travel agents may avoid the risk of bringing foreigners in the next two months.

“This time terrorists specifically attacked foreign travellers. This will definitely send wrong signals. Travel agents will have a tough time getting tourists here,” said Tarun Thukral, chief operating officer of Le Meridien, New Delhi.

Already, the tourism trade is reeling under the impact of the global financial crisis, which curtailed travel spending.

An official in the ministry of tourism said, “We have been trying to revive constant interest in tourists through our Incredible India campaign, but such terror strikes are bound to impact our effort.”

October to March is the peak season for foreign tourists arrivals.

The country received around five million foreign tourists last year. The tourism industry aims to double the figure by 2010-2011. Goa, a favourite destination of foreigners, has already seen a 20 per cent drop in arrivals, beginning October.

Aviation woes

International air traffic growth, expected to increase at the rate of 10 per cent till March 2009, may now moderate to single digit.

Many international carriers have rescheduled or cancelled their flights from Mumbai.

Italy’s Alitalia has cancelled all flights to Mumbai, until further notice. German airline Lufthansa has scrapped two flights to Frankfurt and Munich.

US airline Delta has cancelled its flight to Seattle via Amsterdam.

Analysts said such cancellations could have an impact on domestic airlines, too, as they carried international passengers to smaller cities.

Kingfisher Airlines has merged some of its flights flying out of Mumbai. Jet Airways and Air India have rescheduled a few of their flights.

Domestic carriers have reported 20-30 per cent less boarding from various destinations for flights to Mumbai.

All airports of the western region have been put on high alert. Airlines and airport managements have decided to beef up security measures.

International airlines have witnessed an annual growth rate of 12-17 per cent in their business from India in the past seven years.

Despite their poor financial health, airlines will have to invest more in the safety of passengers.

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