India’s cruise industry faces regulatory hurdles and competitive challenges that are causing concern among operators. The ban on casinos along the Indian coast, except in Goa, limits the entertainment options that attract travelers. Bailom of Cordelia Cruises notes that casinos can only open once ships leave Indian waters, reducing their appeal. Sanjay Basu, chairman of Adventure Resorts & Cruises, highlights the need for simplified bar licensing, onboard casinos, streamlined spa operation permissions, and better water-to-land connectivity infrastructure.
Domestic cruise operators like Raj Singh of Antara Cruises worry about competitive disadvantages against larger international players. Singh stresses the need for a level playing field, noting that river cruises charge higher rates due to fewer cabins, and suggests government subsidies to support viability. Nalini Gupta of Lotus Destinations advocates extending shipping industry concessions to cruise companies. Meanwhile, Ratna Chadha of Tirun Travel Marketing believes new tax provisions may attract foreign investment but warns, like Subhash Goyal of STIC Travel, that Indian companies might seek favorable tax regimes abroad if disadvantaged.
The government has introduced incentives, such as port charge discounts and expanded e-visa availability. However, former Union shipping secretary Gopal Krishna acknowledges that while top ports like Goa, Mangalore, and Kochi have seen improvements, more work is needed to better accommodate cruise passengers.
Despite these challenges, the government is optimistic about the industry’s growth. The shipping ministry projects cruise passengers will surge from 472,000 in 2022-23 to 5 million by 2047, with the number of cruise ships increasing significantly. Union Minister Sarbananda Sonowal mentioned exploring ferry circuits connecting India with Sri Lanka, Thailand, and Myanmar. To realize this potential, the government must improve port infrastructure and ensure fair tax policies for both international and domestic operators, enabling the cruise industry to flourish.
