Travel Market Insights
Travel Trends in India: Future of Indian Tourism | EY
Growth and future prospects of Indian tourism
The direct contribution of tourism to India’s GDP in 2023 was a staggering US$231 billion, with India ranking second in Asia-Pacific for tourism GDP contribution. India’s position on the World Economic Forum’s Travel and Tourism Development Index 2024 has risen to 39th from 54th in 2021. By 2027, India is expected to become the fifth largest outbound market, up from tenth in 2019.
The growth outlook is promising for Indian tourism, with the industry projected to grow at 12% to 15% annually over the next five years. This growth is underpinned by an expanding middle-income population, GDP growth, a robust stock market and political stability. The National Digital Tourism Mission (NDTM) is set to further revolutionize the industry, particularly in niche sectors.
Tourism boards play a critical role in sustaining this growth. Foreign boards should tailor experiences to Indian travelers, while state boards should focus on holistic packages and improved tourism infrastructure in India. Collaborations with travel agents and fair local transport practices are also key to the industry’s continued success.
Looking ahead, the Indian traveler’s appetite for new experiences is expanding into sports, entertainment, cruises, wellness and adventure tourism and redefining ways as to how Indian tourists choose their travel destinations. Travel is no longer a luxury but a means to well-being and unique experiences. The sector is uniquely Indian in its preference for deals and discounts, widening the gap between local operators and online aggregators. In conclusion, the Indian travel sector has a positive outlook in the coming months and will continue to see many unique trends and preferences that cater to both domestic tourism and international travel from India.
Travel Market Insights
U.S. Visa Sticker Shock: New $250 ‘Integrity Fee’
Many travelers applying for U.S. tourist visas should be prepared to pay at least an additional $250 for a new “Integrity Fee.”
It’s part of the recent budget law and hasn’t been implemented yet, but the Department of Homeland Security is authorized to start charging this fiscal year. Starting in Fiscal Year 2026, which starts October 1, the Visa Integrity Fee will be adjusted annually for inflation.
It applies to travelers applying for non-immigrant visas, but people from the more than 40 Visa Waiver Program countries are not subject to the Visa Integrity Fee.
Travelers are eligible for reimbursement sometime after the visa expires as long as they don’t overstay the visa expiration date by more than five days or engage in unauthorized work.
“There is no timeline for implementation of the fee or direction as to how the fee will be collected and refunded,” according to the U.S. Travel Association.
One issue: It may discourage travelers from visiting the U.S. because they would have to shell out $250 and wonder if they would ever get the reimbursement.
“This fee, which will be at least $250 and comes on top of existing visa fees, adds an unnecessary financial barrier for international visitors,” said Erik Hansen, US Travel’s senior vice president, government relation affairs. “Among the top deterrents to visiting the U.S. are cost and visa wait times. And the new visa integrity fee increases the upfront costs of visiting the U.S. 144%, while doing nothing to lower interview wait times. Even if it is technically reimbursable, the added complexity and cost will discourage visitors.”
$24 I-94 Fee
That’s not all of the costly news for some international arrivals in the new law: The application fee for the I-94 arrival and departure record will rise to $24 from $6.
This fee will likely apply to travelers entering the U.S. by land, and to travelers from Visa Waiver Program countries.
This fee will also increase each year with inflation. Those exempt from filling out the form include American citizens, resident aliens, most Canadians, and aliens with immigration visas.
$40 ESTA Fee
The Electronic System for Travel Authorization (ESTA) fee is rising to $40 from the current $21. This will be paid by travelers who enter the U.S. from Visa Waiver Program countries at least through 2034.
These are the Visa Waiver Program countries, according to the U.S. Department of State:
Visa Wait Times and Cost
A family of four from Brazil, which is not a visa waiver program country, would pay $1,876 in visa fees under the new pay structure to travel to the U.S., an increase of more than $1,100, according to the trade association.
“At a time when the U.S. should be focused on attracting more international visitors, especially ahead of global events like the World Cup and Summer Olympics, burdening them with higher fees and reducing funding for Brand USA is counterproductive,” Hansen said. “We need smarter policies that enhance our global competitiveness, not ones that make the U.S. a less welcoming destination.”
Revenue Generators
Backers of the fees, however, see them as revenue generators.
For example, 20% of the I-94 fees are earmarked for the Land Border Inspection Fee account, 20% go to Customs & Border Protection, and 60% ends up in the Treasury Department general fund.
Regarding the ESTA fee, $10 goes to the Department of Homeland Security for cost recovery, $13 is funneled to the Treasury Department for Deficit Reduction, and $17 of the fee goes to the Travel Promotion Fund, which funds Brand USA.
The travel industry’s top event returns this fall.
September 16-18, 2025 – NEW YORK CITY
Travel Market Insights
Grand Canyon Fire Destroys Historic Lodge
Parts of the Grand Canyon National Park have been closed for the rest of the 2025 season as wildfires burn across the region, covering parts of one of the U.S.’s most visited natural landmarks in smoke.
The North Rim’s Dragon Bravo Fire exploded in size by 500 acres on the evening of July 12 as gusty winds, dry air and above-normal heat hit the area.
The fires destroyed the historic Grand Canyon Lodge and numerous surrounding cabins, according to the National Park Service.
Firefighters say there is currently zero containment.
“We are devastated by the loss of the Grand Canyon Lodge and historic buildings on the North Rim. All guests and staff are safe,” the lodge said in a statement, adding that it will be in touch with visitors who have future bookings.
Aerial footage released by the National Parks Service on Friday showed the remains of the famous lodge.
Grand Canyon Closures for the Rest of the Season
The cause of the fire was linked to lightning strikes, according to local reports.
Early damage assessments suggest that between 50 to 80 structures have been lost, including park administrative buildings and visitor facilities. No injuries or fatalities have been reported.
Fire fighting efforts continue around the threatened area.
But with fire activity still high and infrastructure at risk, officials say the North Rim will remain closed to all visitors for the rest of the year.
The South Rim, which receives the majority of visitor traffic, remains open.
Skift’s in-depth reporting on climate issues is made possible through the financial support of Intrepid Travel. This backing allows Skift to bring you high-quality journalism on one of the most important topics facing our planet today. Intrepid is not involved in any decisions made by Skift’s editorial team.
The travel industry’s top event returns this fall.
September 16-18, 2025 – NEW YORK CITY
Travel Market Insights
Skift IDEA Awards: Meet the 2025 Finalists
Key Points
- The 2025 Skift IDEA Awards spotlight over 240 finalists across seven major criteria groups, highlighting innovation, creativity, and impact within the global travel industry.
- Finalists include a diverse range of companies, individuals, and projects recognized for leadership in areas like technology, sustainability, DEI, and guest experience.
- The awards process showcases the travel ecosystem’s forward-looking, purpose-driven approach, judged by an independent panel of industry experts.
Summary
The 2025 Skift IDEA Awards, now in their seventh year, have announced over 240 finalists from more than 420 global submissions, cementing the awards as a benchmark for excellence in travel innovation. Divided into seven key criteria groups—including Industry Innovators, Change Makers, Creative Thinkers, Problem Solvers, Travel Technology, Short-Term Rentals, and Meetings & Events—the program highlights individuals and organizations driving the industry forward. With categories ranging from sustainability and DEI to technology and guest experience, the awards reflect the sector’s bold, purpose-led evolution, and will be judged by a diverse panel of travel industry leaders.
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