The Hotel Industry comprises a major part of the Tourism industry. Historically viewed as an Industry providing a luxury service valuable to the economy only as a foreign exchange earner, the Industry today contributes directly to employment (directly employing around 0.15 million people), and indirectly facilitates tourism and commerce.

Prior to the 1980s, the Indian Hotel Industry was a slow-growing industry, consisting primarily of relatively static, single-hotel companies. However, the Asiad, held in New Delhi in 1982, and the subsequent partial liberalization of the Indian economy generated Tourism interest in India, with significant benefits accruing to the Hotel and Tourism sector, in terms of improved demand patterns. Growth in demand for hotels was particularly high during the early 1990s following the initiatives taken to liberalize the Indian economy in FY1991, as per the recommendations of the International Monetary Fund (IMF). The euphoria of the early 1990s prompted major chains, new entrants and international chains to chalk out ambitious capacity additions, especially in the metropolitan cities. Most of these efforts were directed towards the business travellers and foreign clientele.

People travel for business or leisure. Wherever they travel they need food, shelter and service with a smile. India is second to China in the manufacturing and the agriculture sector but is ahead of it in the Services sector. For this advantage to be maintained it is imperative that India delivers the best in terms of services rendered. Thankfully today the Hospitality sector has delivered across the country making it convenient for the domestic and International traveller alike to traverse the length and breadth of the sub continent.

With myriad reasons to visit, India today is also the destination for Medical Tourism. The growth of the Indian economy has generated considerable interest in India which has led to the spurt in travel to India. The Tourism & Hospitality sector has a cumulative requirement of four million personnel over the next ten years. Globally this Industry employs fourteen percent of the workforce. Considered by many to be the largest generator of revenue ahead of even the petroleum Industry, the Hospitality & Tourism Industry presents opportunities never seen before. Skill Development in the Hospitality & Tourism would provide the impetus and drive to fully exploit the demand that exists in this sector.