The Federation of Indian Chambers of Commerce & Industry (FICCI) and EY India have released a joint report titled “Reimagining Inbound Tourism in India: Towards Incredible India 4.0,” calling for urgent structural changes to India's visa and tax policies.
The study, released during the Great Indian Travel Bazaar (GITB) 2026, highlights that India currently captures only 1.5% of global tourist arrivals despite its cultural significance. To address this, the report proposes a massive expansion of the eVisa system to 240 nationalities and a reduction in GST for luxury accommodation from 18% to 9%.
The push for reform comes as international travelers report increasingly frustrating experiences with the current official eVisa portal.
Despite India ending paper arrival cards to streamline entry, the eVisa application process remains a significant barrier for many inbound visitors.
Travelers label Indian eVisa application a "terrible experience"
While the Indian government has prioritized digitization, user feedback suggests the system is struggling under the weight of digital incompetence and is outdated. On travel forums and social media, international visitors in 2026 have described the official application process as a "terrible experience."
Common complaints include frequent website crashes, payment gateways that refuse international cards, and a user interface that many find counterintuitive.
One traveler shared:
"The website won't even allow you to go to the second page... I’m inclined to not ever travel to India solely for this reason."
These technical hurdles often force travelers to spend hours on a single application, leading to a negative first impression of the country before they even depart.
Proposed solutions: The 'India One' permit and MICE Corridors
The EY-FICCI report suggests that India must move away from a fragmented model toward a unified "experience-driven" ecosystem.
According to the Economic Times, the report identifies "ease-of-travel barriers" as a primary constraint on India’s global competitiveness.
Key recommendations from the report include:
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Expansion of the eVisa: Increasing eligibility from the current list to 240 countries.
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India One Permit: A "Schengen-style" multi-state permit allowing tourists to travel seamlessly across state borders.
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MICE Fast-Track: A dedicated corridor for Meetings, Incentives, Conferences, and Exhibitions (MICE) with 48-hour visa processing.
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GST Rationalization: Lowering the tax on hotel rooms priced above ₹7,500 from 18% to 9% to compete with markets like Thailand and Vietnam.
Official government response
The Ministry of Tourism has acknowledged the sector's growth potential, noting that international arrivals have shown a strong recovery. In official statements, the Ministry has emphasized that "Tourist arrivals depend on visa facilitation, quality infrastructure, and seamless connectivity."
While the government continues to promote the popularity of the eVisa, industry stakeholders argue that without the technical and tax reforms suggested by EY and FICCI, India may struggle to reach its target of 100 million tourists by 2047.