THIRUVANANTHAPURAM: Kerala is no longer a hot destination for domestic tourists due to spiralling airfares and heavy taxes.

While the return fare from Delhi to Thiruvananthapuram or Kochi is about Rs45,000, many airlines are offering complete packages from Delhi to Southeast Asian destinations at less than half that amount, say tour operators.

Another reason for the decline in domestic tourists is that Kerala today levies the highest luxury tax in India.

Jose Dominic, chief of CGH Earth, one of the state’s premium hotel groups, said: “Today it is cheaper to fly from Delhi to Europe than to Kerala. Moreover many airlines are offering fantastic prices for Indian tourists to Southeast Asian destinations.

“One can spend five days in Malaysia for just Rs17,000 which also includes return airfare,” Dominic said.

“The return fare from Delhi to Thiruvananthapuram or Kochi is much higher than flying to any European destination.”

M R Narayanan, who owns a floating resort near Kovalam, said Kerala had seen a slump in domestic tourist arrivals from the middle of this year, something that had become “a big concern” for the local tourism industry.

Dominic said the stiff luxury tax was also putting off many domestic travellers.

“The national average is less than 10% whereas in Kerala it is 15%. States like Andhra Pradesh and Tamil Nadu charge just 4% percent.

“So, overall, a tourist has to spend more if he visits Kerala and over the years it has become one of the more expensive destinations in South Asia,” said Dominic.

Narayanan, however, noted that many resorts were completely booked during December on account of a surge in foreign tourist arrivals.

Dominic said: “The need of the hour is to position Kerala on the world’s tourism map. Kerala’s tourism market has moved from its infancy to the second phase. Now it is clear that we cannot offer everybody everything. And we have to position ourselves better.”

Foreign tourists begin arriving in Kerala in mid-November, with their numbers peaking in early January. The season ends in mid-March.

Tomy Pullikattil, a houseboat owner in Alappuzha, said: “Normally domestic tourists arrive here from April to November. The past season has not been particularly crowded.

“We are aware that domestic tourists have many other places on their list. And that is why Kerala must do something to attract these domestic tourists.”

Last season was the best ever for Kerala, when its tourism industry closed with a record turnover of Rs59.38bn ($1.2bn), up from Rs49.31bn ($1.05bn) in the previous season.

Likewise, there was a 39% increase in foreign exchange earnings, which hit Rs9.83bn.

The number of foreigners who visited Kerala last season - 294,000 - marked a jump of 29.6%. There was also a record 5.9mn domestic tourists visiting Kerala. – Indo-Asian News Service