Uttar Pradesh is recalibrating its tourism strategy with a clear focus on job creation, positioning the sector as a key pillar in its ambitious journey towards becoming a $1 trillion economy. Over the next two decades, the state aims to significantly expand tourism’s contribution to employment, transforming it into a major economic driver.
Currently accounting for just about 1.4 percent of total employment, tourism’s share is projected to rise to 5 percent by 2047. This growth will be driven through a combination of infrastructure expansion, enhanced visitor experiences, increased private investment, and a strong push towards innovation-led enterprises.
At the heart of this strategy is a renewed emphasis on startups. The Uttar Pradesh Tourism Department has invited proposals under the ‘New Tourism Startup Units’ category, encouraging projects that are technology-driven, experience-oriented, and sustainability-focused. These initiatives are designed not only to modernise the tourism ecosystem but also to generate meaningful opportunities for local communities.
Tourism and Culture Minister Jaiveer Singh underlined the sector’s transformation, noting that tourism in the state is evolving beyond traditional sightseeing. It is now emerging as a smart, experience-led industry with strong potential for both investment and employment. He emphasised that startup-led innovation will play a critical role in accelerating economic growth and contributing to the state’s trillion-dollar vision.
The state’s approach recognises tourism as a decentralised employment engine, capable of creating jobs across hospitality, transport, food services, handicrafts, and local enterprises. By integrating innovation into the ecosystem, Uttar Pradesh is seeking to unlock new avenues of growth across the tourism value chain.
A range of new-age tourism concepts is already being explored. These include theme-based accommodations such as Hobbit-style stays and Japanese capsule pods, regenerative tourism models focused on sustainability, high-tech caravan tourism, and unique open-air “star bed” experiences. Such offerings are expected to appeal to younger travellers and experiential tourists, while simultaneously boosting local entrepreneurship.
To streamline implementation, proposals under the startup category will be reviewed by the State-Level Special Tourism Committee (SLSTC). The committee will evaluate projects and determine applicable incentives, ensuring quicker approvals and targeted support for high-potential ventures.
The Uttar Pradesh Tourism Policy complements this initiative with a structured incentive framework. Projects with investments between ₹10 lakh and ₹10 crore are eligible for a 25 percent subsidy, capped at ₹2 crore, while larger investments are supported through slab-based incentives. Additional benefits include full exemption on stamp duty and complete waiver of land conversion and development charges. Special incentives are also in place, with women entrepreneurs and SC/ST investors eligible for an additional 5 percent subsidy.
Officials note that these measures are aimed at lowering entry barriers and encouraging participation from both established investors and first-generation entrepreneurs, particularly in emerging tourism segments.
Beyond employment, the state has set ambitious targets for tourism’s economic contribution. The sector’s share in State GVA is expected to rise from the current 1.2 percent to 5 percent by 2047. Uttar Pradesh also aims to increase its share in India’s tourism GVA to 16 percent through phased expansion.
Amrit Abhijat, Additional Chief Secretary for Tourism, Culture, and Religious Affairs, highlighted that tourism startups are central to the state’s long-term employment strategy. By fostering experience-driven and technology-enabled models, the government is expanding opportunities beyond conventional hospitality into services, mobility, digital platforms, and grassroots enterprises.
Parallelly, the state is investing heavily in infrastructure development, accommodation capacity, air connectivity, and service quality across key destinations such as Ayodhya, Kashi, and Mathura, along with emerging spiritual and cultural hubs like Naimisharanya. The objective is clear: to ensure that increasing tourist footfall translates into sustained and inclusive economic growth.
