Pre-Budget 2026: Travel & Hospitality Seek Policy Push to Sustain Demand

Pre-Budget 2026: Travel & Hospitality Seek Policy Push to Sustain Demand

By Hariharan U

Published on January 30, 2026

As the Union Budget 2026 approaches, India’s travel and hospitality sector is looking to policy support to consolidate the strong demand witnessed across domestic and international travel segments. While occupancies and travel intent remain healthy, industry leaders believe structural reforms are essential to ensure long-term, quality-led growth and global competitiveness.

The hospitality sector continues to benefit from experiential travel, destination weddings and wellness-led stays. However, industry stakeholders point out that high capital costs and limited access to long-term financing continue to put pressure on returns. Granting infrastructure status, offering tax incentives on capital expenditure and improving access to institutional credit are widely seen as critical steps to enable sustainable expansion across destinations.

Digital travel platforms and alternative accommodation providers are also playing an increasingly important role in shaping India’s tourism ecosystem. With demand rising for hotels, homestays and BnBs across Tier-II and Tier-III cities, the industry has reiterated the need for GST rationalisation, especially in the mid-scale segment, to keep travel affordable and ensure price consistency. Support for integrated digital booking platforms and skill development across tourism services is expected to improve transparency and enhance the overall traveller experience.

Outbound travel remains a key focus area ahead of the Budget, particularly as luxury and experiential travel from India gains momentum. Louis D’Souza, Managing Partner, Tamarind Global, says, “As luxury and experiential travel from India continues to gain momentum, the Union Budget can play a pivotal role in shaping both outbound and inbound travel sentiment. On the outbound side, high-spending Indian travellers are increasingly investing in curated, design-led experiences, but policies around TCS and forex costs continue to influence booking timelines and destination choices. Easing these financial frictions would boost travel confidence and encourage travellers to upgrade experiences rather than compromise on quality.”

He further adds, “Equally important is the opportunity to strengthen India's inbound tourism narrative. With global travellers seeking authentic, immersive journeys, India's rich cultural heritage, wellness offerings, luxury hospitality, and emerging experiential circuits are uniquely positioned to attract high-value inbound travellers. Strategic budgetary support for destination marketing, infrastructure upgrades, simplified visa processes, and enhanced connectivity can significantly elevate India's appeal as a premium travel destination.”

Long-haul leisure and island destinations are particularly sensitive to outbound travel costs. Leena Jhugroo, Managing Director, Travel Lounge Leisure & Tours Ltd., notes, “As India's outbound travel market matures, the Union Budget presents an opportunity to unlock sustained long-haul leisure growth. A key expectation from the industry is rationalisation of TCS on overseas tour packages and forex spends, which continues to impact travel affordability and decision-making for Indian consumers.”

She adds, “For island destinations like Mauritius, which are positioned around romance, luxury, wellness, and MICE, easing outbound travel costs would significantly boost bookings. Improved forex policies and incentives for international travel-linked services would further encourage longer stays and higher spends.”

Neighbouring destinations are also closely watching India’s policy direction. Highlighting Sri Lanka’s strong reliance on Indian travellers, Charith DeAlwis, CEO, Unique Lanka Travels, says, “India continues to be one of the most important and consistent source markets for Sri Lanka, driven by strong cultural ties, short travel time, and a growing appetite for nearby international destinations.”

He further states, “As the travel ecosystem evolves, policies that enhance ease of travel, cost transparency, and regional connectivity can play a meaningful role in encouraging more frequent visits and longer stays.”

Within the premium segment, luxury travel operators stress the importance of addressing cost inefficiencies to sustain aspirational demand. Mir Musa Baghirzade, Sales Director, Turalux, says, “The Union Budget is closely watched by the luxury travel sector, as policy decisions directly influence discretionary spending and travel intent. Indian travellers today are aspirational, well-informed, and willing to invest in unique global experiences, but cost inefficiencies, such as high TCS on outbound travel can act as friction points.”

He adds, “Additionally, continued emphasis on digital payments, ease of global banking, and improved forex accessibility would enhance the overall booking experience. Luxury travel is no longer limited to leisure alone; it now extends to wellness retreats, destination celebrations, and immersive experiential escapes.”

Across segments, industry leaders have also called for stronger focus on manpower development, improved aviation connectivity and expansion of air networks to unlock new travel corridors. As the sector enters 2026 with cautious optimism, stakeholders agree that a forward-looking Budget balancing domestic, outbound and inbound tourism priorities could play a defining role in shaping India’s travel growth story


IndiGo Backs Air Taxi Vision

IndiGo Backs Air Taxi Vision

By Hariharan U

Published on April 19, 2026

IndiGo Ventures has made a strategic equity investment of Rs 10 crore in Sarla Aviation, marking an early step toward building India’s first nationwide air taxi network.

The investment, which was part of Sarla Aviation’s previous funding round led by Accel and Nikhil Kamath, signals a deeper alignment between aircraft manufacturing and airline operations in India’s emerging urban air mobility space.

The partnership aims to address a long-standing gap in India’s mobility ecosystem, the middle-distance segment. While short-distance travel is handled by road and metro systems and long-distance routes by railways and airlines, journeys in the 30–300 km range remain inefficient and time-consuming.

Electric vertical take-off and landing (eVTOL) aircraft are being positioned as a solution to this gap. These aircraft are designed to operate quietly, without the need for runways, and at lower costs compared to helicopters, potentially transforming how people move across cities and nearby regions.

Sarla Aviation brings the hardware capability to the partnership, with a hybrid-electric eVTOL platform tailored for Indian conditions. The company has built one of India’s largest private eVTOL demonstrators and is backed by a team with experience across global players such as Lilium, Volocopter, Beta Technologies, and Joby Aviation.

On the other hand, IndiGo contributes operational scale and infrastructure. As India’s largest airline, it operates over 2,000 daily flights across more than 85 airports, offering a strong backbone for future commercial deployment, along with maintenance, distribution, and safety expertise.

The company said the investment goes beyond funding, representing a strategic move to create an aligned OEM-operator ecosystem, something that has not yet existed in India at this scale. Globally, similar models have been seen with airlines like United Airlines investing in Archer Aviation, Delta Air Lines backing Joby Aviation, and American Airlines partnering with Vertical Aerospace.

Adrian Schmidt, Co-founder and CEO of Sarla Aviation, said the partnership marks a turning point for India’s mobility future. He noted that IndiGo’s backing adds credibility and scale to the vision of making air mobility more accessible and efficient for everyday use.

Founded in 2023 by Rakesh Gaonkar and Adrian Schmidt, Sarla Aviation is headquartered in Bengaluru and is named after Sarla Thukral. The company is focused on building advanced aircraft systems for intra- and inter-city travel.

Its flagship programme includes a six-seater electric flying taxi designed to significantly reduce travel time in congested urban centres such as Bengaluru, Mumbai, Delhi, and Pune. The aircraft is being developed with a focus on safety, affordability, and ease of use, with the aim of making air mobility as seamless as app-based ride-hailing services.

As India looks to address growing congestion, rising demand density, and evolving transportation needs, this collaboration could play a key role in shaping the next phase of aviation-led mobility in the country.


Cohoma Coffee Secures Seed Funding

Cohoma Coffee Secures Seed Funding

By Hariharan U

Published on April 19, 2026

Specialty coffee brand Cohoma Coffee has raised Rs 5 crore in a seed funding round led by Inflection Point Ventures along with Swishin VC, as it looks to strengthen its manufacturing capabilities and accelerate global expansion.

The company plans to utilise the fresh capital to scale production and expand its presence in international markets. Positioned in India’s growing specialty coffee segment, Cohoma has built a fully integrated model that controls the entire coffee journey, from sourcing beans to manufacturing brewing machines.

Cohoma Coffee offers one of the widest ranges of equipment-free specialty coffee products in India. Its portfolio is designed for convenience, allowing consumers to prepare coffee in under a minute without requiring specialised tools. The brand also claims to offer the country’s only naturally flavoured brews made without added sugar or preservatives.

The company sources coffee beans from regions across India, Africa, and South America, enabling a diverse range of blends, including rare naturally infused varieties. Alongside roasting, it also manufactures its own super-automatic machines catering to hospitality and corporate clients.

Commenting on the investment, Vinay Bansal, Founder and CEO at Inflection Point Ventures, said the brand has created a distinct position in India’s specialty coffee market by owning the entire value chain. He highlighted the company’s focus on convenience-led innovation and its growing repeat customer base as key strengths supporting its expansion plans.

Cohoma has also introduced grind-on-demand café kiosks in premium retail locations, offering customers over 15 coffee options with guided assistance to find their preferred brew. Its omnichannel strategy spans retail stores, e-commerce platforms, and partnerships with hotels, corporate offices, cafés, and multiplexes.

The brand provides turnkey coffee solutions for the hospitality sector, ensuring consistent quality across formats. According to the company, this focus on experience and reliability has helped it achieve a repeat customer rate of over 90 percent.

Kanika Birla, Founder of Cohoma Coffee, said the company’s aim has been to make specialty coffee more accessible without the usual complexity. She added that the new funding will help strengthen manufacturing capabilities while expanding globally, as the brand continues to focus on delivering a high-quality coffee experience across different consumption occasions.


DYN at Hilton Bangalore Embassy GolfLinks Celebrates India’s Harvest New Year with a Curated Feast

DYN at Hilton Bangalore Embassy GolfLinks Celebrates India’s Harvest New Year with a Curated Feast

By Hariharan U

Published on April 11, 2026

DYN at Hilton Bangalore Embassy GolfLinks ushers in the season of new beginnings with a thoughtfully curated Harvest Feast, celebrating India’s diverse regional New Year traditions this April.

Marking the spirit of harvest and renewal, the experience brings together the essence of Baisakhi, Pohela Boishakh, Tamil Puthandu, and Vishu, offering guests a culinary journey across the country through festive flavours and shared traditions.

The specially curated spread highlights robust Punjabi classics such as Amritsari Chole, Dal Bukhara, and Tandoori Murgh, alongside popular favourites like Paneer Tikka and Jeera Pulao, capturing the hearty and celebratory spirit of Baisakhi.

Drawing inspiration from Bengal’s New Year festivities, the menu features dishes like Basanti Pulao and Cholar Dal, known for their aromatic and festive appeal. Southern traditions are equally showcased with comforting preparations inspired by Puthandu and Vishu, including Avial, Sambar, and Vegetable Thoran, complemented by coconut-rich accompaniments that define South Indian festive dining.

The experience concludes on a sweet note with traditional desserts such as Pinni and Phirni, evoking nostalgia and the warmth of celebratory gatherings across regions.

Set in a relaxed and inviting ambience, the Harvest Feast offers a meaningful way to celebrate the season—whether with family, friends, or simply in appreciation of India’s rich culinary diversity.

Blending regional authenticity with contemporary hospitality, DYN presents a dining experience that reflects the joy of togetherness and the promise of new beginnings.

Event Details:
What: Harvest New Year Feast
Where: DYN
Date: April 13 – April 15, 2026
Time: 12:30 PM – 3:00 PM

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