Tourism entrepreneurs have submitted a comprehensive set of suggestions to the government aimed at making Nepal’s tourism sector sustainable, inclusive, and income-generating.

During a recent meeting with Deputy Prime Minister and Finance Minister Bishnu Prasad Poudel, representatives from various tourism associations presented their proposals, which call for key reforms in tax policy, financing, and infrastructure development. They urged the government to eliminate the value-added tax (VAT) on air tickets and remove the two percent luxury tax currently imposed on five-star and high-end hotels. They also emphasized the need to implement an outstanding tax system on air tickets.

The tourism stakeholders requested that concessional loans and tax exemptions be provided to small and medium-sized tourism entrepreneurs, along with policy arrangements to ensure fair service fees for travel agencies. They also proposed adopting a long-term, simplified passport policy to facilitate tourist arrivals and recommended initiating high-level diplomatic efforts to support the Kailash Mansarovar Tour.

Further suggestions included the mandatory digitalization of the Trekking Information Management System (TIMS) and the implementation of compulsory travel insurance for foreign trekkers and mountaineers. These measures, they argued, would enhance both safety and regulatory efficiency in Nepal’s growing adventure tourism segment.

The entrepreneurs highlighted the need to legally recognize national trekking routes and to systematically develop the associated infrastructure, including information access, and security measures. They advocated for promoting the Great Himalayan Trail by dividing it into ten segments and positioning Nepal as a premier global destination for adventure trekking.

In addition, they recommended expanding religious and cross-border tourism, particularly through improved infrastructure and immigration facilities at points such as the Korala checkpoint in Mustang. The development of spiritual and wellness tourism was also discussed, with suggestions to integrate monasteries, meditation centers, yoga ashrams, cultural heritage sites, and trekking trails into a cohesive tourism offering.

To support infrastructure development in remote areas, the entrepreneurs proposed that hotels, resorts, and trekking holiday camps be provided with electricity at industrial rates, noting that high power tariffs remain a major barrier to tourism investment and operations.

Those present at the meeting included Sagar Pandey, President of the Trekking Agencies Association of Nepal (TAAN); Nimanuru Sherpa, President of the Nepal Mountaineering Association (NMA); Binayak Shah, President of the Hotel Association of Nepal (HAN); Kumarmani Thapaliya, President of the Nepal Association of Tour and Travel Agents (NATTA); and Yubika Bhandari, General Secretary of NATTA, among others. -- RSS