Domestic tourism cushions India as West Asia crisis, high airfares hit international travel
India's domestic tourism sector is growing as international travel becomes more expensive due to geopolitical tensions and rising airfares. Travelers are increasingly opting for local destinations or nearby Asian countries to avoid the costs and uncertainties associated with long-haul international trips.
Why it matters
This shift highlights how global economic and political instability directly impacts the travel industry and consumer behavior in emerging markets.
India’s domestic tourism market is emerging as a key cushion for the travel and tourism sector as the West Asia crisis, currency fluctuations, visa challenges and a sharp rise in Aviation Turbine Fuel (ATF) push up international airfares and reshape traveller preferences, industry officials said.
“Geopolitical uncertainties, currency fluctuations and high international airfares are reshaping travel choices,” Burjis Mehta, President, Bombay-Skal International, a part of the global network of travel and tourism professionals, said on the sidelines of TTF (Travel & Tourism Fair), Mumbai 2026, organised by Fairfest Media.
With travellers becoming increasingly cautious about West Asia, he said destinations across the Far East, including Vietnam, Laos, Cambodia, Thailand, Singapore, South Korea and Japan, are witnessing increased interest.
Within India, high airfares are prompting price-sensitive travellers to choose rail and road travel, shorter holidays and destinations closer to home, further supporting domestic tourism, he added.
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