The number of Indian tourists visiting America in August was 15% less than last year. This figure has been revealed in the initial data of the National Travel and Tourism Office of America (NTTO). This is the third consecutive month when a decline has been recorded. There was 8% decrease in June and 6% in July. The growing tension between the US and India is being told behind this, including tariff disputes, oil purchases from Russia and a ruckus on the ceasefire between India and Pakistan. This decline has caused a loss of about $ 340 million in this summer.
Last year, the number increased a lot
This time, Indian tourists’ visit to America remained about 10% less during the summer season. Whereas in the summer of 2024, there was a tremendous bounce. There was an increase of 35% in June, 26% in July and 9% in August. Experts say that decisions like US President Donald Trump put 25% tariff on Indian goods are also a major reason for this decline.
Why are Indian tourists important?
Indian tourists mean a lot to America because they are considered to be quite spending. In 2024, every Indian tourist spent an average $ 5,200, which is about three times the world average of $ 1,802. Among the tourists coming to America, India ranks fourth after the Canada, Mexico and United Kingdom.
Efforts and challenges
Earlier this year, the US Tourism Department launched a big campaign to attract Indian passengers. The brand USA performed the largest promotion event in Hyderabad in January, which included 48 American companies and 67 exhibits. In the survey conducted at that time, 86% of Indian passengers had said that they want to go to America in the next two years. But the recent geopolitical stress has reduced the enthusiasm of the people.
Despite the talks, there has been no concrete agreement between the two countries till now. However, the Chief Economist of India believes that America can reduce the tariff on Indian goods in the coming times.
Visa also a big obstruction
India is one of the fastest growing outbound tourism markets in the world. It is estimated that by 2030 Indian passengers will spend $ 144 billion every year on foreign visits. But the challenge for the US is that it takes an average of four months to get visas to Indian tourists, while in the United Kingdom it is about three weeks and only four to six weeks in Canada.