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NEWS | Indian MICE market expected to grow by 10-15 per cent in 2012

Undeterred by the global slowdown, Indian corporates are spending on corporate travel, increasing the outbound market for MICE. The Indian outbound MICE market is estimated to be around USD 550 to 600 million and is expected to increase by 10 to 15 per cent in 2012. Forecasting a strong growth, Heena Akhtar, COO, Travelport said, "The slowdown meant that regular companies cut down on their corporate travel last year. But this year,
we are expecting a revival in incentive travel and meetings by corporates.” About 1.5-1.8 million passengers travelled outbound for meetings and conventions. According to a study on India's MICE market by Synovate Business Consulting, the most popular destinations in Europe in the last two years included Germany with 73 per cent opting for the destination followed by UK (52 per cent), France (51 per cent) and Switzerland (45 per cent). Speaking on the interest in Germany, Romit Theophilus, Director-Marketing and Sales, German National Tourism Office (GNTO) India said, "Indians have a high spending capacity and we are expecting a 10-15 per cent growth in business tourist arrivals this year.'' GNTO has seen a sustained growth of 20 per cent year-on-year from Indian travellers with the number of visitor over-nights growing by 26.2 per cent in 2010 as compared to January-December 2009, according to a report in the Times of India by Himanshi Dhawan. Lower hotel rates and carrier options in Europe supported by infrastructure, the vast number of businesses placed in European countries and services have popularised Germany as a business travel destination according to the report. The study also pointed out that top management accounted for 70 per cent of the meetings and 50 per cent of the conferences in MICE trips. Incentive trips were mostly conducted for executives and middle management accounting for 30 per cent of the MICE trips. Among the factors considered important for corporate travel are nature tourism, food and dining and cultural tourism, the report said. Incidentally, countries like Austria, Indonesia, Turkey and Bhutan have offered discounted offers to woo large size groups while new entrants like Czech Republic, Spain and South Africa are pitching for an India-centric policy to tap the Indian MICE segment.

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