DELHI: The Government is all set to give a fillip to MICE tourism in India by building a state of the art exhibition cum convention center (ECC) in Delhi at Dwarka, sector 25. The Union Cabinet has already approved the transfer of land for its construction to the Department of Industrial Policy and Promotion free from all encumbrances. The transfer will occur at a nominal sum of Re 1 within six weeks of the decision by the Cabinet, said the Cabinet in its statement.
The convention centre will have facilities like exhibition halls, convention centres, banquet halls, auditoria, arena, financial centre, hotels, Food & Beverage (F&B) outlets & retail services.
The Cabinet said that with this Centre they hope to increase India’s share of Asia events to around 15% by 2021. It estimated that the facility will create demand for over 100 international and local exhibition events annually.
Eventually, the Government expects more than one million international delegates based (non-leisure) Meetings, Incentives, Conferences, Exhibitions (MICE) tourists per annum generating over Rs. 2 lakh crore ($40 bn) after the commission of the second phase of the project. The Centre is also estimated to generate over five lakh direct and indirect employment opportunities.
As per Government estimates, the global MICE market holds 400,000 conferences and exhibitions worldwide for revenues of $280 billion. The Asian MICE market accounts for US$ 60 billion with a growth of 38% since 2006.
Currently, India lacks an integrated world class facility to host global conventions the size of a Basel World or an ITB Berlin in terms of space, project facilities, transportation linkages, etc. The exhibition ground at Pragati Maidan have been the only organized large space for years. They too are facing severe capacity and traffic constraints leading to great inconvenience to citizens and visitors to the centre in particular. Further, the huge constant demand for exhibitions and related activities puts immense pressure on the existing facilities resulting in lesser time available for maintenance to hold large sized events and maintain international standards.
The project structuring, initial expenses of non-PPP trunk infrastructure costs will be borne by the Government. This may be Central Government’s contribution by way of equity in the project. The Cabinet also approved the constitution of a Committee comprising Secretary, Department of Industrial Policy and Promotion, Secretary, Ministry of Urban Development, Secretary, Department of Expenditure, Secretary, Department of Economic Affairs and CEO, NITI Aayog to steer the project including project structuring and development options in a transparent, competitive manner.
Permission was also granted to the DIPP to lease/sub-lease the land and grant concession to the private entities for development and operation of various facilities. Permission for mixed land use in the project site will be accorded by DDA/ MoUD expeditiously.