(Tribune)
Refuting claims of the state government that the tourist inflow has increased, the Tourism Industry Stakeholders’ Association on Sunday said the occupancy had dropped by 60 per cent to 70 per cent.Seeking the state government’s intervention to save hotels, MK Seth, president of the association, said due to the heavy burden of operating costs, mushrooming growth of unregistered illegal homes and flats in and around Shimla and heavy tax charged by the Shimla Municipal Corporation (SMC), hoteliers in Shimla were losing interests in running the business which was an ominous sign for the tourism industry.He said: “Around 21 hotels in Shimla have closed down during the last five years as per records gathered from the Tourism Department, while 50 to 60 per cent of the hoteliers have leased their hotels due to non-viability of business.”
