Outbound Tourism Market in India (2025 - 2030)

India’s outbound tourism market is set for remarkable expansion between 2025 and 2030, driven by rising disposable incomes, evolving travel aspirations, and easier visa processes. A growing middle class, digital travel platforms, and increased international connectivity are transforming how Indian travellers explore global destinations.

Market insights:

In 2023, the outbound tourism market in India was valued at INR 2.14 trillion and is expected to reach INR 5.01 trillion by 2030, expanding at a compound annual growth rate (CAGR) of 14.27% during the 2024 - 2030 period.The outbound tourism market in India is projected to witness a significant CAGR from 2025 to 2030, with the number of international travellers expected to exceed 50 million by the end of the decade. Factors such as a young, aspirational population, increased accessibility to global destinations, and higher disposable incomes are fuelling this growth. Indian travellers are increasingly exploring offbeat and luxury destinations beyond traditional favourites like Dubai, Thailand, and Singapore.

The market is also benefiting from enhanced airline connectivity, competitive international fares, and tailored holiday packages offered by domestic and international travel operators. Family vacations, honeymoon tourism, educational travel, and medical tourism are among the top categories. Digital platforms, travel influencers, and virtual planning tools are playing a major role in reshaping consumer travel behaviour.

Market influencers:

Several key factors are influencing the Indian outbound tourism market. Firstly, rising income levels and urbanization have increased discretionary spending on international leisure and business travel. The emergence of a large millennial and Gen Z population with strong digital fluency and a passion for global experiences is another major driver. Social media has become a significant influence, with platforms like Instagram and YouTube shaping destination choices through travel content and influencer marketing.

In addition, government policy support, such as simplified passport and visa application processes, bilateral tourism agreements, and liberalized foreign exchange rules, are enabling smoother outbound travel. Travel financing options like EMI-based holiday packages and travel loans are also encouraging middle-class participation. Moreover, education and employment migration are leading to increased visits by friends and family abroad, contributing to repeat and seasonal travel demand.

Market trends:

Key trends driving the outbound tourism market include the rise of experiential travel, with Indian tourists seeking adventure, wellness, culinary, and cultural experiences. Sustainable and responsible tourism is gaining momentum, especially among younger travellers who prefer eco-conscious choices and community-based stays. Customizable, niche travel experiences like solo travel, cruise holidays, and pilgrimage tours are also on the rise.

The increasing penetration of online travel aggregators (OTAs) and AI-driven itinerary planning tools is streamlining bookings, while multi-lingual support and vernacular content are expanding reach in non-metro cities. There’s significant growth potential in tier-II and tier-III cities, where first-time international travellers are emerging rapidly. As Indian travellers explore newer destinations in Europe, South America, and East Asia, opportunities are ripe for international tourism boards, airlines, and travel firms to localize offerings, provide language support, and build culturally aligned experiences tailored for the Indian outbound segment.