Rajasthan is the one of the most attractive destinations in India for both domestic and International tourists. About 6 million people visit the State every year of which 9% are foreign tourists. On an average a domestic tourist spends Rs. 400 per day and an Iternational tourist spends Rs. 800 a day (M/s. A. F. Ferguson & Company). Rajasthan being poorly endowed in terms of water availability depend on the non-farm sector to develop its economy and improve the quality of life of its people. Hence the development of tourism has great relevance.

Rajasthan is known for its diversity in terms of natural resources, history and the people. The many forts and palaces, heritage hotels and attraction of travelling on the Palace On Wheels has been a unique selling proportion for tourists coming to the State. Colorful fairs and festivals are also greatly appreciated by visitors. The different ethnic culture of the people has proved to be a major attraction for visitors. The colorful attire of the people is a photographers delight. Today, Rajasthan is the image of India in the eyes of the tourism world. The unique desert environment in Western Rajasthan is a major attraction also. Rajasthan is an exotic destination visited by people interested in seeing something different, visiting unique place and participating in a joyous old culture.

The effort of the Government and Tourism Industry have been to improve the quality of the product and service available to the visiting tourists. This is being attempted by improving the dissemination of information; providing easier access through train, air and road transport; arranging for suitable accommodation; conservation of the Heritage forts, palaces and old monuments; improving the quality of service through Human Resource Development; developing ancillary leisure, entertainment and amusement facilities. With liberalization of the economy the role of the private sector in tourism is expected to grow manifold. The effort is to provide a conductive environment to increase private sector investment in the various joint sector. Some facilities are best developed wholly in the private sector, The effort of the Government of Rajasthan has been to create an investor and market friendly environment. This effort is most manifest in service sector activities like tourism.

As a part of the government effort to make a major thrust in improving the quality of the product and increasing the flow of tourists to the state, a series of measures have been attempted which should logically culminate in evolution of an investment plan for tourism which identifies areas in which investment is expected to come in the Public Sector, Joint Sector and Private Sector.