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Department of Tourism, Government of Puducherry, India

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சுற்றுலாத துறை புதுச்சேரி அரசு

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Incentive Schemes


Puducherry, one of the most popular tourist destinations in India, offers a slew of incentives for investors in tourism infrastructure. Investment opportunities exist to develop star & heritage hotels, amusement parks, multiplexes, food courts, beach resorts, eco-tourism, health spas, art & craft village and other tourism relates products.

Incentive include investment subsidies and exemption from luxury tax. Special incentives are also offered for heritage hotels. All investments will enjoy unstinting support from the Government.

Recognisation of Tourism as Industry in the UT of Puducherry - G.O

Financial Incentives for Tourism Investment in the Union Territory of Puducherry

(i) Guidelines and Application for Incentive to Hotels and Resorts

(ii) Guidelines and Application for Incentive to Service Apartments


Puducherry is multidimensional to say the least. A Place of history and preserved colonial charm. Sandy beaches, clean promenades, temples, monuments, heritage villas, quaint old-world town planning, spiritual mystique and a lingering French ambience define its unique character. It is definitely a place to unwind or just be - a great weekend getaway from Chennai or Bangalore. Further, it is in close proximity to historically renowned south Indian towns and cities known variously for their art, religious and cultural heritage as well as great natural beauty.

But it is beginning to make news as an investment destination holding forth much promise now and in the years to come in many key sectors. We now invite you to prosper in Puducherry as well !

A Strong case for
Puducherry is well established on the tourist circuit. It has many things going for it:-

  1. Eco-friendly and pollution free
  2. Proactive administration
  3. Attractive Government incentives
  4. Reliable connectivity – state of the art communications networks
  5. French past and heritage – a very good marketing platform
  6. Aurobindo ashram and Auroville-unique spiritual centres that draw thousands of visitors every year from round the world
  7. Delightful beaches,backwaters and engaging landscapes unique to the area.
  8. Stable socio-political environment
  9. High socio-economic indicators
  10. Skilled manpower available easily
  11. Reliable power and good roads
  12. Visible and growing demand for novel entertainment options and avainues
  13. Projected requirement of 9,840 hotel rooms by the year 2011
  14. Growing yearly tourist inflows
  15. Domestic – 11,00,000: Overseas-75,000

Investment Opportunities

The following are the key areas earmarked for promotion by the Government of Puducherry.

All these have the potential to offer good returns on your investment.


  1. Heritage and Star Hotels
  2. Food courts and restaurants
  3. Amusement parks
  4. Arts & Crafts village
  5. Boutiques
  6. Eco-tourism
  7. Beach resorts
  8. Yacht & Boat Marinas
  9. Health centres and spas
  10. Convention centres
  11. Entertainment multiplex
  12. Supporting you


The Puducherry Industrial Promotion Development and Investment corporation Ltd. (PIPDIC) is also promoting investments in the field of tourism.