Kerala boasts highest number of star hotels in country

Though Kerala is ranked well below many north Indian States in terms of foreign tourist arrivals (FTAs) and foreign tourist visits, the tiny south Indian State continues to rank top in the country in terms of the highest number of classified five star, four star and three star hotels.

According to the number of five, four and three star hotels classified since 2019 by the Ministry of Tourism, Kerala has 94 five star, 420 four star and 601 three star hotels, well ahead of Maharashtra, Delhi and other States with metro cities. Maharashtra, which comes second, has 86 five star, 36 four star and 69 three star hotels.

The hotels are given a rating, from one to three; four and five star with or without alcohol; and five star deluxe through the NIDHI+ portal of the Ministry of Tourism.

95.2 lakh foreign tourists

According to the ministry, 95.2 lakh foreign tourists reached the country in 2023. Maharashtra had the highest number of foreign tourist visits at 33.87 lakh, followed by Gujarat (28.06 lakh), West Bengal (27.06 lakh), and Delhi (18.28 lakh) whereas Kerala had witnessed only 6.49 lakh foreign tourist visits during the year.

The reasons

According to E.M. Najeeb, senior vice-president of the Indian Association of Tour Operators (IATO), though Kerala is a popular tourist destination in the country, there is no direct connection between tourist arrivals and star hotels in the State. At first, the excise policy of the State during the United Democratic Front (UDF) restricted bar licence to only five-star hotels. Subsequently, a lot of three-star and four-star hotels upgraded themselves to five-star status to get the bar licence. The Left Democratic Front (LDF) government that succeeded the UDF allowed the opening of bars in three-star and four-star hotels. This policy decision had played a pivotal role in the increase in the number of classified star hotels in Kerala, said Mr. Najeeb. 

The high NRI remittance received in Kerala had resulted in many expat entrepreneurs investing in the hospitality sector, said James Kodianthara, Chief Executive Office of Concord Exotic Voyages, one of the leading inbound tour operators in the country.

Around 30 years ago, there were only a few five star hotels in Kerala. The aggressive promotion of Kerala as a popular tourist destination across the country and on international platforms also helped attract investments to the hospitality industry in the State, said Shilendran Mohan, vice-president (Sales), CGH Earth Hotels.