Odisha’s tourism sector is entering a phase of renewed growth driven by a rise in both domestic and foreign visitor numbers and supported by government initiatives and strengthening private-sector participation.

According to data from the state tourism department, foreign tourist arrivals touched 53,392 in 2024, marking an 18 per cent increase over the previous year’s 45,173. Domestic tourism, already the backbone of the state’s visitor economy, also expanded by 13 per cent, rising from 9.7 million to around 11 million tourists.

“We are implementing various strategies to attract more foreign tourists to Odisha. Our initiatives to promote Odisha as a safe and appealing destination are yielding positive results. We are dedicated to enhancing the tourist experience by upgrading infrastructure, amenities and providing unique cultural experiences,” said Balwant Singh, commissioner-cum-secretary, tourism, government of Odisha.

As per industry stakeholders, places including Puri, Bhubaneswar and Konark continue to remain the most visited destinations in Odisha, forming the famous “Golden Triangle” that showcases the state’s spiritual and architectural grandeur. Beyond these, destinations like Chilika Lake, Gopalpur-on-Sea, Satkosia, Daringbadi, Similipal and Bhitarkanika are drawing increased attention for their eco-tourism and nature-based experiences.

J K Mohanty, chairman and managing director of Swosti Group believes that Odisha’s domestic tourism has already reached an impressive level of maturity with strong post-pandemic demand benefiting hotels, resorts and experiential properties across the state. “Odisha’s tourism and hospitality sectors have shown remarkable growth, especially in domestic tourism. Improved infrastructure, strategic marketing and government initiatives have helped the state emerge as a preferred destination for nature, culture, heritage, spiritual tourism, sports tourism and MICE,” he said.

The state government has been working to ensure more balanced tourism development across districts aided by the Odisha Tourism Policy 2022, which liberalises incentives to attract investment and strengthens the ease of doing business for hospitality and tourism-linked ventures.

According to Mohanty, Odisha’s true strength lies in its unexplored diversity and there is immense potential to promote newer destinations such as Tampara Lake, Hirakud, Koraput, Debrigarh and various Buddhist heritage sites.

As of March 2025, the tourism department has identified 378 tourist centres with significant development potential. Many of these destinations have traditionally been overshadowed by Odisha’s famed “Golden Triangle” but growing interest in wildlife, eco-retreats, heritage sites and cultural circuits has prompted a broadening of focus.

The state’s tourism department has also taken a proactive digital marketing route, maintaining an active presence across platforms such as Facebook, Instagram, YouTube and X, live-streaming marquee events like the Konark Festival and International Sand Art Festival. A dedicated collaboration with Google and X in the past has helped amplify digital visibility for eco-retreats, temple monuments, waterfalls, local cuisine and water-based adventure offerings.

Gagan Sarangi, director of Dove Tours, describes Odisha as “a land of timeless charm” offering spiritual depth, natural richness and cultural authenticity. “Today travellers are increasingly seeking offbeat, peaceful and nature-based experiences. Odisha fits this trend perfectly. There is rising interest in exploring new places, local crafts, traditional cuisine and immersive eco-tourism experiences. This has boosted domestic tourism in the state.”

Earlier, this year, the department of tourism and Federation of Indian Chamber of Commerce and Industry (FICCI) jointly hosted the sixth edition of the Odisha Travel Bazar (OTB) 2024-25, showcasing Odisha’s tourism potential to domestic and global buyers. The event brought together over 70 tourism sellers from across the state and facilitated more than 3,000 pre-scheduled B2B meetings with Indian and international tour operators. More than 30 foreign tour operators from over 15 countries ranging from Australia and Belgium to Greece, Singapore and South Africa participated, signalling the state’s aspiration to strengthen inbound markets.

The department of tourism also initiated the holistic development of 15 priority destinations guided by integrated tourism master plans to prevent haphazard growth and encourage sustainable development for FY 2024-2025. With a focus on cultural tourism and eco-tourism, these destinations included Cuttack, Bhitarkanika, Similipal, Deomali among others.

However, in spite of domestic tourism growth, Mohanty noted that inbound tourism remains below potential. “Despite Odisha’s diverse offerings from ancient temples and pristine beaches to eco-retreats and tribal heritage, international arrivals remain modest. This is primarily due to limited global visibility and lack of direct international air connectivity,” he highlighted.

As per Sarangi, though traditionally western European countries such as Italy, Belgium, Spain, Austria, Germany have been the main international markets, as travellers from these countries are drawn to Odisha’s tribal culture, heritage sites like Konark, the beaches of Puri and the biodiversity of Chilika Lake, the inbound tourism to Odisha this season is below expectations, a trend also seen in other states of India.

“I believe this is largely due to the prevailing global unrest, which has made European and American travellers more cautious about longhaul trips,” added Sarangi.

But he believes that there is an opportunity for industry players to explore neighbouring markets.

“With the ongoing direct international flight connectivity between Bhubaneswar and Bangkok, many tour operators are also trying to attract tourists from South-east Asian countries. Thailand and Malaysia are geographically not very far from Odisha, and therefore with focused international marketing, Odisha can position itself as an attractive destination for travellers from these regions,” he stressed.

Talking about industry challenges, Mohanty highlighted gaps in premium accommodation, large-scale convention infrastructure and integrated tourism zones that can attract big-ticket investors. While Bhubaneswar’s airport has grown in capacity, Mohanty argues that the next leap in inbound tourism will require long-term, industry-friendly policies, partnerships with global tour operators and accelerated private-sector participation in resort development, beachfront infrastructure and theme-based tourism projects.

Sarangi also pointed to structural challenges: inconsistent availability of high-quality accommodation in remote destinations, shortage of language-proficient tourist guides, limited MICE-ready infrastructure and pricing models that sometimes make peak-season travel unaffordable for inbound operators.