Hailed as the ultimate Mecca of business gatherings from around the globe, the Vibrant Gujarat Global Investor Summit (VGGS) in Gandhinagar is one of the marquee events of the state government.
Ancilliary businesses in and around Gandhinagar also grow exponentially during such international events.
Cashing in on the hype, almost all star-category hotels in the official capital of Gujarat have outstripped the tariffs of Ahmedabad’s accommodations by two to three times.
For the three-day VGGS extravaganza, some of Gandhinagar’s premier hotels are commanding prices ranging from Rs 40,000 to 50,000 per night. In contrast, the tariffs at several four and five-star hotels in Ahmedabad hover between Rs 15,000 and Rs 20,000 per night.
The surge in prices is attributed to the escalating number of star-rated establishments in both Gandhinagar and Ahmedabad over the past four to five years.
With the VGGS just around the corner, star hotels in Gandhinagar are nearly sold out, while the occupancy in Ahmedabad stands at approximately 75%, expected to climb to 90% in the coming days as the event kicks off. This is a significant departure from the usual weekday room occupancy of around 45% in Ahmedabad.
Koustuva Mukherjee, Associate Vice President (Gujarat) of Pride Plaza Hotel, said, “The Vibrant Gujarat event is happening after a hiatus of over five years. During this period, numerous five-star hotels have sprung up in Gandhinagar, adding more than 600 rooms.”
He said participants and visitors were choosing to stay in Gandhinagar due to its proximity to the event. Simultaneously, Ahmedabad had witnessed a noticeable surge in hotel room additions, impacting tariffs in both the cities, he added.
Hospitality sources predict that more star-category hotels in and around Ahmedabad and Gandhinagar are still under development. The twin cities’ hospitality heavily relies on events and special occasions, unlike Mumbai and Delhi, where there is a consistent flow of corporate movements.