KPMG in India-PHDCCI Report Highlights Public-Private Partnerships as Key to Heritage Conservation

India’s vast and vibrant cultural heritage took centre stage at the 14^th International Heritage Tourism Conclave, organised by the PHD Chamber of Commerce and Industry (PHDCCI) on July 25, 2025, at the historic Lukshmi Villas Palace, Vadodara. Held in collaboration with the Ministry of Tourism, Government of India, along with Gujarat Tourism, Delhi Tourism, IndiGo and IRCTC, the conclave also marked the launch of a pivotal report by KPMG in India and PHDCCI, titled “Building Public-Private Synergies for Heritage Conservation”.

The report underscores the critical role of public-private partnerships (PPPs) in redefining heritage conservation—not just as preservation, but as a strategic investment in tourism, sustainability, and inclusive growth. It highlights how initiatives like “Heritage Adaptive Re-use” are enabling the infusion of private capital and innovation while maintaining cultural integrity. With heritage tourism contributing roughly 2.5 per cent to India’s tourism GDP and expected to reach $57.14 billion by 2033, the study positions heritage as a key economic engine.

Beyond financial impact, the report explores the use of emerging technologies such as augmented and virtual reality, digital archiving, and smart monitoring tools to enhance conservation efforts and enrich visitor experiences. It also stresses the importance of reviving traditional crafts, empowering local communities, and fostering a sense of cultural pride.

Commenting on the report findings, Nilachal Mishra, Partner and Head of Government & Public Services (G&PS), KPMG in India, said, “Heritage conservation is evolving into a collaborative mission where policy, purpose, and private innovation converge to transform our rich legacy into a force for the future. It is not just about preserving the past, but about shaping resilient communities, cultural pride, and inclusive growth.”

Echoing this sentiment, Vivek Agarwal, Partner and Head – Industrial & Infrastructure Development Advisory, added, “Heritage conservation is no longer just about preserving the past—it’s about creating inclusive futures. By integrating tourism, technology, and community engagement, we’re redefining what it means to protect culture.”

Aalap Bansal, Partner - Industrial & Infrastructure Development Advisory (IIDA), and Co-Lead-Tourism, Sports and Leisure, KPMG in India, said, “The success of PPPs in heritage conservation lies in their ability to blend authenticity with innovation. When private vision meets public purpose, heritage becomes a catalyst for sustainable development.”

The conclave, themed ख़याल विरासत का (In Care of Heritage), featured a rich tapestry of sessions that brought together government officials, conservation architects, royal family members, diplomats, tourism professionals and cultural thinkers for a day-long dialogue on community-driven tourism and policy innovation.

Inaugurating the conclave, Rajender Kumar, IAS, Secretary – Tourism, Government of Gujarat, emphasised the state’s commitment to creating grassroots impact through restoration, infrastructure, and artisan engagement, commenting, “Gujarat’s vision for heritage tourism is rooted in creating impact on the ground. We are not only restoring monuments, but ensuring that local communities benefit directly through jobs, infrastructure and cultural pride. Gujarat Tourism is actively pursuing conservation and adaptive reuse projects across heritage cities, while also promoting traditional crafts and cottage industries through artisan engagement and capacity building.”

Representing Vadodara’s royal lineage, Samarjitsinh Gaekwad, Maharaja of Baroda, stressed the need to make heritage relevant for future generations, “Vadodara has always been a city that lives its culture – in its art, architecture and music. But heritage survives not through nostalgia, but relevance. If our palaces, traditions and stories are to thrive, they must connect with the next generation, as places of pride, not just the past. As custodians, we welcome platforms like this conclave that bring institutions, government and citizens together to reimagine how heritage can inspire, educate and endure.”

Mohamed Farouk, Regional Director – India Tourism Mumbai, Ministry of Tourism, Government of India, highlighted the Ministry’s commitment through schemes like Swadesh Darshan 2.0 and PRASHAD, adding, “We are creating thematic tourism circuits that connect not only monuments, but also cuisine, crafts, folklore and festivals. Our emphasis is on destination readiness – upgrading infrastructure, ensuring sustainability and building capacity among local guides and communities.”

The conclave featured a series of engaging sessions from Gujarat’s heritage tourism model to the challenges of safeguarding the havelis of Shekhawati. Discussions ranged from community-led conservation and gender-inclusive tourism to culinary storytelling and digital innovation in architecture. A traditional Gujarati lunch, Bapor nu Bhojan, curated by Chef Pritesh Raut, transformed dining into an immersive cultural experience, with each dish accompanied by historical and regional notes.

Sessions on heritage transport, Champaner-Pavagadh’s revival, and women as custodians of culture further illustrated the multifaceted dimensions of heritage tourism. Speakers proposed financial incentives for private owners, policy frameworks for conservation, and greater visibility for women-led tourism enterprises.

The day concluded with a curated art showcase reflecting Indian identity in a global context and a guided heritage walk of the Lukshmi Villas Palace. Over 25 B2B meetings between tourism boards, hospitality leaders and cultural entrepreneurs also took place during the event, reinforcing the potential of cross-sector collaboration.

Together, the KPMG-PHDCCI report and the conclave serve as a clarion call for a new era of heritage stewardship—where collaboration, innovation, and inclusivity pave the way for India to emerge as a global leader in cultural tourism.