Meghalaya is set to enhance its tourism sector through a partnership between the state government and the Indian Hotels Company Ltd (IHCL) to develop a new Taj Resort & Spa in Umiam. The project, revealed on Friday, December 19, 2025, is part of a broader initiative to establish Umiam as a premium tourism hub.
Chief Minister Conrad K. Sangma attended the land-handover ceremony for the project, calling it a defining moment for tourism in Meghalaya. He highlighted that the luxury resort, situated near the iconic Umiam Lake, is expected to become a landmark destination, enhancing the region's appeal for both domestic and international travelers. The Chief Minister also conveyed his gratitude to the Tourism Minister, officials, MTDC, and all involved teams for their relentless efforts in turning the vision into reality.
The Taj Umiam Resort & Spa, estimated to cost Rs 330 crore, will be constructed on 66 acres of land adjacent to Umiam Lake. This investment marks the largest hospitality project in the state and will be the fourth five-star property in Shillong, with two already in operation and more planned. Sangma noted that Umiam was conceptualized as a tourism hub as early as 1988, and the new resort is taking that vision to the next level.
The project aligns with the state government's push to promote sustainable tourism, attract high-quality investments, and leverage Meghalaya's natural beauty and cultural richness. The government is investing Rs 3,914.51 crore in 254 tourism infrastructure projects across the state. These projects include 26 experiential ones like the Shillong Ropeway, Mawkdok Skywalk, the Meghalayan Cave Experience Centre at Mawmluh, and the Rain & Bamboo Interpretation Centre at Mawsynram.
Beyond destination development, the Meghalaya government is focused on improving connectivity through better roads, airport expansion, and last-mile connectivity. More than Rs 500 crore has been earmarked for Umiam's development, including the Taj Umiam Resort & Spa, luxury cottages under PPP, redevelopment of Umiam Lake, a convention center, and enhanced water sports and adventure tourism facilities. Umiam is being developed as a high-end, low-density tourism hub that aligns with ecological priorities.
The Chief Minister emphasized that tourism development extends beyond five-star hotels, with aggressive policies to promote homestays and community-led tourism. Under the CM-Meghalaya Homestay Mission, the government provides up to 70% subsidy for homestay development. The previous phase supported 800 homestays, creating 1,600 jobs, and the current mission aims to develop 3,000 homestays by 2028.
Meghalaya has seen consistent growth in tourism since 2018, with nearly 16 lakh visitors in 2024. The state projects crossing 20 lakh tourists by 2028. Tourism contributes 7.7% to the State's GSDP, and the government aims to increase it to 8.8% by 2032. The state also recognizes the potential of the concert economy, with 3.86 lakh people visiting Meghalaya to attend seven major events between 2024 and 2025. A public investment of Rs 23.5 crore generated Rs 133.42 crore in economic activity and around 5,500 jobs per day, benefiting youth, freelancers, women-led enterprises, and homestay owners.
The Meghalaya Ecotourism Infrastructure Development Project is scheduled to be completed by July 2028.
