In a bid to revive the hospitality industry, the Federation of Hotel and Restaurant Association of India (FHRAI) today shared their concerns with Piyush Goyal, Minister of Commerce & Industry and Railways, Government of India.
Highlighting the issues of the hotel industry, Gurbaxish Singh Kohli, Vice President, FHRAI said, “We feel there is a disconnect between the government and the hospitality segment. We have never been featured in any budgets or schemes and, we have been neglected in the recent financial package. Room nights and table bookings are the most perishable commodity, which the government needs to understand. Currently, our aim is to get working capital back. Right now, 50,000 rooms have been allocated for health force. 4000 member hotels have collaborated with state and central for quarantine facility. Restaurants have collaborated for food packets to be distributed to the needy. So, there is a need for government to look at this segment.”
Responding to the industry’s demand while appreciating the contribution of hospitality industry, Goyal said that the industry which is looking at revival strategy should look at MSME category and the five-star hotel players differently. “If five-star hotels in our country cannot stand back on its feet it will be unfortunate for our country. In terms of single window clearance, I am with the industry and that is for sure the need of the hour. Transparent, online process for single window clearance should be the focus for the ministries. Instead of asking everything from the government, we as an industry should also brainstorm and come up with solutions. Except for five-star hotels, the entire industry will fall under the MSME category, where we have come up with a lot of measures. We need to first look at the wider goal and look at how to provide relief for the smaller players and then look at five-star hotels,” Goyal said.
Also, the hospitality industry should look at supporting the Atmanirbhar Abhiyan. The Minister said that five-star hotels have always been looking to import various commodities for their properties, which can very well be replaced by the local ones. Goyal said, “For five-star I would say look at Atmanirbhar Bharat. Why to import tiles, furniture’s, ACs, cars and other materials into India for your hotels. Aren’t these products available in India. Instead look at Indian brands and our own make. Government is ready to help the industry, but the industry should look at Atmanirbhar Bharat to revive the industry.”
Goyal said that the industry must come up with very specific and concrete steps which will be considered by the Government in the upcoming unlocking phases. “We need to look at normalcy, but we also need to balance lives and livelihood. United States and many other countries have opened a lot of bars and cafes but post that the situation didn’t look any good. We will take up these issues with the relevant ministry and I will discuss with Prahlad Singh Patel for more engagement and specific plans for the industry,” he informed adding that there are very few restrictions applicable as of today by the Centre.
He further appreciated the role of the hospitality industry in the fight against the covid-19 pandemic. Over the last few months, the industry has helped the nation by providing rooms for quarantine facility and provided food for the needy. “I would like to appreciate the entire industry for supporting the government and nation in the covid-19 fight. The industry has played a key role in feeding the hungry of the nation. Also, hotels have helped us in terms of quarantine facility. We ensure that we will stand with the industry to come out with solutions. Separate MSMEs and larger institutions,” he added.
