Mumbai: Granting infrastructure status to the hospitality sector should be a top priority, according to the Hotel And Restaurant Association-Western India (HRAWI), the apex body of the hospitality sector.
“Infrastructure Status is crucial for achieving the ambitious target of welcoming 100 million international tourists by 2047 and contributing to a $3 trillion hospitality tourism economy. Also, the industry needs to have uniform GST rates for all restaurants, whether inside hotels or standalone,” HRAWI President Pradeep Shetty said welcoming the new Union Minister for Tourism and Culture Gajendra Singh Shekhawat.
The status would facilitate access to long-term loans at competitive interest rates, accelerating growth and development within the industry, he said.
HRAWI has also urged the Tourism Minister to revisit the existing GST structure for F&B served in restaurants within hotels.
Presently linked to room charges exceeding Rs 7500, the association proposes de-linking GST rates from room charges to promote fair competition and ensure industry sustainability.
“Shekhawat should consider our request to de-link the GST rates from room charges to eliminate unfairness and unpredictability,” adds Shetty.
“Investing in the development of tourist circuits, heritage sites and transportation networks is essential. Robust infrastructure not only attracts tourists but also creates employment opportunities and stimulates local economies. Prioritizing these developments will enhance accessibility and the overall visitor experience,” he said.
“HRAWI remains committed to working closely with the new MoT to realize the full potential of India’s tourism and hospitality industries. By addressing our immediate concerns and promoting a conducive environment for growth, we can collectively work towards positioning India as one of the top global tourism destinations. Together, we can create a thriving, vibrant and inclusive economic landscape that benefits all,” he added.