Regional Chapters aid in success in Rajasthan, Maharashtra, Karnataka, Odisha and Gujarat

Hotel Association of India (HAI has deepened its nationwide efforts to strengthen the voice of the hospitality industry. The Association has been highlighting the pain of the industry to the policymakers at all levels of the Government at every possible opportunity and appealed for relief which could help the industry tide through the financial duress and stress it is under. The industry body has been focussing on three key matters - trying to secure industry status, infrastructure status, and urgent need for financial relief for the ailing sector to move forward in its ‘Road to Recovery.’

HAI’s Regional Chapters played an instrumental role in securing the long-pending demand for ‘Industry Status’ in some of the states. The success was secured in states like Maharashtra, Karnataka, and Rajasthan. This was achieved by ensuring greater collaboration, building partnerships, and creating an inclusive environment for the benefit of the local economy through programs that protect and promote the interests of small, medium operators and the larger employee base of the hotel industry. In select states, it enabled hotels to avail benefits towards electricity tariffs, discounts on property tax, and excise. HAI worked on simplifying the process of approval for hotel projects and operations. These proactive engagements helped benefit hospitality in many states.

The association had also submitted recommendations to the Prime Minister and RBI demanding one-time settlement of loans, extension of loan moratoriums, waiver of all statutory liabilities at Centre, state, and municipal levels for the pandemic period, especially during the lockdown period, offer stimulus package. HAI has also requested granting Infrastructure status to the hospitality industry. The regular outreach to Finance Ministry was well heard by the authorities and recognised the distress caused by the pandemic.

The association was also asked to appear before the Parliament Standing Committee to submit recommendations for the budget for the industry. HAI made submissions on the roadblocks to the effective and successful implementation of the ECLGS scheme. The committee also heard the stakeholders on the implementation of relief measures extended by the Government of India for various sectors under the series of Emergency Credit Line Guarantee Scheme (ECLGS).  In the budget 2022-23, the Finance Minister extended the ECLGS up to March 2023 and earmarked an additional Rs 50,000 Cr for hospitality and related sectors which was a relief for the hospitality industry. In one of its recommendations, HAI had also urged the Director-General of Foreign Trade (DGFT) and demanded reopening of SEIS online application process available to hotels.

HAI and its delegation had met G Kishan Reddy, Union Tourism Minister, on multiple occasions and highlighted the urgent need to infuse liquidity in the Industry through means like an extension of moratorium, one-time loan restructuring, improved terms under the ECLGS scheme, and revised eligibility ratios under the resolution framework and reiterated Industry status demand.

Speaking on the role of the association, KB Kachru, VP, Hotel Association of India & Chairman Emeritus & Principal Advisor, South Asia, Radisson Hotel Group, said, “We are glad that collaborative efforts are being made for getting favourable benefits to the industry. As an industry body, we will continue to extend our support to the government as we did during the peak of the pandemic, create more engagement at Central and state levels and reiterate the demands of the industry. The outcomes of these efforts will hopefully provide more relief to our members and help in policy formulations. All these measures will help in getting to pre-pandemic business, job opportunities and make more contribution to India’s GDP.”