FHRAI Urges Key Reforms in Budget 2025-26 to Boost Hospitality

FHRAI Urges Key Reforms in Budget 2025-26 to Boost Hospitality

By Nishang Narayan

Published on January 19, 2025

The Federation of Hotel & Restaurant Associations of India (FHRAI), one of the world’s largest hospitality associations, has outlined a series of reforms it hopes to see in the Union Budget 2025-26. Representing over 60,000 hotels and 500,000 restaurants nationwide, FHRAI emphasized that these changes are critical for bolstering investment, creating jobs, and driving the growth of India's hospitality and tourism sector—a significant contributor to the national economy.

Key Recommendations by FHRAI

  1. Infrastructure Status for Smaller Projects
    FHRAI proposes granting infrastructure status to hotel and convention center projects costing ₹10 crore or more. Currently, this status is limited to projects exceeding ₹200 crore for hotels and ₹300 crore for convention centers, along with a requirement for the city population to exceed one million. FHRAI highlights that these restrictions exclude smaller, tourism-rich towns, preventing their access to financing and infrastructure benefits.

    “India’s tourism sector has immense untapped potential in historically significant towns and emerging destinations,” said K Syama Raju, President of FHRAI. “Infrastructure status for smaller projects will unlock growth opportunities in these regions.”

  2. Simplified Licensing and Single-Window Clearance
    FHRAI calls for a single-window clearance system to streamline the complex and time-consuming licensing and approval processes. Simplified regulations would encourage investments and ease operations for hospitality businesses.

  3. GST Rationalization
    The association advocates for rationalizing GST rates to make India more competitive internationally. FHRAI recommends:

    • Delinking GST on restaurants from room tariffs.
    • Revising GST rates for restaurants, banquets, and events.
    • Revisiting GST’s "place of supply" rules to allow input tax credits for services sourced across states, thereby reducing operational costs.
  4. Excise and Liquor Licensing Reforms
    FHRAI emphasizes the need for simplified excise and liquor licensing processes. Drawing inspiration from the FSSAI registration system, the association suggests nominal fees and easier compliance to promote the growth of leisure and entertainment services.

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Addressing Industry Challenges

India’s hospitality sector, known for generating substantial employment and foreign exchange earnings, faces multiple challenges due to restrictive policies. FHRAI asserts that reforms in licensing, taxation, and infrastructure will enhance India’s competitiveness as a global tourism destination.

“Our hospitality and tourism sector is vital to economic growth, yet it operates under significant regulatory burdens,” Raju added. “Budget 2025-26 presents an opportunity for the government to align policies with industry needs, fostering sustainable growth and positioning India as a leader in global tourism.”

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Vision 2047: A $1 Trillion Tourism Economy

By addressing these critical reforms, FHRAI believes India can advance its vision of becoming a $1 trillion tourism economy by 2047. Simplifying regulations, fostering investments, and reducing operational barriers will create jobs, increase foreign exchange earnings, and drive the sector's long-term growth.

About FHRAI

Established in 1955, the Federation of Hotel & Restaurant Associations of India (FHRAI) is the apex body of the hospitality industry in India. Representing over 60,000 hotels and 500,000 restaurants, FHRAI serves as a voice for the sector, collaborating with government bodies and international organizations to support the growth of India’s hospitality and tourism industries.


Sayaji Raipur Introduces Curated Monsoon Stay, Wedding and Celebration Experiences

Sayaji Raipur Introduces Curated Monsoon Stay, Wedding and Celebration Experiences

By Hariharan U

Published on July 27, 2026

Sayaji Raipur has launched a new range of curated hospitality experiences for the monsoon season, offering guests customised stay packages, wedding solutions, and event services designed for leisure, business, and celebration needs.

The seasonal offerings include weekend escapes, extended stay packages, Shubh Vivah wedding experiences, and outdoor catering solutions, strengthening the hotel’s positioning as a preferred destination for stays and celebrations in Raipur.

The Weekend Escape Package has been designed for couples and families looking for a relaxing break. The package includes accommodation in Grande Rooms, daily buffet breakfast at Cravings, one buffet lunch or dinner, dining benefits, and flexible check-in and check-out options, subject to availability.

For business travellers and guests planning longer stays, Sayaji Raipur has introduced the Monsoon Long Stay Offer, which includes daily breakfast, one major meal, airport or railway station transfers, complimentary laundry services, welcome refreshments, and personalised guest assistance.

The hotel is also focusing on celebrations through its Shubh Vivah offering, providing customised wedding experiences with banquet venues, wedding lawns, décor solutions, curated menus, and dedicated event planning support. The offering caters to both intimate ceremonies and larger wedding celebrations.

Expanding beyond the hotel premises, Sayaji Raipur’s Outdoor Catering (ODC) services provide customised food and beverage solutions for weddings, corporate events, private gatherings, and social occasions. Supported by experienced chefs and banquet teams, the service aims to deliver the hotel’s hospitality standards across different venues.

Commenting on the initiatives, Mr. Mayank Mandela, Director of Operations, Sayaji Raipur, said, "Hospitality today is about creating experiences that extend far beyond accommodation or dining. Whether guests are planning a weekend getaway, celebrating a wedding, organising a corporate event or looking for an extended stay, we endeavour to offer personalised experiences backed by exceptional service and memorable hospitality."

Through these seasonal offerings, Sayaji Raipur continues to enhance its hospitality portfolio by creating experiences that cater to evolving traveller preferences, from leisure escapes and business stays to weddings and social celebrations.

Experience Highlights:

Weekend Escape Package

  • Daily buffet breakfast
  • Buffet lunch or dinner
  • 15% discount on additional F&B
  • Early check-in and late check-out (subject to availability)

Monsoon Long Stay Offer

  • Daily breakfast and one major meal
  • Airport/Railway station transfers
  • Complimentary laundry

Shubh Vivah

  • Wedding packages starting from ₹25 lakh onwards
  • Venue planning, catering, décor, and event services

Outdoor Catering

  • Customised catering solutions for weddings, celebrations, and corporate events

Summit Hotels & Resorts Introduces Pet-Friendly Stays Across Hill Destinations

Summit Hotels & Resorts Introduces Pet-Friendly Stays Across Hill Destinations

By Manu Vardhan Kannan

Published on July 26, 2026

Responding to the growing trend of pet-inclusive travel, Summit Hotels & Resorts has introduced pet-friendly accommodation across selected properties in Eastern and Northeast India. The initiative comes as more Indian travellers choose to include their pets in holidays instead of leaving them behind.

The hospitality group said the move reflects changing travel preferences, with guests increasingly looking for personalised and experience-driven stays where pets are treated as part of the family. Industry trends have also shown a steady rise in demand for pet-friendly accommodation, particularly in hill stations and nature-based destinations.

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As part of the rollout, Summit Hotels & Resorts will offer designated pet-friendly room categories at selected properties in Gangtok, Darjeeling, Kalimpong, Kaziranga and Tashigang. The offering will initially be available in specific accommodation types, including cottages, villas, premium rooms and select ground-floor rooms.

Commenting on the initiative, Sumit Mitruka, CEO, Summit Hotels & Resorts, said:

"We are seeing a noticeable shift in travel patterns where guests increasingly want their pets to be part of the holiday experience. Destinations in the hills and nature-focused locations naturally align with this trend because travellers are seeking more relaxed and family-oriented experiences. Hospitality today is becoming more personalised, and adapting to changing guest preferences is becoming increasingly important."

The introduction of pet-friendly stays is part of the company's broader strategy to enhance experience-led hospitality across its portfolio of leisure destinations. Summit Hotels & Resorts is also finalising a nominal fee structure for pet stays, which will apply to the designated pet-friendly room categories.

With this initiative, the hotel group aims to provide greater flexibility for travellers while responding to the increasing demand for accommodation that welcomes both guests and their four-legged companions.


Novotel Vijayawada Varun Strengthens Sustainable Hospitality Initiatives on World Nature Conservation Day

Novotel Vijayawada Varun Strengthens Sustainable Hospitality Initiatives on World Nature Conservation Day

By Hariharan U

Published on July 25, 2026

Novotel Vijayawada Varun has reinforced its commitment to sustainable hospitality practices on the occasion of World Nature Conservation Day, observed on July 28, by highlighting its ongoing initiatives focused on environmental responsibility, resource conservation, and responsible tourism.

Aligned with this year's theme of “Living Sustainably in Harmony with Nature,” the hotel continues to integrate sustainability into its daily operations through cleaner energy solutions, waste reduction practices, and responsible resource management.

One of the key sustainability initiatives undertaken by the property was the transition from diesel to Piped Natural Gas (PNG) for boiler operations used in laundry steam generation. Implemented in March 2023, the initiative has contributed to an estimated annual reduction of approximately 98 tonnes of carbon dioxide emissions while eliminating sulphur dioxide emissions associated with diesel-based operations.

The hotel has also expanded its renewable energy adoption through solar power. Since early 2025, solar energy has contributed approximately 33 to 44 per cent of the property's monthly electricity requirements, resulting in an estimated annual reduction of around 1,476 to 1,968 tonnes of carbon dioxide emissions.

Beyond operational efficiencies, Novotel Vijayawada Varun has incorporated sustainability into the guest experience through initiatives such as complimentary electric vehicle charging stations, encouraging cleaner mobility among travellers. The property has also eliminated single-use plastics as part of its efforts to minimise waste and promote environmentally conscious practices.

Commenting on the initiative, Manish Pathak, Hotel Manager, Novotel Vijayawada Varun, said, "World Nature Conservation Day reminds us that every organization has an opportunity to contribute towards a healthier planet through meaningful action. We remain committed to adapting responsible practices that create a positive environmental impact while delivering a seamless experience for our guests."

The hotel's sustainability efforts have also received international recognition through the Green Key Certification, awarded by the Foundation for Environmental Education, acknowledging its commitment towards responsible environmental practices.

As sustainability continues to influence the future of travel and hospitality, Novotel Vijayawada Varun remains focused on creating a greener hospitality ecosystem through cleaner energy adoption, conscious operations, and responsible guest experiences.

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