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.


The Orchid Hotel Mumbai Showcases ‘Weddings with Orchid’ Curated Wedding Experience

The Orchid Hotel Mumbai Showcases ‘Weddings with Orchid’ Curated Wedding Experience

By Hariharan U

Published on May 6, 2026

The Orchid Hotel Mumbai has introduced ‘Weddings with Orchid’, a thoughtfully curated showcase that brings together the evolving elements of modern Indian weddings, blending scale, intimacy, and personalised hospitality under one roof.

Designed to reflect how weddings are increasingly becoming immersive and multi-layered experiences, the showcase presented a seamless journey from intimate pre-functions and wellness-led preparations to grand celebrations and comfortable guest stays. It offered couples and families a clear perspective on how every stage of a wedding can be thoughtfully planned within a single destination.

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Among the highlights is The Upper Deck, a rooftop venue spanning 13,680 sq. ft., accommodating up to 800 guests. With sweeping skyline views, it provides an expansive setting for sunset pheras, receptions, cocktail evenings, and destination-style celebrations. The space allows for large-format décor, live entertainment, and curated dining experiences, creating a fluid and engaging celebration environment.

For more intimate gatherings, Prive offers a refined setting across 1,840 sq. ft., hosting up to 200 guests. Ideal for Haldi ceremonies, Mehendi functions, and close-family celebrations, the venue’s natural light and adaptable design allow each event to carry its own distinct character.

Indoor venues such as Chambers + Meadows and Chancery further enhance the hotel’s flexibility. Chambers + Meadows spans 4,464 sq. ft. and accommodates up to 300 guests, with the option to divide the space for multiple simultaneous functions. Chancery, designed for smaller gatherings of up to 100 guests, creates an elegant setting for engagements, private dinners, and milestone moments.

Adding a vibrant, social dimension is Cascade, a 7,750 sq. ft. poolside venue suited for Sangeet nights, cocktail gatherings, and festive celebrations. With ample space for performance stages, interactive food counters, and immersive décor, it brings energy and movement to wedding festivities.

Food remains central to the experience, and The Orchid’s culinary programme reflects both scale and detail. Guests can explore an extensive selection of appetisers, artisanal breads, mezze, and gourmet salads, complemented by live stations offering Asian, South Indian, Maharashtrian, and global cuisines. Signature highlights include Dim Sum counters, Teppanyaki grills, Gunpowder Vada Pops, Dragon Fruit Pani Puri, and the distinctive Naanza concept. The dessert experience features a dedicated dessert studio, live halwa counters, and innovative takes on traditional favourites such as Mini Ghewar.

A culturally rooted touch is added through elements like a curated coffee bar and traditional tea service in kullads, blending nostalgia with contemporary presentation and enhancing the overall guest experience.

The hotel also integrates essential wedding services within the property, including dedicated planning teams, venue styling support, guest experience management, and in-house salon and spa facilities. This ensures that families can prepare, celebrate, and host with ease, all within a single destination.

Located close to Mumbai airport, the hotel offers added convenience for travelling guests, while its accommodation facilities enable families to stay together and extend celebrations beyond individual events.

The showcase also highlighted wedding opportunities across the broader Kamat Hotels portfolio, opening avenues for destination weddings and multi-city celebrations.

With ‘Weddings with Orchid’, The Orchid Hotel Mumbai presents a comprehensive wedding experience, where every detail, from intimate rituals to grand festivities, is brought together through thoughtful planning, personalised service, and versatile spaces designed to bring each celebration to life


Essentia Hotels & Resorts Launches Luxury Hotel & Convention in Nagpur

Essentia Hotels & Resorts Launches Luxury Hotel & Convention in Nagpur

By Hariharan U

Published on May 6, 2026

Essentia Hotels & Resorts has announced the opening of Essentia Luxury Hotel & Convention in Nagpur, marking its strategic expansion into one of Central India’s fastest-growing cities. The launch reflects the brand’s continued focus on tapping into emerging urban markets with strong business and tourism potential.

Located in Khairy, the hotel offers convenient access to Dr. Babasaheb Ambedkar International Airport and Nagpur Junction Railway Station. Its proximity to key city landmarks such as Zero Mile Stone, Deekshabhoomi, Futala Lake, Ambazari Lake, and Sitabuldi Fort makes it well-suited for both business and leisure travellers.

The property features 81 well-appointed rooms, including seven premium rooms and a presidential suite, designed to offer a refined and comfortable stay experience.

A key highlight of the hotel is its expansive banqueting and event infrastructure, spanning over 41,000 sq. ft. The property includes a large convention centre along with multiple conference and boardroom venues, catering to MICE and wedding segments. Signature venues such as the Grand Ballroom, Orion Lawn, and Carnival meeting room are designed to host a wide range of events, from corporate gatherings to destination weddings.

The hotel’s food and beverage offerings are positioned as a central part of the guest experience. Citron, the all-day dining multi-cuisine restaurant, serves a mix of global favourites and regional dishes, along with a private dining space suited for intimate gatherings and business meetings. Nirvana Lounge Bar adds a social dimension with a curated selection of beverages and artisanal small plates in a relaxed setting.

To complement the stay, the hotel also offers recreational amenities including a swimming pool and a fully equipped fitness centre, alongside guest-focused services designed for a seamless experience.

Sharing his thoughts on the launch, Mohammed Parvez, CEO of Essentia Hotels & Resorts, said, "Nagpur marks a truly meaningful step in our journey, and this launch reflects our deep belief in the potential of emerging cities that are shaping India's future. Our focus has always been on building destinations that go beyond just hospitality, spaces that seamlessly cater to business, leisure, weddings, and MICE, while consistently delivering service excellence and operational strength."

He further added, "This opening marks an important chapter in Essentia's national growth journey. We have consciously chosen to invest in cities like Nagpur, recognising their emergence as key commercial, logistics, and cultural hubs. With this property, we are not just introducing a hotel, but creating a destination that we believe will play a meaningful role in the city's growth and the experiences it will host in the years to come."


The Leela Gandhinagar Hosts Moonlit Sound Healing by the Pool

The Leela Gandhinagar Hosts Moonlit Sound Healing by the Pool

By Manu Vardhan Kannan

Published on May 6, 2026

The Leela Gandhinagar recently introduced a unique wellness experience with a moonlit sound healing session by the pool, offering guests a peaceful break from their daily routine. Set on a calm full moon evening, the experience created a soothing atmosphere focused on relaxation and self-reflection.

Surrounded by still waters and the soft glow of the night sky, the setting naturally enhanced the sense of calm. As the session began, gentle sound frequencies filled the space, helping guests slow down, unwind, and settle into a meditative state. The experience was carefully designed to balance sound and silence, allowing for a deeply relaxing and refreshing pause.

The evening also included a specially curated Hi-Tea by Aujasya, the hotel’s wellness program. Focused on mindful living, Aujasya brought together light, nourishing selections and refreshing infusions that complemented the overall experience. This combination of sound healing and thoughtful dining created a seamless flow, supporting both physical and mental well-being.

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Speaking about the initiative, Vikas Sood, General Manager, said,

“At The Leela Gandhinagar, we are committed to creating experiences that are deeply restorative and thoughtfully layered. Through Aujasya, our wellness philosophy finds expression not only in mindful cuisine but also in immersive, sensory-led experiences that bring together nourishment, stillness, and a deeper sense of balance.”

Designed as a reflection of mindful luxury, the experience highlights how wellness can be naturally woven into hospitality. It offers guests not just a moment of relaxation, but a meaningful experience that stays with them even after it ends.

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