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.


IHCL and Ambuja Neotia to Add 15 New Hotels Across East and North India

IHCL and Ambuja Neotia to Add 15 New Hotels Across East and North India

By Nishang Narayan

Published on July 23, 2025

Indian Hotels Company (IHCL) has announced a major expansion of its partnership with the Ambuja Neotia Group through the signing of agreements for 15 new hotels. These properties will be spread across West Bengal, Sikkim, and Himachal Pradesh, and will be a mix of greenfield, brownfield, and conversion projects. The partnership is set to grow to over 40 hotels in total.

These new projects will include iconic brands from IHCL’s portfolio, with a majority expected to operate under the Taj brand. Among the first four confirmed projects are a Taj in Darjeeling, SeleQtions hotels in Kolkata and Siliguri, and a Tree of Life in Lataguri. Several of the properties will also include Taj branded villas in Darjeeling, Sikkim, Lataguri, and Raichak.

Commenting on the development, IHCL’s Managing Director & CEO Puneet Chhatwal said,

“IHCL’s pioneering legacy of building destinations like Rajasthan, Kerala, Goa, and the Andaman and Lakshadweep Islands will now extend to unlocking the tourism potential of the East and North East with this agreement.”

He added that the capital-light model and strategic locations will support tourism development in relatively unexplored regions.

Harshavardhan Neotia, Chairman of the Ambuja Neotia Group, echoed this vision:

“North East, the unexplored region of India has tremendous potential for bespoke luxury travel… The addition of premium room inventory this fiscal to Taj Chia Kutir in Kurseong as well as the upcoming Taj branded luxury villas in Darjeeling, Lataguri, and Gangtok reflects the growing demand from the segment.”

This partnership highlights IHCL’s focus on destination-led development. With Taj recently named the World’s Strongest Hotel Brand, the group is poised to bring world-class hospitality to new Indian regions and strengthen its footprint in the leisure travel segment.

Timeline (Indicative):

  • Current FY: Launch of Taj Chia Kutir, Kurseong and Taj villas in key destinations.

  • Next 5 Years: Progressive launch of 15 hotels under Taj, SeleQtions, and Tree of Life across the identified locations.


A Global Masterpiece: CRC The PERIDONA Redefines Ultra-Luxury Living in NCR

A Global Masterpiece: CRC The PERIDONA Redefines Ultra-Luxury Living in NCR

By Nishang Narayan

Published on July 23, 2025

CRC Group, a prominent name in North India’s real estate market, has unveiled its most ambitious residential project yet—The PERIDONA—an ultra-luxury experiential development located in the lush expanse of Jaypee Greens Golf Course, Greater Noida. With an investment of ₹1500 crore (excluding land cost), the project is a bold step into the super-premium segment, bringing together world-renowned collaborators to shape an elite residential experience.

Spanning 3.1 million sq. ft. of built-up area, The PERIDONA will feature just 341 exclusive apartment units, each occupying an entire floor, offering unparalleled privacy and panoramic views. This one-apartment-per-floor model redefines space, elegance, and exclusivity in luxury urban living.

What truly sets the project apart is its unprecedented global collaboration. The PERIDONA boasts a design ensemble featuring:

  • Killa Design, creators of Dubai’s iconic Museum of the Future;

  • Gensler Architects, global leaders in futuristic architecture;

  • Rockwell Group, the interior visionaries behind India’s most opulent lifestyle clubs;

  • SWA Group, known for sustainability-led landscape architecture;

  • MACE, the UK-based global consultancy firm specializing in project delivery and execution.

Unveiled at an exclusive event in Dubai, the project reflects CRC Group’s bold ambition. “With The PERIDONA, we are entering the ultra-luxury space with intent and vision,” said Kunal Bhalla, Founder & CEO of CRC Group. “From eco-sensitive planning to globally curated materials and amenities, every detail is designed around our core philosophy: Live More. This project is not just about homes—it’s about delivering a complete, elevated lifestyle.”

Adding to the vision, Salil Kumar, Director (Marketing & Business Management), shared, “This is more than just real estate—it’s a legacy. With international consultants, lush green surroundings, and proximity to major infrastructure like the upcoming Noida International Airport, PERIDONA is set to become one of the most sought-after addresses in India.”

The development also features a luxurious multi-level clubhouse, wellness zones, serene water bodies, and smart home integration. MACE’s project management will ensure timely, precision-led delivery. With construction commencing next month, The PERIDONA is expected to reshape expectations of modern urban living in NCR.

Strategically located just 20 minutes from the upcoming Noida International Airport—touted to be the fourth-largest in the world—this ultra-luxury enclave is not just a place to live, but an asset poised for strong long-term returns.

With design pedigree, global execution, and a hyper-curated lifestyle approach, CRC The PERIDONA is more than just a residential project—it’s an architectural statement, setting a bold new benchmark for Indian luxury real estate.


Clarks Exotica Brings Guest Stories to Life with Personalised Hospitality

Clarks Exotica Brings Guest Stories to Life with Personalised Hospitality

By Manu Vardhan Kannan

Published on July 22, 2025

Nestled just minutes away from Bengaluru’s Kempegowda International Airport, Clarks Exotica Convention Resort & Spa is embracing a fresh and personal approach to luxury. Spread over 70 acres, the resort has always been known for its peaceful ambiance and versatile offerings, from corporate stays to weekend family escapes. But now, it’s taking things a notch higher by focusing not just on what it offers, but how it’s experienced  with every guest story at the heart of it.

“Every guest carries a unique story,” says Varun Sharma, General Manager Operations at Clarks Exotica. “Our aim isn’t just to serve, but to observe, listen, and respond, so each stay feels tailored, like it was made just for them.”

Whether it’s a warm bowl of soup waiting for a late-arriving traveller or a poolside candlelight dinner set up for an anniversary couple, Clarks is turning small gestures into unforgettable memories.

This new approach isn’t just reflected in their service, it’s shaping how the brand communicates with the world. Clarks Exotica is moving away from generic promotions, instead sharing stories drawn from real, heartfelt guest moments. The idea is to make every piece of communication, whether online or on-site, feel genuine and personal.

Behind this shift is a team that values human touch. From Shiva in Engineering, who ensures every space is flawless without being seen, to Gautam from F&B, who remembers how guests like their coffee, it’s the quiet attentiveness that defines the Clarks culture.

These real moments and real people now take centre stage in the resort’s digital storytelling. With initiatives like:

  • Video reels capturing natural guest reactions and joyful moments with family

  • Team spotlights celebrating small yet meaningful acts of service

  • Social media campaigns like "Captured at Clarks" and "Humans of Clarks", showcasing authentic experiences

Clarks is turning its guestbook into a canvas of shared memories. What used to stay within four walls now reaches a wider, global audience, building not just loyalty, but an emotional connect that sets the brand apart.

With this shift, Clarks Exotica is showing that luxury isn’t always about extravagance. Sometimes, it’s in the little things, the ones that make you feel seen, remembered, and valued.

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