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.


Radisson Bengaluru City Center Hosts 5th Edition of GReaT Conversations with KEMA

Radisson Bengaluru City Center Hosts 5th Edition of GReaT Conversations with KEMA

By Manu Vardhan Kannan

Published on May 27, 2026

Radisson Bengaluru City Center recently hosted the 5th edition of GReaT Conversations in partnership with the Karnataka Event Management Association (KEMA), bringing together experts from the events, weddings, airline, and media sectors for an engaging round table discussion.

Held around the theme of Green Meetings, the session focused on how sustainability is increasingly shaping the future of MICE, corporate events, and social celebrations. As businesses and consumers continue looking for more responsible and meaningful experiences, discussions centred on ways hotels and event partners can work together to create gatherings that are impactful while remaining environmentally conscious.

The event also highlighted Bengaluru’s growing position as one of South India’s key markets for MICE, weddings, and lifestyle-focused hospitality experiences. Industry leaders shared thoughts on stronger collaboration between hotels and planners to ensure events are managed responsibly while continuing to deliver enhanced guest experiences.

The discussion was moderated by Jit Bose, Vice President - Commercial, and attended by Puneet Dutta COO and Anu Shinoj from GRT Hotels & Resorts. Karnataka Event Management Association was represented by Tony Stephen President and Srikant Kanoi Executive Vice President, along with key members of the Executive Committee, showcasing the growing partnership between the hospitality and events industries.

The evening itself reflected the event’s sustainability focus. Through GRT Hotels & Resorts’ GReaT Green Meetings initiative, the experience featured environmentally responsible event arrangements, locally sourced culinary offerings, and mindful operational practices. Guests later attended a networking dinner at the hotel’s terrace venue overlooking Ulsoor Lake, offering panoramic views of Bengaluru’s skyline.

Speaking on the initiative, Vikram Cotah, CEO, GRT Hotels & Resorts, said:

"We thank the Executive Committee of the Karnataka Event Management Association for collaborating with us on another edition of GReaT Conversations and bringing together industry thought leaders to discuss the trends and future of sustainable events. As the MICE and wedding segments continue to grow, it is important for hotels and event partners to create experiences that are not only memorable, but also mindful of the environment and the communities we serve."

Conducted as an interactive round table discussion, the event encouraged an open exchange of ideas among senior stakeholders from the events and wedding industry, airlines, and media sectors. Conversations covered emerging MICE trends, changing wedding expectations, experiential hospitality, sustainability practices, and the future of responsible events in India.


The Serai Resorts Promotes Conservation-Led Safari Tourism in Karnataka

The Serai Resorts Promotes Conservation-Led Safari Tourism in Karnataka

By Manu Vardhan Kannan

Published on May 26, 2026

The Serai Resorts is reinforcing its commitment to conservation-focused safari tourism across its wildlife destinations in Bandipur and Kabini. As travellers increasingly seek more meaningful and responsible wildlife experiences, the hospitality brand is placing sustainability, ecological balance, and community involvement at the centre of its safari offerings.

Located within Karnataka’s ecologically important regions of Bandipur Tiger Reserve and Nagarahole National Park, The Serai Resorts has designed its safari experiences around regulated tourism practices, local expertise, and long-term coexistence with nature. Rather than encouraging high-volume tourism or staged wildlife encounters, the focus remains on creating experiences that respect natural habitats and follow established conservation protocols.

The safari model at The Serai Bandipur and The Serai Kabini places emphasis on smaller and quieter experiences that allow guests to better understand the ecosystem. All safari bookings are conducted through authorised government systems and follow Forest Department regulations related to visitor capacity, timings, and approved movement routes within reserve zones.

Guests are accompanied by experienced naturalists and authorised guides who provide deeper insights into wildlife behaviour, birdlife, habitats, and forest ecology. This approach shifts the experience from simply seeking animal sightings to understanding the larger rhythm of the natural environment. The resort also encourages guests to book safaris in advance to help manage visitor movement responsibly during peak seasons.

The Serai Resorts has also maintained a clear stance on ethical wildlife practices. In line with Forest Department regulations, the brand does not support night safaris in protected areas such as Bandipur National Park and Nagarahole National Park, recognising the need to avoid disturbing wildlife during crucial nocturnal activity periods. Instead of promoting guaranteed sightings, guests are introduced to the realities of nature and encouraged to appreciate wildlife responsibly.

Naturalists regularly guide visitors on safari etiquette, including maintaining silence, avoiding sudden movement, and respecting wildlife boundaries to ensure minimal disturbance to the ecosystem.

Community involvement remains a key part of the brand’s conservation philosophy. A large portion of the teams working at Bandipur and Kabini come from nearby regions and bring strong local knowledge of forest landscapes, biodiversity, and wildlife movement patterns. Several naturalists also contribute through their field expertise and close association with Forest Department initiatives and wildlife observation efforts.

Beyond employment opportunities, the company also supports community wellbeing through education assistance for employees' children, medical insurance support, and healthcare access where needed. The same philosophy of coexistence extends to wildlife movement near resort spaces, where a non-interventionist approach is followed, allowing animals to move naturally without disruption.

The brand is also expanding nature engagement beyond traditional jeep safaris. Guests can participate in guided nature walks and seasonal boat safaris, creating opportunities to experience wildlife and biodiversity from different perspectives. At The Serai Kabini, boat safaris across the Kabini backwaters provide changing wildlife and birdwatching experiences throughout the year, while nature walks offer a slower and more immersive connection with the environment.

As part of its wider conservation efforts, The Serai Resorts also documents wildlife and bird sightings during safari experiences and shares relevant observations with forest authorities as supporting ecosystem inputs. Through its blend of regulated safari experiences, local participation, and conservation-focused practices, the brand continues to promote a more sustainable future for wildlife tourism in India.


NILE Hospitality to Launch Rajkot’s First International Branded Hotel with Radisson Hotel Group

NILE Hospitality to Launch Rajkot’s First International Branded Hotel with Radisson Hotel Group

By Author

Published on May 25, 2026

NILE Hospitality has announced the upcoming opening of Park Inn & Suites by Radisson Rajkot, marking a significant milestone in Rajkot’s hospitality landscape as the city’s first internationally branded hotel.

The launch further strengthens NILE Hospitality’s growing portfolio of internationally managed properties while reinforcing its long-term strategic collaboration with Radisson Hotel Group. The upcoming property represents the seventh operational partnership between the two organisations and is expected to be the first among several Park Inn & Suites developments planned across emerging Indian markets.

Located in one of Gujarat’s fastest-growing commercial hubs, the hotel will feature 55 contemporary rooms, an all-day dining restaurant, and modern banquet facilities spread across approximately 2,500 sq. ft., catering to business meetings, social gatherings, and events.

The property will operate as an exclusively vegetarian hotel, reflecting regional culinary preferences and evolving traveller expectations in the Gujarat market.

The opening is expected to significantly elevate Rajkot’s hospitality ecosystem by introducing globally benchmarked service standards to a city witnessing strong industrial, commercial, and infrastructure-driven growth. Rajkot continues to emerge as a key business centre in Gujarat with thriving engineering, automobile, manufacturing, and SME sectors, creating increasing demand for professionally managed branded hospitality offerings.

Speaking on the development, Vikram Singh Chauhan said, “The hospitality landscape in Rajkot continues to undergo significance in line with the long-term development of its diverse economy and potential. Introducing Rajkot’s first international branded hotel, along with NILE’s long-established presence in Gujarat and Radisson’s world-class distribution network, will put us in a great position to contribute to the ongoing growth and diversification of the city’s hospitality sector.”

He further added that the collaboration with Devdwarika LLP as promoters reinforces the company’s commitment towards offering premium accommodation experiences for both leisure and business travellers seeking globally recognised hospitality standards.

The project highlights the growing importance of emerging urban markets within India’s hospitality expansion story, with branded hotel operators increasingly targeting high-growth commercial cities beyond major metros.

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