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.


PAUL Opens 15th India Outlet at World St., Worldmark Aerocity

PAUL Opens 15th India Outlet at World St., Worldmark Aerocity

By Hariharan U

Published on August 17, 2026

French café brand PAUL has opened its newest outlet at World St. at 4 Worldmark, Aerocity, marking its 15th outlet in India and sixth in Delhi NCR.

Located within Worldmark, the new outlet strengthens PAUL's presence in the capital while placing the brand in one of Delhi's prominent business and lifestyle destinations, close to the airport.

With the latest opening, PAUL continues to expand its India footprint across Delhi NCR, Mumbai, Pune, Bengaluru and Hyderabad.

Known globally for its artisanal breads, viennoiseries, pâtisserie and French café culture, PAUL's new Aerocity outlet has been designed to reflect the character of a Parisian street-side café. The space is positioned as an all-day destination for breakfasts, coffee breaks, weekend brunches and corporate meetings.

The menu features several of PAUL's French favourites, including croque monsieur, quiche Lorraine, savoury crêpes and canelés, alongside its range of artisan breads, viennoiseries, tarts and pastries.

The offering also extends to European-inspired dishes such as Napoletana pizzas, tartines, handmade pastas, risottos, fresh salads, wholesome bowls and gourmet sandwiches.

According to PAUL, its dishes are prepared using ingredients sourced from trusted local and international partners. The brand's clean-label approach also means its offerings are made without palm oil, artificial colours and additives.

Commenting on the opening, Vaibhav Kaushish, Chief Operating Officer, PAUL India, said the new outlet marks an important milestone in the company's continued expansion. He added that the brand remains focused on its “Eat Well Live Well” philosophy and bringing French culinary experiences closer to Indian consumers.

SK Sayal, MD & CEO, Bharti Real Estate, said PAUL's arrival adds a distinctive French culinary offering to World St.'s growing food and beverage mix. He noted that the brand complements the destination's vision of creating a vibrant social space where visitors can dine, unwind and connect.

Positioned as “The Social Spine of Worldmark,” World St. is being developed as a walkable F&B and lifestyle destination within the larger Worldmark business district, further strengthening Aerocity's appeal as a dining and social hub.


CGH Earth Expands into Eastern Himalayas with New Properties in Kurseong and Kalimpong

CGH Earth Expands into Eastern Himalayas with New Properties in Kurseong and Kalimpong

By Hariharan U

Published on August 16, 2026

CGH Earth is expanding beyond its traditional Southern India footprint with a foray into the Eastern Himalayas, marking a new chapter for the hospitality group after more than four decades of creating place-led experiences.

The expansion begins with The Singell Tea Estate in Kurseong, West Bengal, while CGH Earth is also preparing to strengthen its presence in the region with an upcoming property in Kalimpong.

The move represents the group's first major expansion beyond Southern India and reflects its approach of developing hospitality experiences closely connected to the ecology, culture, heritage and communities of each destination.

A Living Tea Estate Experience in Kurseong

Located amid the mist-covered mountains of Kurseong, The Singell Tea Estate is set within the historic Singell Tea Estate, established in 1871.

The property offers guests an opportunity to experience the heritage of tea cultivation alongside the natural landscapes and mountain traditions of the Eastern Himalayas.

Experiences at the estate include plantation walks, tea factory tours, village trails, riverside picnics, tea tastings and storytelling sessions, allowing visitors to engage with the landscape and local culture beyond conventional sightseeing.

The region is also known for its rich birdlife, making the property a potential base for nature and birding experiences featuring Himalayan species including rufous-necked hornbills, broadbills, warblers and cuckoos.

Commenting on the expansion, Michael Dominic, CEO & MD, CGH Earth Experience Hotels, said the group's entry into the Eastern Himalayas is a natural evolution of its philosophy of connecting travel with the spirit of a destination.

He highlighted the region's ecological diversity, cultural richness and heritage as opportunities to create immersive hospitality experiences rooted in the landscape.

Local Food and Heritage

The culinary experience at Singell draws from the food traditions of the Darjeeling hills, with ingredients sourced from the estate, village gardens and local haat bazaars.

Seasonal and indigenous ingredients such as gundruk, kinema, Himalayan nettles, silam and buckwheat feature in the cuisine, with traditional techniques including foraging, fermentation, smoking and slow cooking.

The resulting food experience focuses on local, seasonal and traditional preparations that reflect the region's landscape and communities.

The property features 11 rooms spread across a restored heritage bungalow and a contemporary wing, combining elements of colonial-era architecture with modern comforts.

Next Stop: Kalimpong

Following the Kurseong expansion, CGH Earth is preparing to unveil its upcoming property in Kalimpong.

Known for its colonial heritage, monasteries, cultural traditions and Himalayan views, Kalimpong offers another setting for the group to develop an experiential hospitality concept connected to its surroundings.

According to CGH Earth, its expansion across the Eastern Himalayas will continue to be guided by its focus on conservation, cultural heritage and community partnerships, with the aim of creating experiences that are both locally rooted and responsible.

The move into Kurseong and Kalimpong expands CGH Earth's geographic footprint while extending its long-standing approach to experiential hospitality into a new region.


Courtyard by Marriott Pune Chakan Marks 13 Years with Dining and Stay Offers

Courtyard by Marriott Pune Chakan Marks 13 Years with Dining and Stay Offers

By Manu Vardhan Kannan

Published on August 16, 2026

Courtyard by Marriott Pune Chakan is celebrating 13 years of operations in the city with a month-long series of dining, stay and promotional offers throughout August.

As part of the anniversary celebrations, the hotel has introduced a special buffet lunch for groups of 10 or more, priced at ₹999 per person, exclusive of taxes. Available from Monday to Friday through 31 August, the offer is designed for corporate teams, family gatherings and larger groups. Prior reservation is required.

Guests looking to make their anniversary visit longer can also choose the hotel's special stay package. The package includes a one-night stay with a welcome amenity on arrival, buffet breakfast and dinner at MoMo Café, a one-plus-one cocktail during happy hours, a 13 percent discount on the food and beverage bill, one lucky draw entry per stay, along with early check-in or late check-out, subject to availability.

The anniversary campaign will receive additional attention from 17 August to 23 August, with campaign activity and promotional content highlighting the hotel's anniversary offers and dining experiences. Adding to the celebrations, MoMo Café will host a food festival featuring 13 specialty cuisines. Two cuisines will be showcased at a time across the celebration period, giving guests an opportunity to explore a variety of flavours during the anniversary month.

There is also something extra for guests opting for packed boxes from MoMo Café. Every set of 10 boxes will include one dine-in voucher, giving guests a chance to win while enjoying the café's offerings.

The anniversary month brings together food, stays and guest-focused offers, giving guests different ways to be part of Courtyard by Marriott Pune Chakan's 13-year journey.

About Courtyard by Marriott Pune Chakan

Courtyard by Marriott Pune Chakan is part of the Courtyard by Marriott brand and offers accommodation and dining experiences in the Chakan area of Pune. The property also features its in-house restaurant, MoMo Café.

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