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By Manu Vardhan Kannan
Published on February 5, 2025
The Union Budget 2025 has set the stage for significant advancements in India's hospitality and tourism sectors. Industry leaders have expressed optimism about the budget’s strategic focus on tourism infrastructure, enhanced connectivity, and skill development initiatives that are expected to elevate India's global standing as a prime travel destination.
Mr. Sarbendra Sarkar, Founder & MD of Cygnett Hotels and Resorts, welcomed the government’s emphasis on tourism, particularly the development of 50 key destinations under challenge mode. He highlighted how initiatives such as streamlined e-visas and visa-free access for select tourist groups will boost international footfall. He also appreciated the inclusion of new hotels in these destinations in the Infrastructure Harmonized List (HML), allowing hospitality investors to access infrastructure lending under more favorable terms.
“The move to include new hotels in the HML will provide easier access to larger funds through External Commercial Borrowings (ECBs), enabling greater expansion and modernization in the hospitality sector,” said Mr. Sarkar.
Additionally, he noted the positive impact of the government's modified UDAN scheme, which aims to strengthen connectivity to 120 new destinations, particularly focusing on the northeastern region’s helipad development. The enhanced connectivity will unlock untapped tourism potential, further promoting India’s cultural and historical sites.
Echoing similar sentiments, Mr. K Syama Raju, President of the Federation of Hotel & Restaurant Associations of India (FHRAI), emphasized the budget’s role in developing top tourism destinations in partnership with state governments. He lauded the decision to grant Infrastructure Status to hotels in these areas, which will facilitate long-term, cost-effective financing and improve hospitality standards.
“The inclusion of hotels in the harmonious master list aligns with our long-standing request for Infrastructure Status, allowing access to lower-cost funding for hospitality expansion,” said Mr. Raju.
Another major highlight was the focus on medical and wellness tourism through the 'Heal-in-India' initiative. With India already being a global leader in affordable, high-quality medical treatments, this initiative is set to attract more international patients, strengthening the country’s healthcare tourism sector.
The government’s focus on religious tourism was also well received. Enhancing infrastructure at key pilgrimage sites is expected to create more organized and accessible travel experiences for both domestic and international visitors. Additionally, the visa fee waivers and simplified e-visa options will further support inbound tourism growth.
Innovation and entrepreneurship were also key focus areas in the budget, receiving praise from Mr. Sanandan Sudhir, Founder and CEO of On2Cook. He highlighted the government’s Rs 20,000 crore allocation to promote innovation and the introduction of a fund of funds for next-generation entrepreneurs as pivotal measures for fostering global capabilities in India.
“We appreciate the introduction of the National Framework for promoting innovation in tier 2 cities and the proposal for Centres of Excellence in AI for Education. These initiatives, coupled with the Bharat Trade Net platform to enhance international trade, will play a crucial role in positioning India as a global innovation hub,” said Mr. Sudhir.
However, he also urged the government to reconsider the current tax regime and introduce lower GST rates for sustainable, globally patented products. He further suggested subsidizing international certification costs to ease export market entry for startups.
Overall, the Union Budget 2025 has been met with enthusiasm from the hospitality and innovation sectors. With targeted infrastructure investments, enhanced connectivity, and policy support for tourism and entrepreneurship, industry leaders believe these measures will position India as a premier global destination for travelers, businesses, and investors alike.
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Published on June 16, 2026
India’s largest hospitality company, IHCL, has announced the opening of Ayodhyām, Ayodhya – IHCL SeleQtions, strengthening its presence in one of India’s most significant spiritual destinations.
As spiritual tourism continues to grow across the country, Ayodhya has emerged as a key destination attracting pilgrims and leisure travellers alike. The newly opened hotel is designed to offer guests an experience that reflects the city’s cultural and spiritual essence while meeting the expectations of modern travellers.
Commenting on the opening, Deepika Rao, Executive Vice President – New Businesses & Hotel Openings, IHCL, said, “Spiritual tourism in India continues to see strong momentum, with Ayodhya being among the country’s most revered destinations. Ayodhyām, Ayodhya – IHCL SeleQtions is positioned to meet this demand, offering a stay experience that reflects the city’s spiritual significance while catering to the evolving expectations of today’s traveller.”
The 162-key property draws inspiration from Ayodhya’s rich heritage and spiritual character. Featuring spacious and naturally lit interiors, the hotel offers a peaceful atmosphere within a contemporary setting.
Guests can dine at Divyam, the hotel's signature restaurant, which showcases a thoughtfully curated menu inspired by regional culinary traditions. The dining experience focuses on authentic flavours and local ingredients, reflecting the gastronomic heritage of the region.
The hotel also features a fitness centre, an outdoor swimming pool, and versatile event spaces suited for weddings, conferences, and social gatherings.
Expressing her views on the partnership, Shilpa Shorewala, Owner, said, “We are pleased to partner with IHCL and bring Ayodhyām, Ayodhya – IHCL SeleQtions to life with an experience that reflects the city’s deep spiritual character.”
Brij Rajpali, General Manager, Ayodhyām, Ayodhya – IHCL SeleQtions, added, “Ayodhyām has been designed to offer a stay that is calm and closely connected to its surroundings. We look forward to welcoming guests to this spiritual abode.”
The hotel also offers a range of curated experiences inspired by Ayodhya’s living traditions. These include morning aartis, storytelling sessions led by kathavachaks, sattvic dining experiences, guided spiritual trails, and visits to the sacred Sarayu river, allowing guests to engage more deeply with the destination’s cultural and spiritual heritage.
Published on June 15, 2026
The Food Safety and Standards Authority of India (FSSAI) has asked states and Union Territories to expedite the recruitment of key food safety personnel and strengthen enforcement activities to ensure safer food for consumers across the country.
The directive was issued by FSSAI CEO Rajit Punhani during the 50th meeting of the Central Advisory Committee (CAC) held in Shimla. He urged states and UTs to fill existing vacancies for Food Safety Officers (FSOs) and Designated Officers (DOs) at the earliest to improve regulatory capacity and enhance food safety enforcement at the ground level.
Highlighting the importance of effective enforcement, Punhani stressed that strong regulatory action remains essential for safeguarding consumer health. He also directed states and UTs to increase food sampling, strengthen surveillance activities, and scale up enforcement efforts across their respective jurisdictions.
In addition to enforcement, the CEO called for greater public awareness initiatives and stronger outreach programmes to improve food safety awareness among consumers and stakeholders.
During the meeting, the committee reviewed the performance of states and UTs across several key parameters, including recruitment progress, functioning of state and district advisory committees, food safety inspections, surveillance sampling, regulatory reporting, and timely resolution of consumer complaints. States and UTs were advised to address gaps identified during the review and work towards achieving prescribed targets within stipulated timelines.
The committee also discussed ways to improve food recall systems through the recently operationalised Food Recall Module available on FoSCoS. States and UTs were encouraged to sensitise Food Business Operators (FBOs) about timely reporting of recalls and ensure proper implementation of recall procedures for unsafe food products.
Other important topics included reducing pendency in licensing and registration applications, improving regulatory compliance among food businesses, and strengthening the implementation of labelling requirements for nutraceuticals and health supplements.
The meeting further examined measures to address misleading claims in food advertisements and promote the adoption of sustainable packaging practices within the food sector.
Through these initiatives, FSSAI aims to strengthen food safety governance, improve compliance levels, and ensure greater consumer protection across India's food ecosystem.
Air India is reassessing its growth plans after Tata Group reportedly instructed the airline to focus on reducing losses and improving operational stability. The move marks a shift from the carrier's aggressive expansion strategy that had been underway since Tata Group took ownership of the airline in 2022.
According to people familiar with the matter, Air India is exploring several cost-control measures, including discussions with Airbus and Boeing to defer deliveries of aircraft from its large order book. Delaying aircraft deliveries could help the airline postpone substantial payments that are typically due when planes are handed over.
The airline is also reviewing its plans to launch services on new domestic and international routes. Expansion at certain airports, including the upcoming Noida International Airport, may be delayed as part of the broader strategy to manage costs and improve financial performance.
The change in approach comes after a challenging period for the airline. A fatal crash last year, airspace restrictions following Pakistan's closure of its airspace to Indian carriers, and disruptions linked to the conflict in Iran have all added pressure on operations. These developments have resulted in longer flight routes, higher fuel expenses, and increased operating costs.
Air India has also faced challenges from the weak Indian rupee, which has increased expenses as a significant portion of airline costs are denominated in US dollars.
The airline's financial performance remains a concern. Sources indicate that Air India has accumulated losses of more than ₹55,000 crore since 2022, while annual losses have reportedly reached around $3 billion (approximately ₹28,500 crore). The issue has become a key area of focus for the board of Tata Trusts, which controls Tata Sons, the majority owner of Air India.
Despite these challenges, Air India has continued to pursue one of the largest fleet modernisation programmes in the aviation industry. Between 2023 and 2025, the airline placed orders for around 600 aircraft from Airbus and Boeing as part of its long-term growth strategy. Most of these aircraft are expected to be delivered during 2027 and 2028.
Responding to reports, an Air India spokesperson described the claims as highly speculative and stated that the airline remains committed to fleet modernisation and its long-term transformation programme. Tata Group and Airbus did not comment on the matter, while Boeing declined to provide a statement.
The airline currently operates both the full-service Air India brand and low-cost carrier Air India Express. While passenger demand and revenues have benefited from India's growing economy and rising travel demand, the airline continues to face the challenge of balancing expansion with financial sustainability.
Singapore Airlines, which acquired a 25.1% stake in Air India in 2024, remains a strategic partner as the airline continues its transformation journey.
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