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By Hariharan U
Published on February 3, 2026
As expectations around Union Budget 2026 give way to industry analysis, voices from hospitality, food services, QSR and alco-beverage sectors are largely aligned on one message: talent development, destination-led tourism and access to long-term capital are welcome moves, but structural reforms remain a work in progress.
Pranav Rungta, Co-Founder & Director, Nksha Restaurant and Vice President, NRAI Mumbai, called the Budget a constructive step for hospitality while highlighting lingering gaps for restaurants.
"Budget 2026 is a positive step for India's hospitality sector. Announcements like the first-ever National Institute of Hospitality and structured skill development for tourist guides will strengthen service standards and prepare our workforce to meet growing domestic and international demand.At the same time, restaurants continue to face structural challenges such as GST on commercial leases, access to export incentives like SEIS and easier SME support. Addressing these challenges alongside rising tourism and dining demand is key to building a resilient, sustainable and globally competitive hospitality sector"
From the experience-led hospitality and brewing space, Teja Chekuri, Managing Partner – Ironhill, emphasised the Budget’s focus on people, destinations and capital as a meaningful combination.
"What stood out for me in today's Budget is the clear recognition that hospitality growth depends as much on people as it does on places. The focus on structured skill development programmes directly addresses one of the industry's most persistent challenges of finding and retaining trained talent across brewing, service, and operations.
Equally significant is the decision to develop the top 50 tourist destinations in a challenge mode, while bringing hotels in these locations under the harmonised master list. Easier access to long-term, lower-cost financing is a real unlock for hospitality and alcobev brands looking to expand responsibly.
For companies like ours, operating at the intersection of craft beer, dining, and experience-led hospitality, this creates the right conditions to scale with better talent on the floor, stronger destinations to grow into, and capital that supports quality, not shortcuts. If executed well, these measures can meaningfully elevate India's hospitality ecosystem and its global appeal."
Speaking from a food entrepreneurship lens, Pranavi Chekuri, FullStack Ventures & Co-Founder, Bhojanam, highlighted the Budget’s connection between agriculture, skills and hospitality retail.
"As a founder, building a hospitality retail brand rooted in traditional food and native grains, this Budget feels deeply personal. The government's focus on strengthening native crops from coconut, cashew, and cocoa to horticulture and region-specific produce, directly impacts farmers, and in turn, brands like ours that depend on resilient, local value chains. When farmers earn better and produce improves in quality and consistency, it elevates the entire food ecosystem.
Equally encouraging is the emphasis on upskilling across hospitality. Upgrading national institutions, strengthening apprenticeships, and targeted training programmes will help create a workforce that is more industry-ready and confident. For emerging brands, this is critical and not just for smoother operations, but for thoughtful expansion.
Taken together, these measures connect the soil to the storefront. They create opportunities to scale responsibly, generate jobs, and build food brands that are proudly Indian, sustainable by design, and globally relevant in ambition."
For emerging café and food brands, Meenakshi Kumarr, Chef & Founder of Anahata Cafe (Formerly Roots Cafe), pointed to inclusion, skilling and SME funding as strong signals.
"The Budget's focus on strengthening the hospitality and food & beverages ecosystem is a welcome step for emerging brands like Anahata Café. Upgrading the National Council for Hotel Management into a National Institute of Hospitality will help create a stronger talent pipeline by aligning academia with industry needs something the F&B sector has long required. The Divyangjan Kaushal Yojana is especially encouraging, as hospitality and food processing offer meaningful, task-oriented roles that can enable dignified and inclusive employment when supported by customised training. Additionally, the creation of a ₹10,000 crore SME Growth Fund, along with the Self-Reliant India Fund, will help to nurture SMEs. For women-led F&B and FMCG startups, access to equity capital and risk funding is critical to scaling operations and building resilient supply chains."
From the alco-beverage industry, Vidhatha Annamaneni, Co-Founder, Ironhill, viewed the Budget as a signal of gradual but inevitable competition.
"From the alcobev industry perspective, this Budget reinforces a reality the industry understands well that structural reform in alcohol will continue to be gradual, not dramatic. Keeping alcoholic liquor outside GST maintains the status quo, but the real signal lies elsewhere. The India–EU FTA and phased tariff reductions across spirits, wine, and beer point to a more competitive, globally aligned market over the next decade.
For Indian brands, this is both an opportunity and a wake-up call. Lower duties will raise the bar on quality, consistency, and brand-building, especially as premiumisation accelerates. The proposed reduction in TCS on alcohol sellers is also a practical relief, easing working capital pressures across the value chain.
What the industry needs next is predictability with rationalised customs structures and faster resolution of legacy disputes. As India's alcobev market scales toward ₹5.3 lakh crore, the winners will be brands that think long-term, invest in craft and compliance, and compete confidently on a global stage, not a protected one."
Looking at quick-service restaurants and mass expansion, Aayush Madhusudan Agrawal, Founder and Director, Lenexis Foodworks, highlighted the importance of infrastructure and tiered growth.
“The Union Budget 2026 reflects a strong commitment to sustainable growth, infrastructure-led development, and ease of doing business. For the QSR industry, the focus on Tier 2 and Tier 3 cities, logistics efficiency, and skilling creates a powerful foundation for the next phase of expansion. At Lenexis Foodworks, we see this as an opportunity to deepen our presence, strengthen our supply chains, and deliver greater value to consumers across India.”
Collectively, the responses reflect cautious optimism across hospitality and allied sectors. While skill development, tourism infrastructure and financing reforms are widely welcomed, industry leaders agree that GST rationalisation, regulatory clarity and predictable policy frameworks will be critical to sustaining long-term growth.
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By Manu Vardhan Kannan
Published on May 15, 2026
The Indian Hotels Company Limited (IHCL) has announced its consolidated financial results for the fourth quarter and full year ending March 31st, 2026, achieving its sixteenth consecutive quarter of record performance.
For the full financial year FY2025-26, IHCL reported revenue of INR 9,971 crores, reflecting a 16% year-on-year growth. The company recorded EBITDA of INR 3,477 crores and delivered its highest-ever Profit After Tax (PAT) of INR 2,084 crores.
For Q4 FY2026, IHCL posted consolidated revenue of INR 2,845 crores, marking a 14% increase over the previous year. EBITDA stood at INR 1,052 crores with an EBITDA margin of 37%, despite challenges arising from the West Asia conflict.
Commenting on the performance, Puneet Chhatwal, Managing Director & CEO, IHCL, said, “Q4 FY2026 marks sixteenth consecutive quarter of record performance with a Consolidated revenue of INR 2,845 crores, a 14% growth over the previous year, EBITDA of INR 1,052 crores and an EBITDA margin of 37%, notwithstanding the impact of West Asia conflict. For FY2026, the company delivered on its guidance of double-digit revenue growth despite macro-headwinds with revenue of INR 9,971 crores, a growth of 16% leading to an all-time high EBITDA of INR 3,477 crores, EBITDA margin of 34.9% resulting in the best ever PAT of INR 2,084 crores.”
He further added, “IHCL, led by its multi-brand presence across segments coupled with a balanced growth strategy focused on capital light with select investments has delivered consistent performance over sixteen quarters.”
During FY2026, IHCL introduced three new brands, increasing its portfolio of major brands to fourteen. The company also achieved a milestone of 250 hotel signings, taking its overall portfolio to 630 hotels with a pipeline of 255 hotels.
The company further expanded through both inorganic and organic growth, opening or onboarding over 130 hotels across segments. Its expansion strategy strengthened its position in luxury, experiential leisure, and mid-scale hospitality markets.
IHCL also maintained a strong financial position with a gross cash balance of INR 4,345 crores as of March 31st, 2026. The company has proposed a dividend of 25% of Consolidated PAT before exceptional items, including a special dividend to mark IHCL’s 125th Annual General Meeting.
According to the company, FY2026 focused on building a resilient, scalable, and future-ready hospitality ecosystem while continuing long-term growth plans.
By Shreenidhi Jagannathan
Published on May 14, 2026
The rising geopolitical tensions around the Strait of Hormuz are beginning to raise concerns across India’s hospitality and tourism ecosystem, with industry experts warning that prolonged instability could significantly impact hotel operations, aviation, restaurant businesses, logistics, and consumer spending.
The Strait of Hormuz remains one of the world’s most critical oil transit routes, handling a major share of global crude oil and LNG movement. India, which imports a substantial portion of its energy requirements from Gulf nations, remains highly vulnerable to disruptions in the region.
Industry observers believe that if tensions escalate further, the hospitality sector could witness a chain reaction beginning with rising fuel prices and extending into tourism demand, food inflation, logistics, and hotel operational expenses.
One of the earliest impacts is expected to be on aviation turbine fuel (ATF) prices, which could result in higher airfares across domestic and international routes.
Hospitality stakeholders say this may directly affect:
Hotels dependent on fly-in tourism may witness softer occupancies if airfare costs continue rising.
Hotels are energy-intensive businesses operating round-the-clock. Rising crude oil prices could increase:
Luxury hotels and large-format resorts with extensive infrastructure may face higher operational pressure if fuel prices remain elevated over an extended period.
Restaurant operators and hotel kitchens are also monitoring the situation closely due to possible increases in commercial LPG prices and freight charges.
Industry experts warn that disruptions in marine logistics and shipping routes could affect:
This may eventually lead to menu price increases and pressure on restaurant profit margins.
Rising fuel costs often trigger broader inflationary trends, affecting household spending patterns.
Hospitality businesses fear that consumers may begin reducing discretionary spending on:
Corporate travel and event budgets may also witness moderation if economic uncertainty increases.
The impact could extend beyond operations into hospitality real estate and development.
Hotel developers may face:
This could affect project timelines and future hospitality investments across India.
Hospitality companies are now expected to strengthen:
Several hospitality leaders also believe domestic tourism promotion may become increasingly important if international travel demand slows.
The Hormuz crisis serves as a reminder that global geopolitical developments can rapidly influence India’s hospitality economy.
From airlines and hotels to restaurants, tourism operators, vendors, and developers, the entire ecosystem remains interconnected with fuel prices, logistics, aviation, and international trade.
While the industry is not facing an immediate disruption, continued instability around the Strait of Hormuz could create sustained cost pressures and operational challenges for hospitality businesses across India.
Published on May 9, 2026
This Mother’s Day, Le Méridien Ahmedabad is bringing families together through a heartfelt culinary celebration titled “From Our Mothers’ Kitchens to Your Table.” Inspired by treasured family recipes, childhood memories, and cooking traditions passed down over generations, the experience pays tribute to the women who shaped the chefs’ earliest connections with food.
Hosted at The Market, the specially curated menu draws inspiration from the chefs’ own homes and personal stories. The spread blends comforting regional flavours with refined presentation, creating a dining experience that feels both nostalgic and elevated.
Guests can savour dishes from across India, including Panchphoran Dal and Begun Bhaja from Bengal, Kerala-style Kalappam with stew, festive Puran Poli, and flavourful Hyderabadi biryani. Each dish reflects the warmth and authenticity of home-style cooking while celebrating the diversity of Indian cuisine.
Set within an elegant yet relaxed ambience, the celebration is designed to feel immersive, comforting, and leisurely. Adding to the experience, curated wellness rituals at Explore Spa by Le Méridien offer guests a peaceful moment of rest and rejuvenation during the occasion.
To make the celebration even more special, mothers will dine complimentary with a minimum of two additional guests, adding an extra touch of indulgence to the Mother’s Day gathering.
Date: 10th May 2026.
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