◊ By Benefit Publishing Pvt Ltd

The Hospitality, F&B and Tourism Industry and sub-sectors seek government help and have issued an SOS to the Prime Minister of India to offer support to the sector to withstand the challenges posed by the current COVID – 19 crisis.

Rakesh Kumar, Chairman, India Exposition Mart Ltd, which has also hosted BIOFACH INDIA in the past, says the hospitality industry supports the travel, tourism, and F&B industry and contributes Rs 500,000 crores to the Indian economy, engaging a large number of people from the MSME sector.

The hospitality, F&B and tourism industry has been severely hit and is witnessing massive distress due to the lock down.

The hospitality industry has submitted a detailed representation to the Prime Minister of India, which includes the following:

– 6% interest subvention to the entire hospitality sub-sector.

– Moratorium on EMI payments for loans and working capital from financial institutions (banking & non-banking).

– Deferment of all statutory dues such as advance tax payments, PF, ESIC, customs duties at the central government level or at any state government level, the excise fees, taxes, bank guarantees and security deposits and deferment of all renewals, across the sub-sectors supporting tourism, travel, hospitality and F&B industry.

– Waiving of electricity and water charges for the next 6 months or charged on the basis of actual consumption (not as per load). 

– Wages compensation for employees.

– Speedy GST refund.

– Auto-renewal of 70+ licenses, which a hotel must acquire/renew for 2 years at no cost.

– Amendment in clauses relating to EPCG. 

– Waiver of bar license fee and reduction in excise duty linked to consumption.

– Offering a one-time, mobilisation fund/advance to manufacturing organisations from sub-sectors of hospitality that could re-tool and start producing to meet the demands of the healthcare sector for Covid-19.

Hari Dadoo, President, India International Hospitality Expo (IHE), says they have requested authorities to consider 50% wage compensation for the employees in the sector and also the limit of ESIC/PF compensation for employees earning Rs 15,000/- per month to be enhanced to Rs 30,000/- per month and these facilities should be available for both industrial units and commercial establishments.

Anil Malhotra, President, Hotel and Restaurant Equipment Manufacturers of India (HOTREMAI ) says the sector is witnessing a huge cash crunch and speedy refund of the pending GST will be of great help to everyone.

He further says that CGST/SGST should be released immediately and in case of an error, an ad-hoc payment of 75% should be released. The entire GST should be at the rational rate of 3% for the entire hospitality sector should be declared.

Amarjit Singh Ahuja, Founder & President, Purchasing Professional Forum of India (PPFI) says, “In this period of lockdown it is important that the government reduces excise duties and waives off the burden of renewing 70+ licenses, for the next 2 years.”

Rajat Pandhi, President, Association of Resource Companies for the Hospitality Industry of India (ARCHII) says, “Due to loss in revenues, almost all businesses from our sector (and allied sectors) are drying up their working capital and with the onus of salaries, EMIs, advance tax, PF, ESIC, GST, excise and licenses, this industry needs immediate support from the government to protect this employment generating sector.”

India Exposition Mart Limited (IEML), India’s largest Integrated Exhibition and Convention Centre, represents the interests of the Hospitality, F&B and Tourism Industry sub-sectors, such as manufacturing and trading of kitchen and bakery equipment, F&B ingredients, F&B processing, serveware, housekeeping supplies, furniture and fixtures, refrigeration and cooling (MSMEs) and service providers such as purchase and procurement professionals, catering, architects & consultants, event managers and venues through our its annual trade fair, IHE.