FHRAI Share Their Take on How Viable It Is for Indian Entrepreneurs/Brands to Venture Outside the Country and Make a Name for Themselves Globally
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magazine Vol 19, Issue 2, February 2019 Pages 52 `50 A MONTHLY ON HOSPITALITY TRADE By DDP Publications Meri wali CHAI Paving the way through FAKE REVIEWS Interim BUDGET DISAPPOINTS INTERNATIONAL FORAY FOR INDIAN BRANDS FEBRUARY 2019 ANALYSIS 22 INTERNATIONAL FORAY FOR INDIAN BRANDS EC members of FHRAI share their take on how viable it is for Indian entrepreneurs/brands to venture outside the country and make a name for themselves globally. Cover Picture Mayfair Darjeeling 22 ANALYSIS 11 FHRAI DESK CONTENTS THIS MONTH SECRETARY’S MESSAGE 08 FHRAI DESK 11 NEWS 20 PRODUCTS & SERVICES 42 EVENTS 44 APPOINTMENTS 46 FEATURES FHRAI DESK 11 MRP ISSUE NOT IN PURVIEW OF METROLOGY DEPT It is upheld in Court that any transaction in a hotel/restaurant, whether sale or service, is beyond the purview of the 20 NEWS Legal Metrology dept. We bring you more SECRETARY GENERAL MARKETING & SALES - DELHI SOUTH Rahul Lall - [email protected] Mayank Jain - [email protected] Shradha Kapoor - [email protected] 54 Senior Manager Advertising (+919650399928) Assistant Manager (+918179792492) PUBLISHER Devika Jeet - [email protected] Gaganpreet Kaur - [email protected] PRODUCTION MANAGER Marketing Manager (+919650399934) MANAGING EDITOR Anil Kharbanda Peden Doma Bhutia - [email protected] MUMBAI ADVERTISEMENT DESIGNERS Harshal Ashar - [email protected] ASSOCIATE EDITOR Vikas Mandotia General Manager (+919619499167) Kanchan Nath - [email protected] Nitin Kumar ASSISTANT EDITOR Priyanshu Wankhade - [email protected] Tripti Mehta - [email protected] Manager Advertising (+919619499170) CREATIVE DESIGN Raashi Ajmani Girdhar 6 February 2019 I fhraimagazine I www.fhrai.com I FEATURES INTERVIEW 16 TAKING INCREDIBLE INDIA TO NEWER HEIGHTS In an exclusive interview Yogendra Tripathi, Secretary, Ministry of Tourism, Government of India shares plans 16 INTERVIEW OPINION 18 INTERIM BUDGET FORGETS HOSPITALITY & TRAVEL AGAIN... Regional presidents of FHRAI share their viewpoints on the interim Union Budget GUEST COLUMN 28 PAVING THE WAY THROUGH FAKE REVIEWS Nikhil Ganju, Country Manager, TripAdvisor India shares tips on how to maintain a positive reputation online F&B 32 MERI WALI CHAI In an interview, Raghav Verma, 32 F&B Co-founder, Chaayos tells us more about the ‘chai adda GUEST COLUMN 34 EATING OUT, EATING RIGHT Restaurants can play a vital role in providing healthier meals, our guest columnist Dr Shikha Sharma, Managing Director, Dr Shikha's Nutrihealth, shares tips for owners to stay on the top of their business in terms of nutrition 34 GUEST COLUMN 42 PRODUCTS & SERVICES FHRAI All information in the FHRAI Magazine is derived from The same rule applies when there is a copyright or the article B-82, 8th Floor, Himalaya House sources, which we consider reliable and a sincere effort is is taken from another publication. An exemption is hereby Kasturba Gandhi Marg, New Delhi 110001 made to report accurate information. It is passed on to our granted for the extracts used for the purpose of fair review, Tel: 91-11-40780780, Fax: +91-11-40780777 readers without any responsibility on our part. The publisher provided two copies of the same publication are sent to us for Email: [email protected] regrets that he cannot accept liability for errors and omissions our records. Publications reproducing material either in part contained in this publication, however caused. Similarly, or in whole, without permission could face legal action. The FHRAI Magazine is printed, published and edited opinions/views expressed by third parties in abstract and/or publisher assumes no responsibility for returning any material by Devika Jeet on behalf of Federation of Hotel and in interviews are not necessarily shared by FHRAI Magazine solicited or unsolicited nor is he responsible for material lost Restaurant Association of India and printed at Modest or DDP. However, we wish to advice our readers that one or or damaged. Print Pack Pvt. Ltd., C-52, DDA Sheds, Okhla Industrial more recognised authorities may hold different views than Area, Phase - I, New Delhi - 110020 and published at those reported. Material used in this publication is intended This publication is not meant to be an endorsement of any Durga Das Publications Pvt. Ltd. 72, Todarmal Road, for information purpose only. Readers are advised to seek specific product or services offered. New Delhi - 110 001 specific advice before acting on information contained in this The publisher reserves the right to refuse, withdraw, amend or Editor: Devika Jeet publication which is provided for general use, and may not be otherwise deal with all advertisements without explanation. All appropriate for the readers’ particular circumstances. advertisements must comply with the Indian and International Email: [email protected] Contents of this publication are copyright. Advertisements Code. The publisher will not be liable for any Tel: +919818767141 No part of FHRAI Magazine or any part of the contents thereof damage or loss caused by delayed publication, error or failure may be reproduced, stored in retrieval system or transmitted in of an advertisement to appear. This issue of FHRAI Magazine contains 48+4 pages cover any form without the permission of the publication in writing. SECRETARY’S MESSAGE Dilip Datwani Dear fellow members, Hony. Secretary would like to take this opportunity to accommodation for rooms up to `7,500 to FHRAI wish all our fraternity members a very 12 per cent. Strengthening of our related Ihappy new year and hope the year started sectors like transportation, aviation and on a good note considering these months are entertainment will also lead to very crucial for the hospitality business. growth and development of our sector. We look forward to reforms from the The announcement of the interim budget government to make tourism and hospitality has been disappointing for us as an in India more competitive. industry, as we feel neglected by the government yet again. The connectivity in India can be improved in the Top 50 tourist destinations in India, to India ranks 3rd in WTTC Travel & Tourism prevent losing MICE business to neighboring Power and Performance ranking. The nations. We look forward to budget spends industry’s total contribution to GDP stood at allocated to PR and social media push to $ 230 bn in FY 2017-2018 accounting for 9.4 create a positive image about the country and per cent and is expected to further grow to $ tackle negative news about safety in India. 424 bn by 2027. (Invest India). Lastly, Input Tax Credit(ITC) should also be We are also a major contributor of jobs in the provided to the restaurant industry and the country, with a contribution of 9.3 per cent of option should be given as was in the case the country’s total jobs as of FY2017-2018. of service tax, opting for the composition The growth stated will only be possible with scheme without input credit, as a lot of the support and incentives provided by the new businesses will be created and this will government for the sector. encourage young and innovative minds to create new and exciting products. Considering we are such a major contributor to our country’s economy we expected the We are always in constant touch with the new interim budget and GST regime to concerned authorities and look forward be made more favorable for us, but the to their positive support for the growth reality is a different story. of our Industry. We are hoping the government incentivises Our battle still continues with the Online investment in the development of luxury Travel Aggregators (OTAs) as they are bent on projects and provide a longer tax holiday dividing our hoteliers, my earnest request to for new hotels and resorts, which will my fraternity friends is to stay united, you will attract more investment. benefi t in the longer run. The government should Also, the tax slabs for hotels need to be boost the budget hotels reduced from the proposed 28 per cent and by bringing down the GST 18 per cent in the new GST regime. The With kind regards, for rooms up to `7,500 government should rationalise the GST for the to 12 per cent luxury segment and try to boost the budget Dilip Datwani hotels by bringing down the GST on room Honorary Secretary, FHRAI 8 February 2019 I fhraimagazine I www.fhrai.com I FHRAIXXXXXXX DESK MRP ISSUE not in purview of METROLOGY dept In a landmark judgment of Bombay High Court on MRP issue, it is upheld by the High Court that any transaction in a hotel/restaurant, whether sale or by way of service, is beyond the purview of the Legal Metrology department. n a landmark judgment of Bombay High Court on drinks takes place in hotels and restaurant, there MRP issue in Writ Petition No.2548 of 2017. It is is really one indivisible contract of service coupled Iupheld in court that any transaction in a hotel/ incidentally with sale of food and drinks. The restaurant, whether sale or by way of service, is composite indivisible agreement for supply of beyond the purview of the Legal Metrology dept and services of food and drinks would not come within further that law laid down by the Supreme Court in the purview of either enactment. FHRAI Vs Union of India, applies to all transactions/ sales in a hotel/restaurant whether by way of over In the light of afore stated principles, the provisions the counter sale or service. of the Legal Metrology Act and the Rules framed thereunder would not apply so as to interdict the BACKGROUND sale of beverages in a hotel and restaurant at prices Pradeep Shetty The Controller of Weights and Measures was seeking which are above the MRP. The Apex Court has held Jt Hon Secy to proceed against the hotels and restaurants of that the Metrology Dept had no jurisdiction to FHRAI Association for charging a price higher than the regulate the service of food and beverage or to take printed Maximum Retail Price (MRP) for supply of action against the petitioner/restaurant for alleged packaged water bottles during services provided to contravention of the provisions of their customers in hotels and restaurants.