MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India

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MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
MYSTIC EAST
...an unexplored horizon        A bi-monthly magazine by HRAEI | Vol 6 | Issue 2 | July - August 2020

    STRATEGY
         FOR
       REVIVAL
    HOW TO SURVIVE AND THRIVE
         IN THE PANDEMIC
MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
Manufacturer of premium quality Hakka noodles (Chow), Pasta, Vermicelli and 3D Papad (Pellets).
      Currently available across Eastern India (General trade) & Modern trade (Pan India).

                                           For Trade Enquiries:
                 Emery Foods Pvt. Ltd., Vill.: Bansai, P.O.: Kanaipur, Dist.: Hooghly 712234
                        Contact Person: Alok Kumar Ginodia, Mob: 9903670707
                               Email: ishaanginodia@emeryfoods.com
MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
DIRECTOR'S NOTE

       RRecently in a webinar, Union Minister Mr
        Nitin Gadkari said that the government is
        considering an INR 20,000 crores fund to
        support restructuring of NPAs under the cur-
        rent policy. The Minister for Road Transport,
                                                              We should follow Winston
                                                            Churchill’s famous quote: never
                                                                 waste a good crisis.

                                                            Minister informed that the government has
                                                            announced various schemes to help the
                                                            MSME sector to overcome the working cap-
                                                            ital constraints in the wake of the Covid-19
                                                            pandemic. He said that the INR 3 lakh
        Highways, and MSME asked the hospitality            crores MSME fund is aimed at enhancing
        industry to look at setting up an NBFC to           the liquidity in the market which is critical
        take care of the capital requirements of the        to drive demand and supply. He said that
        industry. He said that as many hotels earn          the government is giving guarantee for
        revenues in dollars, it becomes easy for such       collateral free 20% additional working cap-
        NBFCs to access foreign funds at much lower         ital assistance and there should not be any
        interest rates. This will help the hotel industry   hesitation on the part of the banks to help
        to access loans at less than 3% interest com-       the businesses. Similarly, he said that the
        pared to over 10% interest being charged by         government will soon release INR 20,000
        the Indian banking system.                          crores fund to support the restructuring of
          This is a brilliant suggestion by the             NPA under the present policy. I think our
        Minister which can go a long way to help            members should take this opportunity fol-
        hotels and restaurants revive their fortunes        lowing Winston Churchill’s famous quote:
        after the pandemic. In addition to this, the        never waste a good crisis.

                                               Mr Sudesh Poddar
                                                  President, HRAEI

                                                                                                     MYSTIC EAST | 3
MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
EDITOR’S MESSAGE

                                          Hotel food and beverage (F&B) operations
                                          are among some of the most-affected
                                                                                                              MYSTIC EAST
                                                                                                              A BI-MONTHLY MAGAZINE BY HRAEI
                                          industries by Covid-19. As a result of the
                                                                                                              Vol 6 | Issue 2 | July - August 2020
                                          coronavirus, hotels all over the world have
                                          changed their catering options to allow for
                                                                                                              EDITORIAL BOARD
                                          drive-through, curbside pick-up, take-out                           SUDESH PODDAR
                                          and delivery. Occupancy rates have fallen                           PRESIDENT, HRAEI
                                          drastically because of the high risk of travel                      MOHAMMED AZHAR
                                                                                                              HONOURARY SECRETARY
                                          and the need for social distancing. People
                                                                                                              GOPAL DAS AGARWAL
                                          are also doing more of their own cooking.                           VICE PRESIDENT
                                          If this trend continues, it could have major                        S. H. RAHMAN
                                          repercussions for the dining-out industry.                          MANAGING COMMITTEE MEMBER
                                             Since nothing inspires innovation as well                        EDITOR
                                                                                                              ATIKRAM GUPTA
                                          as necessity, hotels globally have pivoted to
                                                                                                              EDITORIAL CONSULTANT
                                          embrace new ways of providing service for                           SUSMIT BARMAN
                                          guests. These include contactless methods of                        CHIEF DESIGNER
                                          booking and payment, ordering meals ahead                           SOMU DUTTA

                                          of arrival, outdoor dining spaces and so on.                        ‘Mystic East’ magazine is printed
                                          To offer "At Home" experiences of a bar, The-                       and published by Atikram Gupta on behalf of Hotel and
                                                                                                              Restaurant Association of Eastern India.
                                          odore's family-run snack bar in Melbourne,
                                                                                                              Printed at CDC Printers Private Limited, No.45, Radha Nath
                                          Australia, has restyled itself as Ted's Grocer                      Chowdhury Road, Tangra Industrial Estate-II, Kolkata, West
                                          and Bottle-Shop, selling snacks, take-home                          Bengal 700 015
                                          meals, hand-made cocktails and platters.                            Hotel and Restaurant Association of Eastern India, 18A/1,
                                          Elsewhere, some venues are maximizing                               Everest , 18th Floor, 46C,
                                          their use of self-service through technology                        Chowringhee Road, Kolkata- 700 071;
                                                                                                              Telephone- +91 33 2288-1742/43, 40035993.
                                          and robotics, with inventions like automated                        E-mail: info@hraei.co.in
                                          salad makers that don't need human contact.                         Website: www.hraei.co.in

THIS ISSUE OF MYSTIC EAST CONTAINS 56 PAGES INCLUDING COVER AND BACK COVER
All information in Mystic East magazine is derived from sources we consider reliable and a sincere effort is made to report accurate information. The publisher
regrets that he cannot accept liability for error and omissions contained in this publication that might have crept in inadvertently. Similarly, opinions/views
expressed by third parties are not necessarily shared by the magazine. However, we wish to advise our readers that one or more recognised authorities may hold
different views than those reported. Material used in this publication is intended for information purpose only. Readers are advised to seek specific advice before
acting on information contained in this publication which is provided for general use, and may not be appropriate for the readers’ particular circumstances..

No part of the magazine may be reproduced, stored in retrieval system or transmitted in any form without the permission of the publication in writing. The same
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permission could face legal action. The publisher assumes no responsibility for returning any material, solicited or unsolicited, nor is he responsible for material
lost or damaged.

4 | MYSTIC EAST
MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
July - August 2020

                     Over 520 rooms of 17 hotels in Kolkata entered into tie-ups
                     with hospitals meant for Covid patients. The hotels that are
                     functioning as satellite centres for hospitals are registering
                     occupancy in excess of 70 per cent. With the prospect of
                     regular business resuming any time soon extremely bleak,
                     more hotels have now stepped forward to offer their rooms as
                     Covid-care facilities.
                        The tie-up with hotels has helped hospitals meet the bed
                     crisis. The hospitals deploy staff at the hotels to monitor
                     patients. Apart from 24×7 presence of nurses, doctors visit the
                     facility twice a day. In addition, all medical amenities, includ-
                     ing oxygen cylinders, are kept at the hotel to meet emergency
                     needs. Doctors take a call on when a patient’s care needs to
                     shift from a satellite facility to a hospital or when the person
                     can be discharged. Hotels provide housekeeping services
                     and food to the patients, most of whom are asymptomatic or
                     mildly symptomatic.
                        Hospital authorities also train hotel staff, front desk, house-
                     keeping and waiters on how to go about their jobs safely.
                     A mid-way home-type accommodation — between one’s
                     own residence and the hospital — is a good idea to host less
                     symptomatic or asymptomatic cases. But care should be taken
In this way hotels   to ensure that the general complaints, which thousands of
have come forward    patients seem to have with hospitals (especially regarding
                     billing), do not afflict these institutions as well.
to serve ailing         In this way hotels have come forward to serve ailing citizens.
citizens             In the process they are also trying to get some business and
                     cope up the immense loss brought about by the pandemic.

                     Mr Mohammed Azhar
                     Honourary Secretary

                                                                                          MYSTIC EAST | 5
MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
Inside

      Cover Story
      July - August 2020

      23
      HOW TO
      SURVIVE,
      REVIVE AND
      THRIVE
      The Ficci-Grant
      Thornton Report on
      Covid-19 impact on
      travel, tourism and
      hospitality industry

   8          NEWS
             Kolkata hotels turn
             themselves into Covid care
             hospitals

   9
             Nitin Gadkari advises
             hospitality bigwigs to set
             up NBFCs

             Les Roches to assist

10           Indian students travelling
             to Switzerland for           59TH AGM OF HRAEI

                                          12
             education                         A new set
                                               of leadership
                                               for 2020-21

6 | MYSTIC EAST
MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
July - August 2020

18    FREEDOM,
      PRIVACY AND
      SPACE
                                    38          'CARE COMES
                                                FIRST'

     Rosewood Apartment
     Hotels introduces the
     concept of luxuries in large   Interview of Tejinder Singh, Area
     rooms                          Manager East ITC Hotels & Cluster
                                    General Manager ITC Royal Bengal
                                    & ITC Sonar

34    DISTRIBUTED
      RESTAURANT

     How Covid-19 is going
                                    42         AWESOME
                                               ASSAM
                                    The new tourism policy of Assam
     to impact design of            encourages private investments in
     restaurants                    the state

                                                                 MYSTIC EAST | 7
MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
HRAEI CORNER

KOLKATA HOTELS TURN THEMSELVES INTO
COVID-CARE HOSPITALS AS CASES SPIKE

O      VER 520 rooms of 17 hotels in
       Kolkata entered into tie-ups
with hospitals meant for Covid pa-
                                            24×7 presence of four nurses, doctors
                                            visit the facility twice a day. In addition,
                                            all medical amenities, including oxygen
                                                                                           of medicines to the patient,” said
                                                                                           Pranav Singh, President, HRAEI.
                                                                                              Hospital authorities also train hotel
tients. “The hotels that are function-      cylinders, are kept at the hotel to meet       staff, front desk, housekeeping and
ing as satellite centres for hospitals      emergency needs,” said ILS group               waiters on how to go about their jobs
are registering occupancy in excess of      vice-president Debashis Dhar. Doctors          safely. Only digital documents are
70 per cent. With the prospect of reg-      take a call on when a patient’s care           accepted and payments, too, have to
ular business resuming any time soon        needs to shift from a satellite facility to    be transferred digitally. A mid-way
extremely bleak, more hotels have           a hospital or when the person can be           home-type accommodation — be-
now stepped forward to offer their          discharged. Hotels provide housekeep-          tween one’s own residence and the
rooms as Covid-care facilities,” said       ing services and food to the patients,         hospital — is a good idea to host less
Sudesh Poddar, honorary secretary           most of whom are asymptomatic or               symptomatic or asymptomatic cases.
of Hotel & Restaurant Association of        mildly symptomatic.                            But care should be taken to ensure
Eastern India (HRAEI).                         “The rooms are provided with an             that the general complaints, which
   “The tie-up with hotels has helped       oximeter, thermometer, sphygmoma-              thousands of patients seem to have
hospitals meet the bed crisis. Our ILS      nometer (machine to measure blood              with hospitals (especially regarding
facility has deployed staff at Sonnet ho-   pressure) and attimes, saline stands.          billing), do not afflict these institu-
tel to monitor the patients. Apart from     The hospital provides a week’s supply          tions as well.

8 | MYSTIC EAST
MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
NEWS                                                                                                    July - August 2020

HOTEL INDUSTRY SHOULD TRY TO SET
UP ITS OWN NBFCS: NITIN GADKARI

A     DDRESSING a webinar organ-
      ised by FHRAI, Gadkari said that
the government is considering an INR
                                            For instance, every industry has
                                         to think out of the box, the Minister
                                         said. The Minister informed that the
                                                                                  the current obstacles being faced by
                                                                                  the nancial institutions in restruc-
                                                                                  turing such assets. The framework is
20,000 cr fund to support restructur-    government has announced various         ready and will be released soon, he
ing of NPAs under the current policy     schemes to help the MSME sector to       said.
Nitin Gadkari, Union Minister for        overcome the working capital con-           Gadkari said that people and busi-
Road Transport, Highways, and MSME       straints in the wake of the Covid-19     nesses have to learn the “art of living”
has asked the hospitality industry to    pandemic. He said that the INR 3 lakh    under the Covid-19 and should learn
look at setting up an NBFC to take       cr MSME fund is aimed at enhancing       to adjust with it. Saying that he fully
care of the capital requirements of      the liquidity in the market which is     understands the problems of the hos-
the industry. The Union Minister         critical to drive demand and supply.     pitality sector in the country, Gadkari
said that as most of the hotels earn     He said that the government is giving    said that the government has asked
revenues in dollars, it becomes easy     guarantee for collateral free 20%        all state governments to postpone all
for such NBFCs to access foreign         additional working capital assistance    mandatory fee and charges associat-
funds at much lower interest rates.      and there should not be any hesita-      ed with the hotel industry.
This will help the hotel industry to     tion on the part of the banks to help       Responding to the questions of
access loans at less than 3% inter-      the businesses.                          the hoteliers, Gadkari said the MSME
est compared to over 10% interest           Similarly, he said that the govern-   department has set up a dedicated
being charged by the Indian banking      ment will soon release a INR 20,000      platform - Champions - for MSMEs
system. The Union Minister cited the     cr fund to support the restructuring     to address their grievances associ-
example of some of the Automobile        of NPA under the present policy. The     ated with the government schemes
companies in the country who have        government will take equity stake in     and all the issues will be addressed
set up their own NBFCs.                  the restructuring of NPAs to remove      through it.

                                                                                                       MYSTIC EAST | 9
MYSTIC EAST - STRATEGY FOR REVIVAL - Hotel & Restaurant Association of Eastern India
NEWS

LES ROCHES TO COLLABORATE WITH
QUINTESSENTIALLY TO ASSIST INDIAN STUDENTS
TRAVELLING TO SWITZERLAND FOR EDUCATION
                                                                                   Indian students during their journey.”
                                                                                      Speaking on their collaboration, Mr.
                                                                                   Adrian Artimov, Director of Marketing
                                                                                   and Enrolment at Les Roches said “We
                                                                                   understand that some students from
                                                                                   India have been worried about travel-
                                                                                   ling and hence we wanted to assure
                                                                                   them and their parents by providing
                                                                                   the best concierge service in India.
                                                                                   We are extremely delighted to be
                                                                                   partnering with Quintessentially and
                                                                                   hope that we can achieve our aim of
                                                                                   providing a pleasant journey to all
                                                                                   our students. Les Roches is one of the
                                                                                   best hospitality management schools
                                                                                   in the world and by partnering with

I   N the current context, Indian stu-
    dents are naturally apprehensive
of travelling abroad, and, therefore,
                                         luxury and assistance. From memora-
                                         ble events, to luxury travel, corporate
                                         services, global customer loyalty
                                                                                   such an exclusive concierge service,
                                                                                   we are showcasing how 5-star hospi-
                                                                                   tality works to our students through
to cater to their needs, Les Roches is   programmes and much more, they            first hand experience.”
launching a one of a kind partner-       are proud to partner with the world’s        After having travelled to Switzer-
ship with Quintessentially India, an     most recognized brands such as Les        land using Quintessentially concierge
award-winning luxury concierge and       Roches and support Indian students        services, the students will arrive to
lifestyle management service com-        in their travel abroad.                   the comfort of the campus where
pany.                                       Ms. Mishti Bose, CEO of Quint-         they will meet the designated Les
   Les Roches is offering free access    essentially India said “It is an abso-    Roches staff to smoothly continue
to a private Quintessentially account    lute honor to collaborate with Les        further their integration and accom-
manager that will help students pre-     Roches, one of the leading hospi-         modate them in preparation for the
pare their travel details for Switzer-   tality institutions in the world. We      studies ahead.
land for the October intake this year,   believe our brand ethos is in per-           Les Roches is a part of Sommet
offering a personalized services pack    fect tandem with the ethos of Les         Education, which also includes sister
which will include flight booking,       Roches. Uncompromising on quality,        schools Glion Institute of Higher Ed-
airport transfer, meet and greet at      we at Quintessentially are agile prob-    ucation and Ecole Ducasse under its
the airport, VIP lounge access and a     lem solvers who are passionately          umbrella. The collaboration between
personal protective equipment pack.      committed to connecting the Indian        Les Roches and Quintessentially shall
Founded in 2000, as the first private    community to their brand partner          also be extended to the sister schools
members club, Quintessentially India     at Les Roches through authentic,          and the services shall be offered to
has come a long way to becoming          meaningful experiences and aim            the students that shall be attending
the authority and the real voice of      to provide perfect assistance to the      Glion and Ducasse this coming year.

10 | MYSTIC EAST
July - August 2020

PRIDE HOTELS LAUNCHES AN ALL NEW
CATERING SERVICE EXPERIENCE

T    HE Pride Hotels has launched new catering service ex-
     perience at its, New Delhi, Kolkata, Ahmedabad, Pune,
Nagpur, Chennai and Bangalore properties. The hotel group
                                                                with online food delivery aggregator platforms to deliver its
                                                                food delicacies at customers' doorsteps.
                                                                   “We are constantly working towards re-modeling our ser-
opens its services for doorstep deliveries redefining the       vices for guest satisfaction whether it’s at our premises or at
dining experience in the New Normal. The initiative enables     our guests’ chosen venue. This contactless order, payment
the customers to enjoy food delicacies with ‘contactless’       and delivery option will help us in delivering a responsible
delivery and unique food offering to satiate their cravings.    guest experience. Through this initiative our guests will be
  The catering menu is curated by the team of expert chefs      able to experience and indulge in their favourite cuisine
and culinarians featuring an interesting amalgamation           from the popular restaurants of Pride Group of Hotels
of Indian food concepts and local ingredients together.         present at their cities.” says, Atul Upadhyay, Vice President
These are small bites and memorable flavours. Be it au-         Operations, Pride Hotels Ltd.
thentic Home Style Mixed Vegetable, Dal Makhani and                As a part of the ‘New Normal’ and keeping the present
Paneer Achari from the Vegetarian menu; Murgh Dum               circumstances in mind, the Pride Hotel has launched the
Biryani, Lamb Rogan Josh and Rara Ghost Punjabi from the        ‘Pride Safety Assurance’. It’s a commitment from the Group
Non-Vegetarian menu and Pasta, Sandwich & Burger from           of taking care of its guests at every step of its service.
the Asian menu, one can savour it all at their home.            Under ‘Pride Safety Assurance’ initiative, the Pride hotel
  This initiative was taken by the Pride Hotels to make sure    has rolled out enhanced technological measures like con-
that its loyal patrons don’t miss out on their favourite cui-   tactless check-in & check-out services, contactless billing
sine due to COVID. To amplify the concept of ‘Luxury-in-Pri-    facility, touch less dispensing centre for the sanitizers and
vacy’ the hotel group is now offering exclusive catering ser-   mobile friendly dining menu. The initiative is designed to
vices for personal meets at home. Pride Group will help in      tackle the realities of the COVID-19 pandemic at the hotel
making the celebrations successful with delightful culinary     level and further advance the company’s efforts in this
creations and flawless service. Pride Hotels have partnered     area

                                                                                                           MYSTIC EAST | 11
AGM NEWS

59th Annual General
Meeting of HRAEI
The HRAEI AGM was held at The Park, Kolkata on September 3. A
new set of leadership was elected for the FY 2020-21

 Mr Sudesh Poddar gets elected as the President, HRAEI. President Emeritus Mr T.S.Walia welcomes him

12 | MYSTIC EAST
July - August 2020

Mr Sudesh Poddar felicitated by Mr Pranav Singh

59th Annual General Meeting of HRAEI at The Park, Kolkata

                                                            MYSTIC EAST | 13
AGM NEWS

 Newly elected members of the Managing Committee of HRAEI

 Members attending the Annual General Meeting at The Park

14 | MYSTIC EAST
July - August 2020

THE ROADMAP
AHEAD
         H
                   OTEL and Restaurant Associ-
                   ation of Eastern India (HRAEI)
                   has elected a new set of
         leadership for the region for the next
         one year. Mr Sudesh Poddar, an emi-
         nent hotelier, with business interest in
         the hospitality industry in the States of
         Assam and West Bengal,
            was elected as the President of the
         association in the recently concluded
         Annual General Meeting held in Kolk-
         ata.
            Mr Poddar said that his top priority
         is to revive the hospitality and tourism
         industry in the eastern part of India
         hit hard by the Covid-19 pandemic. Mr
         Poddar is an authority in the business
         of hotels and is thoroughly acquainted
         with the industry and also possesses
         35 years of experience along with
         immense expertise and acquaintance
         in the field. In the past, Mr. Poddar has
         been very closely associated with HRAEI
         and FHRAI in different capacities. He
         has held office as the President of HRAEI
         for four consecutive years, during the
         year commencing from 2014 and upto
         2018. Mr. Poddar has also held post as
         the treasurer of FHRAI for 2 consecutive
         years during the years 2014 - 15 and
         2015-16 and also held post as Honor-
         ary Secretary in HRAEI during the year
         2019-20. He is also a member (Catering
         Expert) on the Board of Governors
         of Hotel Management and Catering
         Technology, Kolkata. He took charge at
         a moment when the industry is going
         through a tough challenge. He spoke
         to Mystic East in an exclusive interview.

                              MYSTIC EAST | 15
AGM NEWS

The excerpts:                             and Restaurants during their stay and    The rooms charges were highly sub-
Congratulations for getting elected       in this way revenue can be generated.    sidised including meals in all types of
as the President of Hotel & Restau-       We have also appealed for complete       hotels—ranging from budget to star
rants Association of Eastern India        GST holidays for 6 Months (at the        hotels. At a later stage, many turned
(HRAEI). Now that the hospitality         state Level) with declining revenues     their rooms as satellites of some
industry is going through one of          almost all hospitality businesses are    hospitals as they ran out of beds. We
the toughest crises what is your          running out of working capital. In       also provided rooms for the inbound
plan to revive business?                  addition, we have asked for relaxation   passengers from abroad as a part of
Our industry is indeed going through      in excise license fee up to 50% rebate   Vande Bharat Mission. In addition, we
the worst crisis in recent history. My    for the year 2020-2021 and allowing      held a sanitization drive in Lans-
top priority is to revive the hospi-      adjustment with the next year re-        downe market following a request
tality and tourism industry in the        newal fee for those who have already     from the honourable Chief Minister of
eastern part of India, hit hard by the    paid should be considered which          West Bengal.
Covid-19 pandemic. To attract more        will help in revival of the business.
tourists in the region, especially the    Reduction of 50% on sanction fee         Did you meet the Chief Minister?
North Eastern India, we shall make        and fire license for upcoming hotel      Yes. We met her when she called
appeal to the Government for more         projects must also be considered; it     several industry bodies for discussion
flights and easier access. We are in      will encourage entrepreneur to open      in the fight against the novel corona-
the process of making a roadmap to        new hotels and which will in turn        virus. We stated that we have offered
promote a lot of inbound tourism to       generate new job opportunities. Also     over 2000 rooms to the State Health
tap the tremendous potential of this      capital subsidy should be given for      Department as quarantine centres for
region. We have a deep concern for        new hotel projects.                      those affected by Covid-19. We made
those entrepreneurs who invested                                                   her a request to arrange health insur-
in the tourism and hospitality sector     After the Covid-19 the HRAEI             ance coverage of Rs 10 lakhs to each
before the pandemic. They were hit        seems to have taken up taken up a        hotel staff attending the quarantine
hard by Covid-19. With zero business      number of social initiatives.            centres. The Chief Minister prom-
they had hard time paying their staff,    We stood behind governments              ised to cover the workers under the
rentals for their property and also the   during the hour of crisis. We offered    government’s Swasthya Sathi health
utility bills. Some of them are on the    isolation rooms for Covid-19 people      insurance scheme. She also compli-
verge of going bust. We shall appeal      who were asked to live in quarantine     mented the Association for our “noble
for moratoriums on loan repayment         for two weeks at pay-and-use basis.      services”. We donated Rs 5 lakhs to
and relaxation on interest rates on                                                the Chief Minister’s Relief Fund.
loans for them.
                                                                                   How are the hotels and restaurants
What else is in your Roadmap                                                       doing after their reopening after
Ahead?                                    We have a deep                           lockdown?
In the light of the lockdown due to       concern for                              Weekends are attracting customers.
Covid-19 the Association submit-                                                   In some restaurants in the Park Street
ted the following suggestions and
                                          those entrepreneurs                      area one could see people waiting
prayers to the Governments of West        who invested                             for seats. Especially after the govern-
Bengal, Odisha, Assam and Anda-           in the tourism and                       ment allowed restaurants to serve
man & Nicobar Islands. To revive the                                               drinks and bars open, things are
hospitality & tourism sectors we have     hospitality sector                       getting better. But we are concerned
requested governments to engage           before the pandemic.                     about those who are still not getting
very actively in organising more con-                                              enough business to survive. Many big
ferences and seminars in the states.
                                          They were hit                            hotels are attracting families through
This will increase the footfall and       hard by Covid-19.                        “staycation” packages. But then bud-
delegates attending the conferences                                                get hotels are still struggling to get
will avail the services of the Hotels                                              customers.

16 | MYSTIC EAST
APARTHOTELS

FREEDOM,
PRIVACY AND
AMPLE SPACE
The concept of enjoying the luxuries of a hotel in a
larger room with the facility and freedom to make
one's own meals always intrigued Saurabh Vaish,
the Founder and Managing Director of Rosewood
Apartment Hotels
APARTHOTELS

 Saurabh Vaish, the Founder and Managing Director of Rosewood Apartment Hotels

R
        OSEWOOD Apartment Hotels        Corporate Home Away from Home,           ings also host a gym, restaurant,
        is the first fully organised    curating stays in Golf Course Villas,    business centre, residents’ lounge
        aparthotel brand in North       Mountain Valley Villas and others are    and conference rooms.
India. The idea of apartment ho-        in the pipeline.                            Rosewood cuts out unnecessary
tels was conceptualised in 2008            This chain of apartment hotels        premiums such as meals that a
and today the brand boasts of five      gives guests the privacy and flexibil-   guest may not use. Guests can cook
properties at Gurugram, Haridwar,       ity to be on their own with minimal-     meals in the fully-equipped kitchen
Pantnagar, Bhimtal and Dhanachuli       istic interference and are at their      and eat in the comfort of their own
. Now Rosewood plans to spread its      beck-n-call if need be. Each studio      living area. The serviced apartments
wings in other cities like Ahmed-       apartment comes with a full-fledged      are crafted with thoughtful homely
abad, Noida and Dehradun. The           and equipped kitchenette, a lobby        touches to make your stay even
launch of Rosewood Villas-- Luxury      area and housekeeping. The build-        more comfortable.

20 | MYSTIC EAST
July - August 2020

                                            With Rosewood, being able to live
                                          and sleep in different rooms whilst
                                          away from home is a luxury you can
                                          afford. The serviced apartments are a
                                          welcome alternative to the all-in-one
                                          hotel room, providing more space in
                                          comparison.
                                            The live-in in the apartment offers
                                          more freedom and privacy com-
                                          pared to other run-of-the-mill hotels.
                                          Guests are not constrained by fixed
                                          meal times and avoid food they
                                          may not enjoy. The unique chain of
                                          aparthotels was founded and con-
                                          ceived by Mr Saurabh Vaish. Mr Vaish
                                          spoke to Mystic East in an exclusive
                                          interview. Excerpts:

                                          Q: What inspired you to conceive
                                          Rosewood Apartment Hotels?
                                          A: Extensive travelling at a young
                                          age with my parents and staying at
                                          some of the best hotels always made
                                          me admire the finesse & quality
                                          in this industry. This fascination for
                                          hospitality developed into a passion
                                          during my 18-month management
                                          trainee program at Jaypee Hotels &
                                          ITC Maurya, New Delhi, way back in
                                          1988. Since then I have been aspiring
                                          to own and manage a star rated hotel
                                          property. This opportunity emerged
                                          20 years later in 2008 when I decided
                                          to switch from my textile manufactur-
                                          ing business to the fast-growing ser-
                                          vice sector. The mere fact of providing
                                          a quality product and a delightful
                                          customer experience has always been
                                          very exciting and close to my heart.
                                          I find that the hospitality industry
                                          offers immense opportunity to fulfil
                                          this desire since it offers a dynamic
                                          environment and varied guest service
                                          requirements, along with challenges
                                          of developing and managing prop-
                                          erties to be able to offer a quality
                                          product.
                                              During my travels, we used to fre-
Rosewood Apartment Hotels at Dhanachuli   quently stay at serviced apartments

                                                             MYSTIC EAST | 21
APARTHOTELS

 Rosewood Apartment Hotels at Gurgaon

and the concept of enjoying the lux-
uries of a hotel in a larger room with
the facility and freedom to make
your own meals always intrigued me.
I found that there is a huge gap in
North India in the mid-segment ser-
viced apartment business and hence
we chose industrial and corporate
hubs which offered the possibili-
ties of extended stays to setup our
properties.
   This thought and concept led us to
the industrial town of Pantnagar in
Uttarakhand and our first property
was established.

Q: What makes your property
stand out in the hospitality
industry in India?
A: We are North India’s first organized
Apartment Hotel chain offering 4-star
hotel luxuries in a serviced apartment
environment.                              Rosewood Apartment Hotels at Pantnagar

22 | MYSTIC EAST
July - August 2020

                                                                                    near industrial and corporate hubs
                                                                                    which enable us to get long stay
                                                                                    guests who are able to truly benefit
                                                                                    and appreciate the facilities of our
                                                                                    property.
                                                                                       We have now ventured out into
                                                                                    two leisure locations one facing a
                                                                                    lake and the other with spectacular
                                                                                    views of the snow-capped Himala-
                                                                                    yas. These are again being primarily
                                                                                    offered to our corporate clients for
                                                                                    their offsite trainings and leisure
                                                                                    trips.

                                                                                    4. Do you prefer to build a proper-
                                                                                    ty from scratch or buy an existing
                                                                                    property and then refurbish it
                                                                                    according to your requirement?
                                                                                     Since we don’t have standard hotel
                                                                                    rooms, we prefer to build from
                                                                                    scratch. However, we also explore
                                                                                    existing properties but only those
                                                                                    which can be customized according
 Rosewood Apartment hotels at Bhimtal
                                                                                    to our concept and requirements.

   The four distinct features which        erties whether it be the crockery,       5. Who are your guests? Are they
set us apart from other properties in      cutlery, linen, guest amenities etc.     people from the corporate houses?
our vicinity are:                          making us comparable to 5-star
                                                                                    Or, families on pilgrimage?
   Large size rooms (400 sqft. to 700      properties.
                                                                                    Since we are located in the indus-
sqft.) with fully equipped kitchenette   • Each guest at our property is not
                                                                                    trial & corporate clusters, our
and all and facilities and comforts        a room number but is known and
                                                                                    primary clientele are all the nearby
of a star rated hotel property with        addressed by his name. We take
                                                                                    industries with whom we have cor-
flexible dining options –                  pride in extending the highest level
                                                                                    porate tie-ups and we prefer to en-
• Dine in our in-house restaurant          of personalized service and even
                                                                                    tertain bookings only through them
• Order room service                       offering customized meals to our
                                                                                    or through their references. Some
• Cook your own meal in your kitch-        long stay guests. This has resulted in
  enette with complementary pantry         more than 90% repeat clientele and       of our major customers include Tata
  shopping service                         the privilege of hosting a New Zea-      Motors, Bajaj Auto, Ashok Leyland,
• Food delivery to your room from a        land national for almost 3.5 years.      Maruti Suzuki, Mahindra & Mahindra,
  nearby restaurant.                        In addition, we try to ensure that      Hero Moto Corp, TVS Group, Green-
• Each of our properties is profes-      our long stay guests get a local fla-      ply, Dabur, ITC Limited, Anchor by
  sionally managed by a team of ho-      vour, we extend to them personalized       Panasonic, Tata Steel, Voltas, Saint
  tel management graduates having        curated experiences such as Ganga          Gobain, Hindware, Hindustan Zinc,
  adequate work experience in the        Aarti, river rafting, kayaking /boating,   JBM Group, VLCC, Yes Bank, Axis
  hotel industry.                        forest treks, bird watching etc.           Bank, Spicejet etc.
• There is immense attention to de-                                                    We were even featured as the “10
  tail and standardization and we use    3. How do you choose the                   most promising corporate lodging
  industry’s best suppliers for every    location of a property?                    service providers in 2019” by the
  item which we place in our prop-       We primarily look at locations             Silicon India Magazine.

                                                                                                      MYSTIC EAST | 23
APARTHOTELS

FANTASTIC FIVE

The Rosewood Haridwar                                                   The Rosewood Gurgaon
The aparthotel in Uttarakhand’s holiest city Haridwar                   The aparthotel offers a luxurious setting with
where the River Ganga emerges from the Himalayas,                       exquisitely styled guestrooms, a multi-cuisine
is an all-rounder, no doubt. It is home to businessmen,                 cafe, and a large conferencing space combined
spiritualists, yoga enthusiasts, family vacationers and                 with new-age technology and business support
adventure junkies!                                                      services.

The Rosewood Pantnagar                                                  The Rosewood Bhimtal
The aparthotel was launched in Pantnagar to cater to the                Perched at 8500 feet above sea level, the
employees and visitors of the industries around the city in             Rosewood experience in Dhanachulli is most
SIDCUL industrial area. It soon gained momentum and has                 exciting in the snowy winters. The scenic ham-
since seen staycation guests who base themselves at Pant-               let has captivating views of the Himalayas, the
nagar and day trip to the nearby picturesque hill towns of              dense forests and kids playing around in the
Ranikhet, Binsar and the seven-lake town Nainital.                      apple orchards.

                                                              The Rosewood Dhanachuli
                                                              Located in Mukteshwar, 19 miles from
                                                              Binsar Wildlife Sanctuary, Rosewood
                                                              Dhanachuli Retreat features views over
                                                              the Himalayas. It is fit for every kind of
                                                              traveller- business, leisure or someone
                                                              just looking for a scenic, spiritual and
                                                              quiet break.

24 | MYSTIC EAST
July - August 2020

                                           COVER STORY/STRATEGY

 HOW TO SURVIVE,
REVIVE AND THRIVE
    The FICCI & Grant Thornton Report gives a complete overview of Covid-19
           Impact on Travel & Tourism and ways to rebuild the industry

T
         HE travel and tourism indus-        The tourism sector makes a signif-     including wellness and adventure
         try in India is looking at up    icant impact on the economy of our        tourism, as well as investment into
         to 40 million job losses (both   country. The data by World Travel and     the industry through schemes, such
direct and indirect) and about USD        Tourism Council (WTTC) reveals that       as PRASHAD and Swadesh Darshan,
17 billion in revenue loss in the next    in 2019 the tourism industry in India     which have proven to be successful
one year.                                 contributed INR 194 billion to India’s    in increasing the number of foreign
   The COVID-19 pandemic has result-      GDP. The industry also supported          and domestic visitors in India.
ed in the loss of lives and livelihood    87.5 million jobs, 12.75% of total           The government has also lever-
all across the globe. Industries across   employment in 2018-19. Due to the         aged e-visa capabilities and extend-
the spectrum have been impacted by        impact of the pandemic on the glob-       ed it to 169 countries making it easier
the pandemic, the travel and tourism      al economy, the WTTC is estimating        for individuals to visit our country.
industry has felt maximum impact          losses of up to USD 2.7 trillion with        Looking ahead, domestic tourism
due to grounding of planes, closure       up to 100 million jobs at risk. The       will be the way forward as inbound
of railways, hotels and other estab-      travel and tourism industry in India is   tourism will take longer to revive and
lishments.                                looking at up to 40 million job losses    open up. Although the Indian travel
   The travel and tourism industry has    (both direct and indirect) and about      and tourism industry has not re-
proven its importance as an eco-          USD 17 billion in revenue loss in the     ceived much support from the recent
nomic growth engine for the world         next one year.                            announcements on the economic
economy. For nine years consecutive-         All across the world, countries are    relief package by the government,
ly, the industry’s growth rate has sur-   looking at tourism as the main driver     it should be considered as a priority
passed the growth rate of the global      to revive their economy. The central      sector. In order to achieve this, gov-
economy. In 2019, the industry grew       government plays an important role        ernment, industry and institutions
at 3.5% compared to global GDP            in developing a strong visitor econ-      must make collaborative efforts to
growth rate of 2.5%. Accounting for       omy which is evident from the fact        create a supportive ecosystem for
10.3% of total GDP, the industry con-     that the Ministry of Tourism has also     tourism.
tributed USD 8.9 trillion to the global   undertaken a slew of initiatives, such       We are happy that a National Tour-
GDP and created approximately 330         as the Incredible India 2.0 campaign      ism Taskforce (NTF) has been formed
million jobs, one in 10 that year.        focusing on niche tourism products        by the Ministry of Tourism, Govern-

                                                                                                       MYSTIC EAST | 25
July - August 2020

ment of India. It will play a major        including Mobile World Congress          drop in both inbound and outbound
role in the survival and revival of the       (MWC), Google I/O, and Facebook’s     tourism of approximately 67% and
Indian travel and tourism industry so      F8 event, leading to huge economic       52% respectively from January to
that it can once again be the torch        losses.                                  February as compared with the same
bearer for the Indian economy.                The pandemic is estimated to have     period last year.
   We are pleased to present the FICCI     a debilitating impact on the Indian         The aviation sector, which contrib-
- Grant Thornton report, Travel and        travel and tourism sector, which         utes 2.4% of Indian GDP, is among
Tourism: Survive, revive and thrive        includes hotels, travel agencies, tour   the worst affected sectors due to
in times of COVID-19, which looks          operators, destinations, family enter-   COVID-19. The spread of the pan-
at the impact of this crisis and the       tainment venues, restaurants and air,    demic across the country, in the last
recommendations for survival and           land and sea transportation, amongst     two months, has led to a 47% decline
revival. This document will facilitate a   others. Overall, losses are estimated    in the passenger traffic. Following
better understanding of the chal-          to total up to USD 16.7 billion. Being   the lockdown in March, airlines have
lenges faced by the industry and the       a large employment generator for         been incurring parking charges as
opportunities for revival, both by the     the country, 40-50 million jobs will     nearly 650 planes of Indian carriers
government and private sector.             be at risk in 2020, both directly and    are now grounded. These airlines are
                                           indirectly employed in the industry.     liable to pay a lump sum amount of
Dr. Jyotsna Suri Past President, FICCI        The Ministry of Tourism has consti-   INR 6 million of parking and housing
Chairperson, FICCI Tourism Committee       tuted a National Tourism Taskforce,      charges. Airlines are also refraining
Chairperson and Managing Director,         to be headed by the Minister of          from increasing prices for the sum-
The Lalit Suri Hospitality Group           State (I/C) for Tourism to meet the      mer season. According to the Centre
                                           challenges posed by COVID-19 and         of Aviation (CAPA), the Indian aviation
Impact of COVID-19 on the                  will include state tourism ministers,    industry could bear losses up to USD
travel and tourism sector in               joint secretary level officers of the    3.6 billion during AprilJune 2020
India                                      concerned central ministries, and rep-   alone.
COVID-19 has disrupted interna-            resentatives from associations, such        The travel ban has largely impacted
tional travel trade and supply chains      as FICCI, CII, ASSOCHAM and WTCII, as    tour operators and travel agencies
in an unprecedented way. Several           well as heads of tourism and hospital-   as the restrictions have not only
countries have suspended tourist           ity associations.                        affected current bookings, but future
and business visas and banned both            With large scale cancellation of      bookings too. With March and April
domestic and international air travel,     travel plans by both foreign and         being peak season for Indian travel-
bringing economies to a screeching         domestic tourists, there has been a      lers heading to both domestic and
halt. The International Monetary Fund                                               international destinations, nearly 90%
predicts a shrinkage of the global                                                  bookings of hotel and flights have
economy by 3% during 2020 due to                                                    been cancelled for the same period.
the novel coronavirus.                                                              Among these cancellations are cruise
   With many economies yet to hit                                                   bookings for destinations such as
their infection apexes, experts predict                                             Thailand, Singapore and Malaysia. Ac-
                                            Relief measures and
economies around the world to                                                       cording to the Indian Association of
                                            recommendations by FICCI
shrink in the first quarter of 2020,                                                Tour Operators (IATO), the hotel, avi-
                                            to the Government of India
with ripple effects expected to be felt                                             ation and travel sector together may
in the following months. The travel         With coronavirus impacting the          incur losses of about INR 8,500 crore
and tourism sector is the worst hit.        Indian economy, the travel and          due to travel restrictions imposed on
   Of all the segments of the hospital-     tourism industry is looking at          foreign tourists by India which further
ity sector, the Meetings, Incentives,       up to 50 million jobs at risk. For      puts at risk the survival of smaller to
Conferences and Exhibitions - pop-          the industry to tide over this cri-     medium sized organisations includ-
ularly known as MICE segment - has          sis, several relief measures have       ing the jobs of several thousand, if
been hit the most with major inter-         been recommended to the                    not lakhs of individuals. For tour
national business events cancelled          Government of India by FICCI.           operators and travel agents across

                                                                                                       MYSTIC EAST | 27
COVER STORY

                                                                                     Six-month moratorium to
                                                                                     be extended to a minimum
                                                                                     12-month moratorium period
                                                                                     on all working capital,
                                                                                     principal, interest payments,
                                                                                     loans and overdrafts
                                                                                     • Permit one-time rescheduling
                                                                                        of principal/interest dues in line
                                                                                        with the estimated cash flows of
                                                                                        each project post recovery from
                                                                                        COVID-19 without treating it as
                                                                                        restructuring, re-classification/
                                                                                        downgrading in asset qualification
                                                                                        and requirement of additional
                                                                                        provisioning.
                                                                                     • 12-month waiver of all statutory
                                                                                        dues including customs, excise
                                                                                        and license fees and increase in
                                                                                        insurance premiums
                                                                                     • Stimulus package to provide salary
                                                                                        support to businesses
                                                                                     • ESI contribution to be deferred for
                                                                                        12 months. Insurance corpus of
 Hard surfaces, including seat trays, touch screens, door handles of a plane need
 disinfection after each flight                                                         ESI should to be used to provide
                                                                                        wages to all covered workers
                                                                                     • Waiver and/or reduction of GST on
                                                                                        products offered by the sector for
the length and breadth of the coun-        their challenges.                            a 12-month period
try, average losses in revenues com-          Various pilgrimage sites, including
pared with the same period last year       large temples across the country,         • Direct cash support for the
have been in the range of 50-80%.          have been closed in the wake of the          aviation sector (airlines, ground
   India has a total of 3961 centrally     pandemic. Tirumala Venkateswara              handling and airports)
protected sites either under UNESCO        Temple, the richest Hindu temple has      • Waiver of parking and landing
as a world heritage site or the Arche-     incurred losses of nearly INR 125-130        charges
ological Survey of India (ASI). Monu-      crore so far. Other temples in Tamil
ments, such as the Taj Mahal and Agra      Nadu have also incurred losses due        • Short-term, interest-free or low-in-
Fort in Agra and Qutub Minar in New        to the lack of daily offerings. Closure      terest loans for rebuilding busi-
Delhi, are the highest revenue earners     of pilgrimages has also had cascad-          nesses in the form of term loans
grossing annually INR 77 crore, INR 34     ing effects on hotels, homestays,            and working capital loans
crore and INR 26 crore, respectively.      businesses of travel agents as well as    •C
                                                                                       reate a separate tourism fund
The livelihoods of approximately 1.75      floriculturists.                           under the aegis of Ministry of
lakh daily earners, including tour            Negative impact on the Indian           Tourism, accessible to the industry
guides, rickshaw pullers, photog-          Railways has also been witnessed           as a collateral free, 10 year loan,
raphers, etc., have been affected in       ever since the nationwide seizure of       with a moratorium of two years and
Agra alone. Tour guides with licenses      rail services across the country. The      minimal rate of interest to support
from the government are not allowed        Indian Railways facilitate the move-       businesses stabilise in this time of
to take up alternative jobs, adding to     ment of goods as well as passengers.       crisis

28 | MYSTIC EAST
July - August 2020

The Indian Railways is expected to             rate for fire, loss of profits              COVID-19 without treating it as
witness losses amounting to INR             • SGST to be waived off till the situa-       restructuring, re-classification/
17 billion due to COVID-19; almost             tion becomes normal                         downgrading in asset qualification
13,000 passenger trains have come to        • Tax rebates by the government for           and requirement of additional pro-
a standstill.                                  encouraging spending on domestic            visioning
    There is an urgent need to take            holidays (for example, LTA) and GST      • Permit sanctioning of additional
immediate steps to not only contain            relief and other incentives for corpo-      facilities in the form of working
the spread of the virus but also to            rates to organise meetings, incen-          capital term loan for meeting cash
address the key pain areas of the              tives, conferences and exhibitions          flow mismatches during the period
industry to minimise the impact of             (MICE) within the country                   affected by COVID-19. The tenure of
the outbreak on the Indian economy                                                         such facility shall be assessed based
and businesses. A combination of            Regulatory measures                            on the individual project cash flows.
monetary, fiscal and financial mar-         • Permit one-time rescheduling                Such additional facilities to be treat-
ket measures is needed to help the             of principal/interest dues in line          ed as standard assets
businesses and people cope with the            with the estimated cash flows of         • I n case of projects under imple-
crisis. Therefore, to be able to frame         each project post recovery from             mentation, the banks/institutions/
correct actions and policy measures,
it is important to understand clearly
the specific problems that people and
businesses are currently facing. This
alone can enable the government to
take appropriate measures.

Measures recommended for the
survival and revival of the travel
and tourism sector
• While a six-month moratorium has
   been granted to the industry, a min-
   imum 12-month moratorium period
   is needed on all working capital,
   principal, interest payments, loans
   and overdrafts. Collateral and inter-
   est-free loans for five years for SMEs
   in the sector to help them sustain
   and rebuild
• A 12-month waiver of all statutory
   dues with respect to license fees,
   property tax and excise fees • Defer
   GST and advance tax payments at
   the Central Government level and
   removal of fees for any upcoming
   licenses, permits and their renewal
• Bailout packages to fund and
   support salaries in the sector Export
   status for foreign exchange earnings
   for inbound tours and hotels
• A 12-month deferment in the in-
   crease of insurance premium related
   to standard fire and special perils       Staff need to be trained a new standard operating process of safety and hygiene

                                                                                                             MYSTIC EAST | 29
COVER STORY

   NBFCs be permitted to extend              Relief measures requested for                   all categories of employees for the
   the Date of Commencement of               tour operators                                  next 12 months
   Commercial Operations (DCCO)              • Restoration of Service Exports from       • Employees to be allowed to with-
   by one year without treating it as           India Scheme (SEIS) scrips for duty          draw a fixed sum of INR 10,000 for
   restructuring as it would bedifficult        credit of 10% to the tourism indus-          up to six months from their EPF
   for promoters to raise funds from            try.                                         accounts
   other business/services for project       • Extension of Services Export Promo-       • ESI contribution to be deferred for
   completion.                                  tion Council (SEPC) membership to            12 months. The insurance corpus of
• Lending to tourism sector to be              31st march 2021                              ESI needs to be used now to provide
   treated as ‘priority sector lending’      • Finalisation of an aggressive Incred-        wages to all organised workers for
   at least for next one year which will        ible India marketing plan during             all accumulated days from nonavail-
   enable access to bank finance                lockdown and implementation on               ability of work and the act needs to
• Amendments to Master Direction               opening to drive domestic travel in          be amended immediately
   -Reserve Bank of India (Relief Mea-          India                                     • Professional tax to be waived for all
   sures by banks in areas affected by       • Approval of completed forms by               companies as well as employees up
   Natural Calamities) 2018-SCBs to             Directorate General of Foreign Trade         to March 2021
   include:                                     within 30 days to utilise the cash        •R  efunds of cancellations and
    – COVID-19 in the definition of            flow to pay salaries and expenses            advances of travel agents and tour
       natural calamity and permit use       • No landing fees for Goa, i.e. charters        operators from AIRLINES/IATA: MOT
       of this circular for tourism sector   land for free to encourage flights to           and MOCA immediately advises
    – Enabling NBFCs to use this circu-     come back                                       them to refund. Advances/float
       lar (presently only applicable to     • Same ticket prices for foreigners            accounts also to be refunded in full
       banks)                                   and Indians for entry to historical          immediately as they are of money
    – Removing additional provision-           monuments.                                   in float/advances for not issued
       ing requirement for the restruc-                                                      tickets
       tured portion of loans under this     Relief measures requested for                • Billing period for IATA carriers to be
       scheme                                travel agents                                   extended to 15 days. MOCA should
                                             • Support fund majorly for salaries            underwrite these payments to travel
Policy measures                                 and establishment costs through              agents & tour operators which will
• Stimulus package to be formed to             the following:                               be securitised against these re-
   stabilise and support the sector in           – Government to contribute                 ceivables from IATA and low-cost
   the near-term, including a workforce             33.33% of take home salaries to          carriers/non-IATA airline
   support fund to ensure that there                all employees of registered travel    • Complete GST and income tax hol-
   are no job losses                                agencies.                                iday for tourism, travel and hospi-
• Waiver of all statutory dues such as          – Government to use funds of ESIC          tality industry for period of twelve
   advance tax, custom duties, excise               to pay salaries of employees cov-        months:
   duties, etc. at central and state level          ered under the scheme.                     – IT Holiday effective FY2019-20
   for 12 months                                 – No deduction of TDS on salaries            – Reseller model for air travel
• Provision of a 12-month corporate                for employees of the trade till               agents to be permitted for corpo-
   tax holiday to travel, tourism and               March 2021                                    rates/customers with GST num-
   hospitality sector and deferment of           – Subsidise electricity by 33.33%               ber with the agents directly on
   payment of all statutory dues, such              to give relief to 53,000+ travel              payment basis since airlines don’t
   as custom duties, excise duties, PF              agents, more than 1.3 lakhs tour              pay on payment/receipt basis and
   and bank charges, at central and                 operators (domestic, inbound,                 credit GST only on flown basis
   state level for 12 months                        adventure, cruise and outbound),           – Unlock inter-head credit of GST
• Extension of annual renewal of li-               more than 2,700 MICE organisers               across IGST, CGST, SGST for tour
   censes paid for in 2020 until the end            and 19 lakh plus tourist transport-           operators. Permanently allow
   of 2021 without any incremental fee              ers                                           tour operators to claim IGST for
   or charges                                • PF contribution to be waived off for              hotel reservations/other services

30 | MYSTIC EAST
July - August 2020

 Hotels are revising their room cleaning protocols thoroughly

     interstate basis as input credit to       charge to companies in the sector.       Opportunities for growth in the
     claim ITC                                 Thereafter, subsidised rates can ap-     sector
  – Roll back of TCS introduced in            ply on actual consumption and not        Promote niche travel products under
     Budget 2020 by the finance                against fixed load                       the Incredible India 2.0 campaign
     minister                                • Export Promotion Capital Goods
  – LTA like tax benefit for Indians for       (EPCG) scheme to consider grant         • Yoga and Ayurveda - Promote
     two times a year for domestic and          of extension in export obligation       wellness tourism as a key unique
     international travel. This will stim-      fulfilment period by an additional      selling product which will gain a lot
     ulate domestic travel by Indians           three years (beyond current limit       of attraction in the near future
                                                of six years) for all the licenses      • Religious circuits - Religious circuits
Relief measures requested                       expiring during current and within      is a highly unorganised travel market.
for hotels                                      this and the next financial year,       A complete relook is required to
• GST rates on companies in hospi-             without attracting any penalty or       formalise these offerings into circuits
   tality should be slashed for at least        interest                                for all faiths. Even the NRI market
   two to three years. Currently, large                                                 can be tapped for this product, if
   hotels are charged a GST rate be-         Special package for the survival           institutionalised well. Government
   tween 12-18% based on room rate.          of heritage hotels                         needs to play a unification role with
   Now that hotels are almost empty,         • The CSR initiatives for hotels, avia-   state, private players, travel operators
   the GST rate should be brought               tion, travel, tourism entities should   and other identified points of sale,
   down to 5-6% with immediate                  be extended to Swatch Bharat,           including fin-tech companies. A fea-
   effect                                       which in the case of tourism indus-     sibility study should be conducted to
• 500 units of electricity per month           try, should include monuments,          connect the religious sites by modes
   and water to be provided free of             tourist sites, and other facilities     of transport such as aerial ropeway

                                                                                                             MYSTIC EAST | 31
COVER STORY

                                                                                     parking space on a chargeable basis
                                                                                     for overnight halts with CCTV for
                                                                                     additional security.
                                                                                     • Film industry - Government must
                                                                                     encourage film makers to shoot at
                                                                                     Indian locales in order to showcase
                                                                                     India further to both domestic and
                                                                                     foreign markets and subsequently
                                                                                     create demand. India should have a
                                                                                     single window clearance for all shoots
                                                                                     to reduce delay and uncertainties. In-
                                                                                     dia should also provide a cash rebate
                                                                                     to reduce cost of shootings as movie
                                                                                     shoots are a medium to increase
                                                                                     footfalls across the country.

                                                                                     Promote the corporate travel
                                                                                     segment
                                                                                     Online travel companies and travel
                                                                                     management companies in India
                                                                                     must develop technology platforms
                                                                                     to aid and develop the corporate
                                                                                     hotel segment. This would ensure
                                                                                     bookings and payments are made
                                                                                     from India thus allowing revenues
 Immediately after the pandemic there will be holiday rush of tourists               to sit in India rather than overseas as
                                                                                     currently payments are made either
                                                                                     by overseas associates or out of the
and trollies. Rail, bus, and IRCTC need    attract younger population who            per diem foreign exchange allowance
to all work in cohesion for the circuits   could combine their air/rail travel       for the traveller.
to be a success                            with self-driven cars. The self-driven       Current trends and patterns
• Culinary tourism - It is a great         cars should have an in-built applica-     indicate bookings and payments are
opportunity to explore variety of          tion for navigation and facilities for    made by the traveller overseas, which
cuisines in the country. Focus on          the traveller/driver                      can be brought in-house by the com-
creating culinary circuits and trails      • Caravan tourism - It should be          panies. Not only will it increase their
and promote it extensively through         promoted for road trip holidays as        penetration but will also contribute
digital campaigns. Promote local food      it will give a unique experience to       to government through GST collec-
by partnering with online restaurant       visit many destinations while limiting    tions.
aggregators for showcasing dining in       contact with others. Government
experiences of cafes/restaurants           should come up with caravan circuits      Create a more conducive business
• Self-drive holidays - Self-drive hol-    and identified camping spots. These       environment
idays, including hiring of self-driven     camping spots should have the infra-      The government should re-visit their
cars need a complete re-look in the        structure for waste management and        regulations, taxation and other norms
Indian market. Currently, only 10,000      other basic services such as water and    to increase ease of doing business
self-driven commercial vehicles are        food. Petrol pumps on the highways        in India. Organisations are choosing
registered in 30 cities across India.      can also expand their services for car-   to register their companies abroad
The base should be expanded to             avans to provide waste management         citing stable regulations, subsidised
include a larger number of railways,       and other basic services including        tax rates and increased global inves-
airports and city gate ways. This will     cooking fuel. They can also provide       tor interest as reasons. The Indian

32 | MYSTIC EAST
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