Hotels get Pranab Mukherjee’s cold reception

Pranabda was cold and inhospitable to the hospitality industry that had pinned hopes on the Union Budget for succour. Sources said the industry had been ignored and its demands have not been met.

Suresh Talera, president of Hotel and Restaurant Association of Western India, said: “We expected the hotel industry to get the infrastructure status. Also, security issues have been ignored.”

The industry’s wish list included a reduction in Vat (currently 12.5%), cut in service tax for catering services, and security allocation for hotels in the wake of terror attacks.

Suhas Awchat, owner of Goa Portuguese and Culture Curry, said the budget failed to address the concerns of the common man. “Reduction in VAT on food bills would have been a relief for people and given a boost to hotel and tourism industry,” Awchat said.

Narayana Alva, president of AHAR, Indian Hotel and Restaurant Association, said: “It is a very disappointing budget for us. There were no firm measures introduced to control food inflation.”