Budget 2019: Hotel body less than pleased with Nirmala Sitharaman’s budget; here’s why

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Published: July 8, 2019 4:56 PM

India Budget 2019-20: Federation of Hotel and Restaurants Association of India (FHRAI) is less than pleased with how the budget 2019 panned out and voiced its opinion on the same.

budget 2019 indiaIndia Budget 2019: Nirmala Sitharaman presented her first budget on 5 July 2019.

Union Budget 2019: While Nirmala Sitharaman’s maiden budget has garnered positive reviews in general, the Federation of Hotel and Restaurants Association of India (FHRAI) is less than pleased with how the budget 2019 panned out and voiced its opinion on the same. “The industry expectations were high but the Union Budget has neglected us completely and we are disappointed yet again,” said FHRAI Vice President Gurbaxish Singh Kohli. Targeting the 17 tourist-friendly spots that find a mention in the budget, “Prime Minister has envisioned big things for the sector, but there is no mention except for the 17 tourist-friendly spots which we welcome but will need further details before commenting on it until we know exactly what those spots are,” he added. 

Moreover, the hoteliers association looked for many other reforms as well which didn’t materialize. Speaking on the same, Gurbaxish Singh Kohli said that reforms in rate slabs of GST, Input Tax Credit and a definitive step to boost the domestic and inbound traffic were hoped for. Speaking on the flagship tourism campaign Incredible India, “The success of Incredible India lies in managing its hospitality and tourism right and requires policy support”, Gurbaxish Singh Kohli said. Suggesting on how to ramp up the campaign, he added that there is a need to drop the notion that the travel and hospitality industry is ‘elitist’. 

However, not all is gloom and doom in Union Budget 2019 for the hoteliers’ association. Apart from the expected but undelivered reforms in travel and tourism, the budget is good for the middle and lower class in general, Gurbaxish Singh Kohli said. He added that this will strengthen the income level of the common man even if there is nothing in it for the industry. 

Nirmala Sitharaman presented the first budget of Narendra Modi government 2.0 on 5 July 2019. For the travel and tourism industry, the government announced revamping of earlier schemes and added connectivity via various projects.

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