HAI Seeks Industry Status for Hotels in Punjab
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The Hotel Association of India (HAI) announced the launch of the ‘HAI State Chapter’ for Punjab as part of its renewed focus to provide a unified voice to the hospitality sector and aid in the resurgence and sustenance of the industry following the global pandemic.
The Association has nominated senior industry leaders from Punjab, Gautam Kapoor, Owner, Radisson Hotel, Jalandhar; G.S. Virk, Owner, Park Plaza, Zirakpur; Rajan Gill, Owner, Radisson Blu Hotel, Amritsar & Park Inn by Radisson, Amritsar; Abhimanyu Lodha, General Manager, The Oberoi Sukhvilas, Chandigarh; Sumeet Taneja, General Manager, Taj Swarna, Amritsar and Mohit Gurnani, General Manager, Taj Chandigarh, Chandigarh to drive the Chapter.
Stimulating its purpose in Punjab, HAI has appealed to the State Government to accord “industry status” to the hospitality sector, thus enabling hotels across the state to avail benefits towards lower electricity and water tariff, lower property tax, rationalisation of taxes & license fees and simplified approval process for hotel projects and hotel operations.
HAI, in its representation to Chief Minister Capt. Amarinder Singh, has appealed that the move will ‘usher transparency, reduce costs and encourage re-investment’ while strengthening the sector to unlock its potential to make significant contributions to the State GDP as well as employment to support the post-pandemic economic revival of the region.
It is pertinent to note that the state has put in place a robust tourism policy and made huge investments in tourism in recent years. It is not surprising therefore that in the year 2019, the domestic tourists arriving to Punjab accounted for approximately 47 million, while the foreign tourist arrivals accounted for over one million. However, the State has potential to do much better.
Speaking about the representation, Kapoor, said, “Currently, the hotel industry is going through revenue slump in the state, and with high fixed operating costs of heating, light, power, license fees, lease rentals, property taxes, etc., the industry is extremely precariously poised. Many people have already lost their jobs in the sector due to the ongoing pandemic. These numbers are now slowly coming down since the removal of restriction on the hospitality sector. However, the very survival of the sector is under serious threat and this intervention will impact the recovery of the sector to a considerably large extent. We have received a very positive response from Honourable Chief Minister Capt. Amarinder Singh and he has assured us with his support in the best possible manner.”
A favourable policy decision of according hotels the status of an industry and allowing it the benefits available to manufacturing will strengthen the Indian hospitality industry, preserve and unlock its immense potential to make a significant contribution to the State’s GDP and jobs, supporting the postpandemic economic revival of the region, HAI said in its representation.