COVID-19 crisis: Representatives of India Exposition Mart Limited seeks PM Modi’s help for exemption
Hospitality industry supports the travel, tourism, and F&B Industry and contributes Rs. 5 lakh crores in the Indian economy engaging a sizable number of people from MSME sector
India Exposition Mart Limited, India’s largest Integrated Exhibition and Convention Centre, that represent the interests of hospitality, F&B and tourism Industry and sub-sectors have sought government intervention and made a representation to the Prime Minister of India to offer support to the sector to withstand the challenges posed by the current COVID – 19 crises.
Rakesh Kumar, Chairman, India Exposition Mart Ltd. Said, “Hospitality industry supports the travel, tourism, and F&B Industry and contributes Rs. 5 lakh crores in the Indian economy engaging a sizable number of people from MSME sector. The Hospitality, F&B and Tourism industry has been severely hit and is witnessing a massive distress due to the lock down.”
Adding further he said that the hospitality industry has submitted a detailed representation to the Prime Minister of India which include the following:-
- 6% Interest Subvention to the entire hospitality sub-sector.
- Moratorium of EMI payments for loans and working capital from Financial Institutions (both banking & non-banking).
- Deferment of all Statutory Dues such as Advance Tax payments, PF, ESIC, customs duties at the Central Government level or at any state government level, the excise fees, taxes, bank guarantees and security deposits and deferment of all renewals, across the sub-sectors supporting tourism, travel, hospitality and F&B industry
- Waiving of Electricity and Water Charges for the next 6 months or charged on the basis of actual consumption (not as per load).
- Wages Compensation for the employees
- Speedy GST Refund
- Auto-renewal of 70+ licenses which a hotel must acquire/renew for 2 years at no cost
- Amendment in clauses relating to EPCG
- Waiver of Bar License Fee and reduction in excise duty linked to consumption
- Offering a one-time, mobilisation fund/advance to manufacturing organisations from sub-sectors of hospitality that could re-tool and start producing to meet the demands of the healthcare sector for Covid-19.
Hari Dadoo, President, India International Hospitality Expo said that they have requested authorities to consider 50% wage compensation for the employees in the sector and also the limit of ESIC/PF compensation for employees earning Rs. 15000/- per month to be enhanced to Rs. 30,000/- per month and these facilities should be available for both Industrial Units and Commercial Establishments.
Anil Malhotra, President, Hotel and Restaurant Equipment Manufacturers of India (HOTREMAI ) said that the sector is witnessing a huge cash crunch and speedy refund of the pending GST will be of great help to everyone, he further said, that CGST/SGST to be released immediately and in-case of an error, an ad-hoc payment of 75% may be released. The entire GST should be at the rational rate of 3% for the entire hospitality sector should be declared.
Amarjit Singh Ahuja, Founder & President, Purchasing Professional Forum of India (PPFI) said that in this period of the lockdown it is important that the Government reduces Excise Duties and waives-off the burden of renewing 70+ licenses that the hotels have to procure/renew every year, for the next 2 years.
Rajat Pandhi, President, Association of Resource Companies for the Hospitality Industry of India (ARCHII) said due to loss in revenues, almost all businesses from our sectors (and allied sectors) are drying up their working capital and with the onus of salaries, EMIs, advance tax, PF, ESIC, GST, excise and licenses, this industry needs immediate support from the Government of India to protect this employment generating sector
Sanjay Khullar, Vice Chairman Seasons Group said that due to loss in revenues almost all business from the sector (Catering and Hotels) has impacted.