With the sudden spike in the number of COVID -19 cases in Maharashtra; the state government has now announced to impose a host of stringent measures including extension of night curfew and weekend lockdown starting from Friday 8 pm until Monday 7 pm.
The decision of imposing stringent norms was taken at a cabinet meeting chaired by Chief Minister Uddhav Thackeray. According to the state government officials, these measures will significantly help to flatten the rising curve of COVID-19 cases across Maharashtra.
As far as commercial establishments are concerned, the state government’s new directive has allowed shopping malls, bars, restaurants and other eateries to open only for take-aways and parcels. Flights, trains and buses will function normally, and have to ensure that there is no overcrowding. On the other hand, government offices will be allowed to operate at 50 per cent capacity and the private workplaces have now been asked to work from home.
While the government’s new directive assures that no economic activity will be hampered, the F&B industry, especially the small restaurants and outlets within the malls, are concerned about its immediate impact on their derailing business.
KB. Kachru, VP, Hotel Association of India & Chairman Emeritus & Principal Advisor, South Asia, Radisson Hotel Group stated that, “It is very unfortunate to see the rise in covid cases and its impact on people as well as industries across Maharashtra.With the new local restrictions in place, travel in the state is going to be adversely impacted and will affect the hospitality industry which is heavily dented due to the pandemic. Hotels in the region continue to adhere to the stringent protocols laid down by the local authorities and state government. The safety of guests and hotel staff remains paramount and the industry is ensuring that everyone remains safe. While restrictions and covid norms are very essential in the new normal, the public at large needs to be more cautious and take all the necessary precautions.”
Commenting on the new directive, Pradeep Shetty, Sr Vice President, Hotel and Restaurant Association of Western India- HRAWI said, “The Hospitality industry is with the Govt. We will once again support the Govt like we did last year. We are doomed this time around if we are expected to be both, shut for business and not receive any relief. The Govt has to meet us somewhere in between. Shut us but do justice to the owners, staff and their families. Take care of the salaries. Unburden the owners of the property tax, waive off the statutory fees, don’t generate electricity and water bills until the industry becomes completely operational again. We understand that the Govt has to take measures but it’s coming at a cost that we just can’t bear any more. We have always stood with the Govt and it’s about time the Govt does the same for us.”
Shivanand Shetty, President, AHAR, said, “Today is nothing but a black day for the industry as measures to fight the pandemic is turning out to be far more hard-hitting than the pandemic. With this decision, as far as our industry is concerned, the State Government has driven in the last nail into the coffin. The industry which generates employment and is source of income to lakhs, cannot survive this time as we cannot pay staff salaries, licence fees, meet operational expenses etc with mere home delivery and takeaways. We fail to understand why hotel and restaurant industry is targeted everytime, when there is no empirical evidence to prove that corona is emanating from the above mentioned places, or it is rampantly spreading only during the evening.”
Recently, Indian Hotel & Restaurant Association (AHAR) which represents nearly 8000 small restaurant, permit rooms and hotels, had urged the government to extend the night curfew timings till 1:30 pm for the survival and revival of their businesses.
In the letter to Maharashtra Chief Minister, Shivanand Shetty, President of Indian Hotel & Restaurant Association (AHAR), said, “It is unfair and unjust to order restaurant and permit rooms to shut business at 8 pm. As a well-known fact, more than 95%of customers visit the restaurant with permit rooms after 8 pm. People prefer to have their alcoholic beverages along with their dinner and most people have their dinner after 8 pm. In metro city such as Mumbai, people generally finish their work and reach their residences, especially at suburbs after 8 pm.”
He further said that if the restaurant and permit rooms are ordered to shut after 8 pm, they will be left with no business and it will be extremely difficult for them to earn their livelihood.
Given the nature of F&B business, customers often patronize restaurants and permit rooms after 8 pm. Terming the government’s move illogical, the AHAR president said that there is no empirical evidence to support that corona spreads in the night through restaurant and permit rooms. “The aforesaid order violates our constitutional right to do our business. This order is discriminatory as other business market place shops, office, trade, factories, industries, hawkers etc allowed to operate after 8 pm,” he added.
More than 6,000 restaurants in Mumbai and its suburbs are affected due to the restricted night curfew timings. “If it continues further, lakhs of employees would lose their job and million people are dependent on this business. This would also impact outstation tourists, businessmen and migrant labourers who are depending on restaurant and permit rooms,” Shetty affirmed.
He further highlighted that more than 8% of their business in the permit room comes through the sale of alcoholic beverage and it can only be served to a permit holder in the permit room.
Given that food delivery and takeaway services are the only source of business, Shetty stated that merely depending on these services would not be enough to sustain their business as people generally don’t order from bars and restaurants. He also added that takeaway and delivery food businesses are hugely dominated by Multinational food aggregators such as Swiggy and Zomato.
Shetty also highlighted that restaurant and permit rooms are following all the hygiene protocols prescribed under COVID-19. Besides, they are paying nearly seven lakh rupees as annual fees. “This order of not allowing business after 8 pm would lead to permanent closure of majority of legitimate restaurants and permit rooms for no fault of theirs,” he asserted.
As a solution to the problem, Shetty requested the government to allow them to function as per their approved license time i.e 1:30 am with all COVID safety restriction in place. “Be fair and just, do not issue arbitrary order without empirical evidence that can kill business,” concluded Shetty.
