Best Wishes From
–Chokkapan S (cbedit@imaws.org)
With crimes against hoteliers constantly on the rise, several hotel associations have started raising their collective voice against the violeng incidents against them across various regions. Food outlets are quite vulnerable against attacks, and the Karnataka hoteliers’ body has sought government intervention in this regard.
“Hoteliers and restaurateurs are hesitant to file police complaints, as they fear a bad reputation. Also, there is no strict action on the perpetrators of such criminal activities.” says GK (Gopalkrishna) Shetty, President of the Karnataka State Hotels Association and a leading hotelier from Bangalore, in an exclusive interview with Kitchen Herald.
Recent violent incidents in the state, including the fatal attack on a bakery owner near a prominent tourist attraction, have instilled fear among business owners. “The lack of prompt and decisive action by the government and law enforcement jeopardises individual safety as well as dents the confidence of those who drive the local economy. Addressing these issues requires immediate, stringent measures to ensure that those perpetrating criminal activities are held accountable,” demands Shetty.
Apart from that, the prominent hotelier shares his candid views about the post-pandemic recovery, safety concerns affecting hoteliers and restaurateurs, regulatory hurdles, and the evolving tourism landscape that continues to shape Karnataka’s vibrant hospitality sector.
“Many industry experts in my circles predicted a high business growth after the Covid-induced lockdown. While business volumes and turnover have either grown or are back to normalcy over the last two years as compared to the pre-Covid era, a lot of eateries and restaurants are shutting shop even as new ones are being established,” elaborates Shetty.
This paradox — robust business activity alongside closures — reflects the dynamic and competitive environment of today’s hospitality sector in the state, points out Shetty. “The renewed consumer appetite for dining out has fueled recovery in many corners, but it has also intensified the market competition. In such an environment, only establishments that can adapt to rising costs and evolving consumer preferences are likely to survive and thrive,” he suggests.
Navigating Regulatory and Policy Hurdles
The complex regulatory environment is another area where Karnataka’s hospitality sector feels the pinch. On the subject of new government policies and regulatory frameworks, Shetty asserts, “Let the government formulate any new policies or come up with new regulatory frameworks. We only expect the government to involve and discuss with all stakeholders concerned for a collective decision, and not a unilateral one.”
In a related development, he reveals that the association has recently requested the government to grant industry status to the hotels and restaurants sector. “If granted the status, the power tariffs will come down and also we can avail the government’s credit facility. The minister concerned has assured us that we would get the industry status soon.”
Opportunities and Infrastructure Needs in State Tourism
Tourism remains the backbone of the hospitality industry, and evolving travel trends are reshaping the sector’s opportunities. “Temple tourism, in particular, is fuelling the influx of more domestic and foreign travellers, which helps the hospitality sector,” highlights Shetty.
Yet, the potential of tourism isn’t yet fully realised. “We need better infrastructure, especially road connectivity to ensure equitable growth. Our own Karnataka International Travel Expo (KITE) needs to be planned well in advance, as in the case of international tourism events,” he explains, adding, “Coastal tourism must be promoted. Our coastal road connectivity is not great, with just one airport catering to over 300 km of our coastline. Reducing buffer zones in coastal areas could potentially increase tourism and job opportunities.”
Charting a Development Path Forward
The hospitality sector in Karnataka is navigating a complex blend of rapid recovery, rising operational costs, shifting workforce dynamics, and uncertain regulatory policies. While the post-pandemic surge in business volume is encouraging, challenges such as increased rental costs, the rising price of raw materials, and the unpredictable nature of liquor pricing and licensing continue to strain the sector.
Moreover, the call for more inclusive policy making illustrates the multifaceted approach needed to secure the industry’s future. Ultimately, the path forward lies in collaboration. “We expect the government to involve and discuss with all stakeholders concerned for a collective decision,” concludes Shetty. His message resonates as a call to action for all industry participants — government, businesses and communities — to come together to ensure that Karnataka’s hospitality sector not only survives, but thrives in an era defined by change and opportunity.
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