OYO Ventures into F&B with In-House Kitchens and QSR Carts

According to the news reports, OYO has unveiled its plans to venture into the food and beverage (F&B) space by introducing in-house kitchens and Quick Service Restaurant (QSR) carts or lobby stores at its company-serviced hotels. With a primary focus on the Townhouse by OYO branded properties, the company aims to elevate the in-hotel dining experience and generate additional revenue streams across its hospitality portfolio.

Flexible Kitchen Models for Guest Convenience

As part of this initiative, OYO announced that it will implement in-house kitchen services at 1,500 company-serviced hotels in FY26. These kitchens will enable guests to conveniently order meals via online travel agencies (OTAs) and the OYO app by selecting the “Kitchen Services” option. The company clarified that kitchen formats would be tailored to each hotel, ranging from full-fledged commercial kitchens offering extensive menus to compact pantry setups for basic food items, depending on the hotel’s profile and infrastructure.

Townhouse Café to Offer Regional and Continental Menus

In addition to the kitchens, OYO is set to launch QSR carts and lobby-based stores branded as ‘Townhouse Café’. These outlets will serve well-priced meals featuring regional and continental dishes. The pilot programme, which commenced in January 2025, has already been rolled out in 100 company-serviced hotels across Delhi, Gurgaon, Hyderabad, and Bangalore. This successful trial has laid the groundwork for a nationwide rollout in the upcoming fiscal year. The company is also building a network of “trusted F&B experts” in cities including Delhi, Mumbai, Bangalore, Hyderabad, Pune, Indore, Kolkata, Jaipur, and Lucknow to support the initiative.

Conclusion

OYO anticipates that its F&B venture will contribute an additional 5%-10% revenue at the hotel level on a stable state basis. Varun Jain, Chief Operating Officer, OYO, stated that the initiative aims to enhance the in-hotel dining experience for guests by offering “fresh”, “convenient”, and “quality” meal options across its network.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

GR Infraprojects Executes Concession Agreement with NHAI for ₹4,263 Crore Greenfield Highway Project

G R Infraprojects Limited has informed the stock exchanges that its wholly owned subsidiary, Agra Gwalior Highway Private Limited, has entered into a significant concession agreement with the National Highways Authority of India (NHAI), under the Ministry of Road, Transport and Highways.

The agreement was executed on April 30 2025, and pertains to the development of a critical highway infrastructure project spanning across three Indian states—Uttar Pradesh, Rajasthan, and Madhya Pradesh.

Project Overview and Scope

The project, under the NHAI’s National Highways (Original) scheme, involves the construction of a greenfield highway and related infrastructure improvements, divided into 2 major components:

Section 1: New Greenfield Highway Construction

This includes the development of a 6-lane access-controlled highway starting from village Deori in Agra district (design km 0+000) and extending to village Susera in Gwalior district (design km 88+400). The stretch covers parts of Uttar Pradesh, Rajasthan, and Madhya Pradesh.

Section 2: Overlay and Safety Works

This part of the project entails strengthening and safety upgrades on the existing Agra-Gwalior section of NH-44, specifically from km 1058.00 to 1148.00 (design chainage 13.00 to 103.00), enhancing the overall efficiency and safety of the highway corridor.

Financial and Operational Details

  • Estimated Project Cost: ₹4,262.78 crore (inclusive of GST)

  • Mode: DBFOT model (Design, Build, Finance, Operate and Transfer) under BOT (Toll)

  • Execution Timeline: 910 days from the appointed date

This large-scale infrastructure project aims to boost connectivity and reduce travel time across major trade and transit routes between North and Central India.

Read More: PNB Housing Finance Share Price Surges 8% as Carlyle Sells Entire Stake

GR Infra Share Price Reaction

Following the announcement, GR Infraprojects’ share price was trading higher by 0.43% as of 12:17 PM on May 2, 2025. 

Conclusion

The agreement marks another step in GR Infra’s continued expansion in highway development under the PPP model. With this concession in place, the company strengthens its footprint in high-value road infrastructure across India.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Retail Rush Turns Risky: Over 1 Lakh Investors Trapped in Gensol Engineering Shares

In the March 2025 quarter, retail investors made a significant move in Gensol Engineering, a company now mired in controversy. As per the latest shareholding data, the number of retail investors surged by 13,443 to 1,04,458, up from 91,015 in the December 2024 quarter. These investors, typically defined as those holding equity worth up to ₹2 lakh, collectively acquired 28.88 lakh shares during this period.

Their cumulative stake increased from 23.44% to 30.68%, reflecting growing retail participation despite rising concerns over the company’s internal affairs.

Promoter Shareholding Drops Sharply

While retail participation rose, Gensol Engineering’s promoters were heading in the opposite direction. Promoter stake saw a steep decline, dropping from 62.65% in the December quarter to 35.87% by the end of March 2025.

Individually, Anmol Singh Jaggi reduced his holding from 21.20% to 12.32%, and Puneet Singh Jaggi from 18.39% to 10.47%. The decline in promoter confidence raised further questions about the company’s stability and governance practices.

High-Net-Worth Individuals Trim Presence, But Holding Rises

Interestingly, while the number of high-net-worth individuals (HNIs) in the shareholder list fell from 111 to 48 quarter-on-quarter, their total holding rose from 7.10% to 10.15% by March 2025. This indicates that a smaller group of HNIs increased their exposure even as others exited amid uncertainty.

The diverging moves between retail investors and institutional/wealthy investors continue to highlight the risk gap in access to information and exit opportunities.

Read More: Gensol Engineering Share Price in Focus Amidst ED Raids: Investors Worry as Stock Crashes 92% From Its Peak

Stock Plunges Amid ED Raids and Lower Circuit Freeze

Gensol Engineering shares have witnessed relentless selling pressure since late February. On May 2, the stock hit yet another 5% lower circuit and dropped to a fresh 52-week low, extending its fall in back-to-back sessions with only sell orders visible on the exchange.

Adding to investor woes, the company confirmed that the Directorate of Enforcement conducted search operations at its offices in Gurgaon and Ahmedabad, seizing documents and electronic devices. Gensol stated that the financial impact of these actions is yet to be determined.

Conclusion

The sharp increase in retail investor participation in Gensol Engineering during a period of crisis has left many trapped in a stock that continues to decline with limited exit options. With promoter stake declining and investigations underway, the future remains uncertain for over a lakh retail shareholders.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Federal Bank Share Price Falls Despite Decadal Best Asset Quality and ₹1.20 Dividend

As of 11:55 AM on May 2, the share price of Federal Bank is trading 4.3% lower, marking the second consecutive day of decline. On the previous trading day, the stock had already dropped 3.31%. This dip comes despite the company delivering a decent financial performance for FY25.

Total Business Crosses ₹5 Lakh Crore Mark

Federal Bank’s total business crossed a significant milestone of ₹5.18 lakh crore in FY25, registering a year-on-year growth of 12.24%. The net advances rose by 12.15% to ₹2.35 lakh crore, with notable contributions from retail advances (up 14.5%) and commercial banking (up 26.76%).

Record Net Profit and Strong Other Income

The bank reported an annual net profit of ₹4,051.89 crore, an increase of 8.9% over FY24. For the March 2025 quarter alone, the net profit stood at ₹1,030.23 crore, up 13.67% year-on-year and 7.83% quarter-on-quarter. Other income surged 33.44% YoY to ₹1,005.95 crore, backed by a 30.11% increase in fee income.

Decadal Best Asset Quality

Federal Bank achieved its best asset quality in a decade with Gross NPA at 1.84% and Net NPA at 0.44%. The Provision Coverage Ratio improved to 75.37%, reinforcing the bank’s prudent risk management.

Operating Metrics and Margins

For Q4 FY25, the bank’s Net Interest Income (NII) rose 8.31% YoY to ₹2,377.44 crore, with Net Interest Margin (NIM) improving to 3.12%. Return on Assets (ROA) and Return on Equity (ROE) stood at 1.24% and 12.82%, respectively.

Deposit Growth and Capital Strength

Total deposits increased by 12.32% to ₹2.84 lakh crore. The bank’s capital adequacy ratio stood at 16.40% as per Basel III norms, with a Tier I ratio of 15.04%.

Read More: Adani Ports Share Price Rallies 5% After Strong Q4 Results

Dividend and Strategic Initiatives

The Board has recommended a 60% (₹1.2) dividend on equity shares of face value ₹2. FY25 also saw the launch of several strategic initiatives, including:

  • Project Udaan (branch transformation),

  • Corporate Internet Banking portal (FedOne),

  • Onboarding Bollywood actor Vidya Balan as the brand’s first ambassador,

  • Rollout of 150 strategic projects,

  • Opening of 85 new outlets, taking the total count to 1,589.

CEO’s Commentary

KVS Manian, MD & CEO, noted: “Crossing the ₹5 lakh crore total business and ₹4,000 crore net profit milestones marks a defining moment in our journey. We remain confident in sustaining our growth momentum through strategic focus and disciplined execution.”

Conclusion 

Despite robust financial performance and best-in-decade asset quality, Federal Bank’s stock has faced selling pressure. Investors may be reacting to broader market sentiment or booking profits post-results.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Power Grid Share Price in Focus: Here’s Why

In a key development disclosed on May 1, 2025, Power Grid Corporation of India Limited (POWERGRID) informed the stock exchanges about fresh investment approvals amounting to over ₹960 crore. These projects were greenlit during a meeting of the “Committee of Directors on Investment on Projects.”

The approved schemes are designed to enhance India’s power transmission infrastructure, with a specific focus on renewable energy evacuation and regional grid expansion.

The share price of POWEGRID was trading up by 0.13% as of 9:58 AM on May 2, 2025. 

Read More: Power Grid Shares in Focus: Secured Major Transmission Project in Andhra Pradesh

Transmission Boost for Bhadla/Bikaner Complex

The first project approved is the “Transmission system strengthening to facilitate evacuation of power from Bhadla/Bikaner complex.” This project, crucial for renewable energy transmission, comes at an estimated cost of ₹212.81 crore. It is scheduled to be completed within 18 months from the date of allocation, i.e., by 9th June 2026.

The Bhadla and Bikaner region is a key hub for solar energy in India, and strengthening transmission from this area is expected to support grid stability and accommodate rising clean energy output.

Eastern Region Expansion Scheme-43 (ERES-43)

The second initiative under the approved investment list is “Eastern Region Expansion Scheme-43.” With an estimated cost of ₹342.69 crore, this project is set to enhance the transmission infrastructure in eastern India. The expected commissioning timeline is 18 months, or 15 months on a best-effort basis, with a target date of 1st March 2026.

This expansion aims to support the growing energy demand and infrastructure modernisation in the eastern corridor.

Eastern Region Expansion Scheme-44 (ERES-44)

A further ₹408.94 crore has been allocated to “Eastern Region Expansion Scheme-44.” Scheduled to be completed by May 24, 2026, this project also targets transmission capacity enhancement in the eastern region, aligned with national plans for grid reliability and energy distribution efficiency.

Conclusion 

With a combined project outlay nearing ₹1,000 crore, Power Grid’s commitment to strengthening the national grid continues to reinforce its role as a central player in India’s energy transition journey.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

India Declared a ‘Creator Nation’ at WAVES Summit: YouTube CEO Highlights ₹21,000 Crore Payout and ₹850 Crore Investment

At the prestigious World Audio Visual & Entertainment Summit (WAVES) held in Mumbai, YouTube CEO Neal Mohan made a powerful statement about India’s rising influence in the digital content landscape. Declaring India a “creator nation,” he acknowledged the country’s massive footprint in the global creator economy. With over 100 million Indian channels uploading content on YouTube in the past year alone, India is rapidly positioning itself as a global content powerhouse.

Massive Creator Payouts Showcase Economic Impact

YouTube’s financial contribution to India’s digital ecosystem was a central highlight. Mohan revealed that over the past 3 years, the platform has paid more than ₹21,000 crore to Indian creators, artists, and media companies. This figure underscores the platform’s deep-rooted role in enabling livelihoods, entrepreneurship, and brand-building in the digital age. As Indian creators continue to scale their reach, the financial rewards have followed.

Indian Content Finds Global Audiences

Indian creators are not just catering to domestic viewers. According to Mohan, Indian content clocked 45 billion hours of international watch time in the last year alone. Whether it’s regional music, educational content, tech reviews, or lifestyle vlogs, Indian creators are resonating with audiences across the globe. This global engagement is turning local creators into international digital ambassadors of Indian culture and creativity.

Over 15,000 Indian Channels Cross the Million-Subscriber Mark

The scale of success is reflected in subscriber counts as well. More than 15,000 Indian YouTube channels have crossed the one million subscriber milestone. This growth showcases not only the increasing digital literacy and internet penetration in the country but also the power of niche content, regional language adoption, and community building in driving creator success.

YouTube’s ₹850 Crore Commitment to Fuel Further Growth

Looking ahead, YouTube announced a fresh investment of over ₹850 crore (approximately USD 100 million) over the next 2 years to bolster the Indian creator ecosystem. This investment is aimed at supporting infrastructure, tools, training, and innovation to help creators turn their passions into sustainable businesses. From monetisation opportunities to global distribution, the initiative is expected to accelerate the evolution of India’s creator economy.

Read More: April 2025 Auto Sales: Tata Motors, Maruti Suzuki, M&M Shares in Focus.

Conclusion

YouTube’s declaration of India as a “creator nation” is not merely symbolic. It marks a recognition of the economic and cultural shift powered by millions of digital entrepreneurs. From smartphones to studios, India’s creators are rewriting the playbook on storytelling, content consumption, and community engagement. As global platforms continue to support this movement, the next wave of digital success stories is expected to emerge not from boardrooms but from creators’ living rooms across the country.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

SEBI Cautions Investors on Opinion Trading Platforms Operating Outside Legal Framework

In a recent move to protect retail investors, the Securities and Exchange Board of India (SEBI) has cautioned the public against participating in so-called opinion trading platforms. According to SEBI’s official statement, these platforms fall outside the purview of regulated securities markets and do not offer any form of legal or investor protection.

How Opinion Trading Platforms Operate

Opinion trading platforms allow users to stake money on binary outcomes—essentially “yes or no” propositions about uncertain future events. These could range from the result of a sports match to a political decision. The structure of these trades is such that a user either gains a fixed payout if the chosen outcome occurs or loses the entire stake otherwise.

While they may appear similar to investment platforms due to their use of financial jargon like “profits”, “stop-loss”, and “trading”, SEBI clarified that these are not genuine financial instruments. Instead, they often simulate the mechanics of trading without the backing of underlying securities.

Outside SEBI’s Regulatory Scope

SEBI’s advisory highlighted that opinion trading does not qualify as trading in securities under Indian law. This distinction is crucial because only transactions in recognised securities fall under the regulator’s jurisdiction. Consequently, any activity or dispute arising from such platforms is not covered by the protections typically offered in SEBI-regulated markets.

As per the advisory: “No investor protection mechanism under securities market purview shall be available for such investment/participation.”

Platforms Are Not Recognised Exchanges

SEBI also clarified that these platforms are not recognised stock exchanges, nor are they registered with or regulated by the market watchdog. Therefore, investors dealing with such entities do so entirely at their own risk, with no recourse to dispute resolution or compensation mechanisms usually available in the formal capital market ecosystem.

In instances where the nature of trades mimics or crosses over into areas regulated under securities law, such activity could be deemed illegal. Recognised stock exchanges have also been directed to report any such violations and take appropriate action.

Read More: SEBI’s New Regulations for Investor Safety Unveiled

SEBI Flags Use of Misleading Financial Terminology

One of the key concerns raised by SEBI is the misleading language used by these platforms. By employing terminology commonly associated with legitimate financial markets, these platforms may mislead users into believing they are engaging in regulated trading.

SEBI underlined that regardless of how skill-based or strategic the engagement may appear, the binary nature and unpredictability of outcomes make such platforms closely resemble gambling rather than investing.

Conclusion

Through this advisory, SEBI aims to spread awareness among investors and deter them from engaging with platforms that fall outside regulatory oversight. The regulator has urged the public to remain cautious and not to be enticed by promises of easy profits or technical-sounding terms that create a false sense of legitimacy.

This communication reinforces SEBI’s continuing efforts to shield investors from emerging market risks, especially those that exploit technological innovation to bypass legal frameworks.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

ITR-1 and ITR-4 Forms Updated for AY 2025–26: Easier Tax Filing for Small Investors and Salaried Individuals

The Income Tax Department has notified revised ITR-1 (Sahaj) and ITR-4 (Sugam) forms for Assessment Year (AY) 2025–26. These updated forms aim to simplify the return filing process for small taxpayers, particularly salaried individuals and retail investors with limited capital gains. The move is widely seen as an effort to streamline tax compliance and improve the overall taxpayer experience.

What’s New: Small Investors Get Relief

One of the most significant updates in the new ITR forms is the relaxation granted to small investors earning long-term capital gains (LTCG). Individuals with annual LTCG of up to ₹1.25 lakh from listed equity shares or mutual funds can now file their returns using the simpler ITR-1 or ITR-4 forms.

Previously, these taxpayers had to opt for the more detailed and complex ITR-2 or ITR-3 forms—even if their LTCG income was within the tax-exempt threshold—resulting in a disproportionate compliance load.

Additional Enhancements in ITR Forms

Alongside the changes for capital gains filers, several updates have been introduced to improve form usability:

  • Drop-down menus: New drop-down options for deductions under key sections like 80C (investments), 80GG (rent paid), and others help reduce errors and confusion.

  • Detailed TDS reporting: Section-wise TDS (Tax Deducted at Source) disclosures are now required, increasing transparency and clarity in claiming tax credits.

These changes are designed to make filing smoother and ensure accurate reporting without needing deep technical knowledge.

Timeline and Availability

The updated return utility is expected to be made available shortly on the official Income Tax Department portal. The last date for filing returns (without audit requirements) remains July 31, 2025.

Notably, ITR forms are typically released before the end of the financial year. However, this year’s notification came later, reportedly due to the Revenue Department’s focus on a new Income Tax Bill introduced in Parliament in February.

Read More: ITR Filing FY 2024-25: A Complete Guide to Using the Offline Utility.

Who Can File Sahaj (ITR-1) and Sugam (ITR-4)?

ITR-1 (Sahaj)

Suitable for resident individuals with:

  • Total income up to ₹50 lakh

  • Income from salary, one house property, and other sources, such as interest

  • Agricultural income up to ₹5,000

ITR-4 (Sugam)

Applicable for individuals, Hindu Undivided Families (HUFs), and firms (except LLPs) with:

  • Income up to ₹50 lakh

  • Business or professional income under the presumptive taxation scheme (Sections 44AD, 44ADA, or 44AE)

Clarifying the Terminology: AY vs FY

Understanding the basic distinction between Assessment Year and Financial Year is crucial for accurate filing:

  • Financial Year (FY): This is the year in which the income is actually earned, running from April 1 to March 31.

  • Assessment Year (AY): This is the year immediately following the financial year, during which the earned income is assessed and taxed. For example, income earned in FY 2024–25 is assessed in AY 2025–26.

Conclusion

The newly notified ITR-1 and ITR-4 forms represent a move towards a more taxpayer-friendly regime. By reducing complexities for small investors and salaried individuals, these changes underscore the government’s commitment to making compliance simpler and more accessible.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

India’s Luxury Retail Market Surges 90% in Q1 2025 as Global Brands Expand Presence

India’s luxury retail landscape is undergoing a remarkable transformation. In Q1 2025 alone, leasing activity in the luxury and bridge-to-luxury segment grew by a staggering 90% compared to the same period last year. Leasing by luxury brands touched 1,80,000 square feet, underlining a sharp rise in demand from global and domestic players alike, all eager to tap into India’s expanding premium consumer base.

Changing Consumer Demographics Fuel Expansion

A key driver behind this expansion is the evolving Indian consumer profile. Luxury brands are recalibrating their strategies, moving beyond legacy customers to target a broader and younger demographic. This includes not only the metros but also new-age urban centres that reflect changing lifestyle aspirations.

International Brands Enter Indian Cities

The Indian luxury ecosystem saw several marquee international entries in Q1 2025. German clockmaker Qlocktwo opened in Bengaluru, Jacadi Paris, a French children’s fashion brand, entered India, and women’s fashion label Maje debuted in Mumbai. Meanwhile, Bershka – the Spanish fast-fashion brand – and premium coffee lifestyle brand Nespresso launched stores in Delhi.

These entries reinforce the belief that India is now on the radar of most international luxury players, especially as Asia-Pacific emerges as a key growth region.

Read More: Luxury Shopping Beyond Metros: How E-commerce is Redefining Shopping in Small-Town India.

Surge in Rentals and Demand for Prime Retail Spaces

With this surge in demand, prime retail malls are witnessing a rental uptick. Strong sales performance by luxury tenants has empowered landlords to command higher rents. Notably, brands in the bridge-to-luxury segment, particularly in categories such as beauty and accessories, are aggressively taking up space in newer malls and emerging premium locations.

India’s High-Income Households to Double by 2030

According to projections, the number of high-income households in India is expected to grow from 15 million in FY23 to 30 million by 2030. This demographic shift underpins the bullish outlook for the luxury sector. The luxury market in India is expected to grow 3.5 times by 2030, reaching an estimated ₹8,500–₹9,000 crore (approximately US$1.01–1.06 billion).

Conclusion

India is poised to remain among the top 5 luxury markets in the Asia-Pacific region. While legacy players continue to focus on metros, new entrants are eyeing India’s aspirational population across Tier-1 and Tier-2 cities. This momentum reflects not just a retail evolution but a broader socio-economic shift.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

India’s Restaurant Sector Can Generate 1.5 Crore Jobs by 2028 with Policy Reforms, Says NRAI VP

India’s restaurant sector, which currently employs approximately 85 lakh people, has the potential to generate employment for 1.5 crore individuals by 2028. 

This optimistic projection comes from Mr Zorawar Kalra, Vice President of the National Restaurant Association of India (NRAI), who believes that the right policy support could unlock significant growth and employment opportunities for the industry.

Key Demand: Granting ‘Industry’ Status and GST ITC

One of the primary demands from the NRAI is to grant the restaurant sector ‘industry’ status—an acknowledgement that would help streamline access to various government schemes and incentives. Additionally, the association is pressing for the availability of input tax credit (ITC) under the Goods and Services Tax (GST) framework.

Currently, restaurants are taxed either at 5 per cent GST without ITC or at 18 per cent with ITC. This dual structure is seen as unfavourable and burdensome, especially for smaller players in the industry. Kalra, who also heads Massive Restaurants Pvt Ltd, stated that the lack of ITC is a significant operational challenge and expressed hope that this issue would be addressed by the government soon.

Tensions with Aggregators Over Fair Competition

Beyond taxation, the relationship between restaurants and food delivery aggregators such as Swiggy and Zomato remains strained. The NRAI has voiced concerns over these platforms launching their own private-label brands in the quick-commerce segment a move seen as threatening to fair market dynamics.

Kalra called for open dialogue between aggregators and restaurant owners to ensure mutually beneficial operations. “Aggregators must engage more constructively with the sector and acknowledge the challenges it faces,” he added.

Service Charge Issue Remains Under Legal Review

The issue of service charges levied by restaurants continues to be a matter of legal debate. With the case currently sub judice and scheduled for a hearing in the Delhi High Court on May 9, 2025, Kalra chose not to comment in detail. However, he affirmed that service charges are globally accepted and remain optional for customers in India.

Read More: Best Hotel Stocks in India in April 2025 – Indian Hotels, Oriental Hotels & More – 5yr CAGR Basis

Conclusion

With over 5 lakh restaurants under its umbrella, the NRAI believes that the restaurant industry is poised to play a pivotal role in India’s economic future, provided that it receives the regulatory recognition and support it seeks. Kalra concluded that policy reforms, especially around GST and the aggregator ecosystem, could empower the sector to exceed employment targets and contribute meaningfully to national growth.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.