Report
The Federation of Hotel and Restaurant Associations of India (FHRAI) and the National Restaurant Association of India (NRAI) have strongly opposed Zomato and Swiggy’s entry into the private-label food delivery sector. Both associations argue that the move disrupts fair competition and jeopardizes the restaurant industry.
Impact on Restaurants
The NRAI, representing over five lakh restaurants in a ₹5.69 lakh crore industry, warns that private-label food delivery threatens the sustainability of countless eateries. Concerns about misuse of restaurant data and potential food safety risks further amplify their stance.
Call for Regulatory Action
The FHRAI plans to meet Ministry of Commerce officials to advocate for fair practices in the food service sector. “We have requested an urgent meeting to address this critical issue,” said Pradeep Shetty, Vice President of FHRAI. He added, “Platforms like Zomato and Swiggy are violating existing e-commerce regulations.”The associations emphasize the need for swift regulatory measures to safeguard the hospitality industry’s interests.
Source: Mathrubhumi