Home >News >India >Hotels vow to increase local sourcing under PM's Atmanirbhar Bharat initiative
There has been a significant jump in locally-sourced wine and spirits from 30% in 2000 to 45% in 2020. (HT)
There has been a significant jump in locally-sourced wine and spirits from 30% in 2000 to 45% in 2020. (HT)

Hotels vow to increase local sourcing under PM's Atmanirbhar Bharat initiative

  • The Hotel Association of India said that the hospitality industry is looking to increase its focus on local sourcing of ingredients and components in its key pillars of food and beverage, infrastructure and engineering equipment

New Delhi: From using locally-produced Ayurvedic soaps and oils as toiletries, earthern pots for serveware to creating zero-mile menu from locally-produced fruits and vegetables, the hospitality industry has taken measures to support the "Átmanirbhar Bharat" initiative. Hotel Association of India (HAI), which represents 300 hotels across categories, said that the hospitality industry is looking to increase its focus on local sourcing of ingredients/components in its key pillars of food and beverage, infrastructure and engineering equipment.

HAI's research stated that from about 65% in 2000, there has been a consistent effort to increase the extent of local sourcing, which rose to about 87% in 2020 and the industry aspires to increase this to an overall over 95% by 2025. In certain value components such as diesel generator sets, AC units, mechanical equipment and elevators, this would be closer to 100%.

In the food and beverages segment, hotels have increased locally-sourced food ingredients such as condiments, vegetables, raw meat, seafood, exotic fruits, dairy and processed foods. In 2000, around 85% ingredients were locally-sourced, which has increased to 88% in 2020. There has been a significant jump in locally-sourced wine and spirits from 30% in 2000 to 45% in 2020.

In terms of furnishings and decor, hotels have witnessed a jump in sourcing local handicrafts, artefacts and handmade furnishings from Indian artisans and craftsmen from 60% in 2000 to 90% in 2020. Home-grown beauty and personal care firms have benefited massively over the years as hotels are increasingly switching international toiletries with Ayurvedic oils and soaps. Therefore, toiletries segment is expected to go fully local as hotels plan to switch to 99% local made products by 2025.

About 90% of the total inventory in the India's hotel industry lies in the form of budget and standard hotels that have been sourcing products from home-grown vendors and companies.

The industry body emphasized that the Indian hospitality sector employs close to 45 million people, including unskilled, semi-skilled and skilled workers, providing opportunities for women and to the differently-abled in the country.

Madan Prasad Bezbaruah, secretary general, Hotel Association of India (HAI), said that he believes that the hotel industry in India has come a long way from dependency on imports to driving greater procurement locally.

"Competencies have increased, the use of technology has gone up and India can be well proud of the way it has evolved in the last two decades. We at HAI want to encourage the Make in India initiative for the country’s development. The hotel industry has been foremost in terms of its world-class quality and service and will continue to drive efficiencies in coming as close to self-reliance objective as possible," he added.

Priya Paul, chairperson, Apeejay Surrendra Park Hotels Limited said that their hotel chains work with numerous Indian designers, fashion designer, product as well as local artisans and promote Indian performing arts.

"For instance, at The Park Hyderabad, we commissioned local artisans and craftsmen to work on the dying art of Kalamkari and to recreate it in a contemporary way. Both at The Park Hotels and Zone by The Park, we work closely with the local organic farmers. Our menus are also designed in a way where information on the source of food is also shared," she added.

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