4th February last day for food biz

There will be no more sale of liquor in Bihar. Chief Minister Nitish Kumar has announced the state as a ‘dry state’ from Tuesday.

The government has decided to completely ban the sale and consumption of alcohol, including India Made Foreign Liquor (IMFL) with immediate effect.

The government has already banned the manufacturing, trade and consumption of country/spiced liquor in the state from 1st April. On November 19 last year, the government announced that it would enforce prohibition in phases. On Tuesday, the state Cabinet cleared the proposal for total ban on the sale and consumption of alcohol in the state."Bihar has become a dry state from today," Chief Minister Nitish Kumar announced after the end of state cabinet meeting.

The announcement came as a surprise as the state government had earlier asked the Bihar State Beverage Corporation (BSBCL) to own limited number of IMFL shops in the state. With final decision, the state government would not issue any licenses for sale and consumption of liquor.

It has also banned the sale of wholesale or retail of IMFL in Bihar.

"With the announcement of total prohibition, there is ban on the sale and consumption of IMFL in big restaurants, hotels and clubs with immediate effect," stated the release issued by the state government.

The order has made it clear that it would not affect the Army's canteen. According to the release, anti-liquor campaign undertaken by the CM Nitish Kumar received a good response from the people across the state. Under the new Excise Policy, about 4,900 persons were arrested recently.

BSBCL has a stock of about 36,000 seized IMFL and the government has authorised the excise department to dispose it. There would be no ban on manufacturing units of IMFL in Bihar. The ban is only on the sale of IMFL. The manufacturing units can make supply to other states by using digital lock and GPS system in the vehicles. Nitish Kumar has described his government's decision to ban the alcohol as "a foundation of social change".  

Government today rejected suggestions that the five-month ban Swiss giant Nestle's Maggi noodles was in retaliation to EU's clampdown on marketing of 700 generic drugs for alleged manipulation of clinical trials by GVK Bio.

"I don't think that these two issues are at all linked. Many countries take many decisions in what they deem to be appropriate regulatory steps to protect their population," said Rita Teaotia, Department of Commerce Secretary, reported PTI.

"This is the legitimate right of every country. So whatever action was taken on Nestle was legitimately within the domain of the Food Safety and Standards Authority of India (FSSAI).

"Whatever the EU did in the GVK Bio case, whether we liked it or not, whether we protest, it was what they felt was legitimate. They represented their case and we represented our case. I don't think that we can get into tit-for-tat mode," she said.

Regarding the free trade agreement (FTA), she said the EU needs to convince its member countries on some of the issues raised by India to boost two-way commerce and investment.

On the exports front, she said there has been contraction during the current year on account of global economic slowdown.

With Haryana cabinet giving nod to 50 per cent increase in excise duty in addition to a 2 per cent hike in VAT, country liquor (CL) and Indian made foreign liquor (IMFL) will now cost more in the state.

The decision was taken after a cabinet meeting held under chief minister Manohar Lal Khattar in which excise policy for 2016-17 financial years was approved, reported TOI.

According to the new policy, VAT on liquor has been increased from 8 per cent to 10 per cent and additional excise duty has been rationalized and increased for country liquor to 18 per proof litre and that of IMFL to 45 per proof litre.

"The increased revenue receipts will be utilized for welfare functions and social activities like sports and education," said Ram Bilas Sharma, Haryana parliamentary affairs minister.

The government has also introduced the facility of online passes and permits for transportation of liquor. Maximum retail price (MRP) of popular IMFL and beer brands or styles has been rationalized as per market trends. Excise duty remains unchanged except for draught beer and ready to drink beverages where it has been brought on par with mild beer.

E-tendering of liquor vends has been made more user-friendly while total number of retail outlets of CL and IMFL in the state will remain unchanged at 3,500. Sub-vends will be allowed in villages with population of less than 1000 only, with prior consent of the gram panchayat.

Modern shops with good facilities and machine generated point of sale would be encouraged and their number would also be increased. Maximum basic quota has been increased after 2010-11. For country liquor, basic quota has been increased from 900 to 950 lakh proof litre and that of IMFL from 500 to 550 lakh proof litre.

The export duty has been rationalized and increased as per growth potential to maximize revenue. Franchise fee, bottling fee and fee structure for bar licenses have also been rationalized and re-oriented as per market trends and opportunities.

In the quest to formalize the unorganised sector and certify those who are not formally skilled, National Skill Development Corporation (NSDC), Tourism and Hospitality Sector Skill Counciland Food Safety and Standards Authority of India (FSSAI) has organized camps at the ongoing National Street Food Festival in Central Delhi, to induct and certify those who have been food vendors for long but do not have any recognition of their prior learning.

The festival has street food vendors representing different states and their respective popular food.

Under the guidance of Ministry of Skill Development and Entrepreneurship (MSDE) and PMKVY – Ministry’s flagship scheme, NSDC has enabled for a provision for assessing these vendors, on-spot on their skill level with adherence to the National Skill Qualification Framework (NSQF). Once assessed, their certification as per the process under PMKVY, will be sent to them.

“We are glad to find a partnership with NSDC under the leadership of Ministry of Skill Development and Entrepreneurship, in this endeavor. There are 34.5 lakh food businesses registered with FSSAI and mostly small ones who need handholding, training and assessment. Endeavors like these will help organize this segment of society and create a natural pull for many others in the league,” Pawan Agarwal, CEO, FSSAI.

Speaking at the event, Jayant Krishna, CEO, NSDC said, “The initiative will help street food vendors to evolve self-regulatory code and a set of guidelines for safe and hygienic food to win the confidence of common man. Indian street food is popular all over the world for its range of flavors. There is strong need to create awareness about hygiene and best practices among food vendors through their training and recognition. RPL under PMKVY will ascertain that these vendors get certified in their skill and earn respect for their work.”

The target is to skill as many vendors as possible while this festival is on and ensures their certification so that they have recognition by industry and government, and also are acknowledged by FSSAI.

In this way their knowledge & skills will be formally recognized. These vendors are being provided orientation to National Skill Qualification Framework (NSQF) and then being assessed on their existing skill levels over the next three days of the festival.

The Tourism and Hospitality Sector Skill Council with industry experts have developed the Qualification Packs for these vendors basis which the assessment is happening.

Under Pradhan Mantri Kaushal VikasYojana (PMKVY), special focus is given to Recognition of Prior Learning (RPL) by recognizing prior competencies of the assessed candidates and then a certificate is provided on successful completion of assessments. PMKVY RPL has been rolled out in 22states and 1union territory in India covering 127districts in23 sectors catering to 95 job roles.

Till date PMKVY- the overall scheme including RPL has enrolled more than 12 lakh candidates through 1,043 training partners who provide training through 9,582 training centers across India.

The process of RPL at the National Street Food Festival begins with a 2 hour workshop whereby Tourism &Hospitality Sector Skill Council together with FSSAI oriented street food vendors on the following parameters:

1. How to maintain health and hygiene standards in the vending area 2. How to maintain safety while vending 3. How to maintain customer-centric service orientation 4. Information on the type of entrepreneurial activities required to run the food vending business (i.e. How to cross sell products) and; 5. How to follow gender and age sensitive service practices

These street vendors have been assessed by Tourism and Hospitality Sector Skill Councilaffiliated assessment agency, Aspiring Minds, on the basis of the above mentioned parameters. The assessment is done using technology. The benefit of doing so is that the assessment results are generated instantly and the assessors are able to provide feedback to the vendors on the spot.

Vendors who pass their assessment will be given a Government certification as per the PMKVY process. They will also be registered under FSSAI for which they will receive a card indicating the same.  

There are more reasons for people in Delhi as the city government is considering not increasing excise duty on liquor in the next financial year.

According to the sources, there is no need to revise excise duty for 2016-17 as liquor prices, across various segments, had been increased by 8-12 per cent in 2014-15, reported PTI.

The AAP government had not increased excise duty on liquor last year, but raised license fee for different categories by around 20 to 30 per cent.

"The government is contemplating not to increase excise duty for the next financial year as we don't see any need for revising the same. The existing system will be so upgraded that the revenue collection will increase," sources said.

They said a proposal will soon be prepared in this regard.

"The work on formulating new excise policy has started. The new policy will be tabled in Cabinet which will take a final decision in this regard," they said.

The city's excise department had last year submitted a proposal for bringing down the legal age for consumption of beer and wine from 25 years to 21 years, but it was struck down by the government.

The Supreme Court on Tuesday upheld a liquor ban imposed in Kerala last year by the State government.  Dismissing appeals filed by bar owners’ associations and private four-star hotels, a bench comprising justices Vikramajit Sen and Shiva Kirti Singh upheld a March verdict of the Kerala High Court.

The court assembled especially today to deliver six verdicts, including the one on the Kerala liquor ban, as Sen retires tomorrow.

The Kerala government had submitted that liquor traders cannot protest the “unreasonableness” of the ban on all category of bars except those in five star hotels as they have no right to protection to practise their trade under Article 19 (1) (g) of the Constitution.

The court has agreed with the State’s argument that liquor traders have no business to intervene in the policy prescriptions of the State government. Several four-star, private hotels and bar owners’ associations had appealed against a Kerala High Court verdict upholding the government’s liquor policy.

Last year, the government had introduced a policy which only allowed five-star hotels to have bars. Eventually, about 700 bars were shut down.

The Supreme Court had, after hearing all parties, reserved its verdict on 27 August.

Four-star hotels had claimed that there was no reason to discriminate between five-star and four-star hotels as there were very little distinction between them.

However, the Kerala government had argued that there was no conflict in banning liquor sales, as it was a privilege granted by the government.

Shares of brewing companies tumbled as the apex court upheld the ban on sale of liquor in Kerala. United Breweries Ltd fell 2.5 per cent, while United Spirits Ltd was down 0.7 per cent.

The Patanjali Yogpeeth (Turst) promoted by Baba Ramdev, yoga teacher denied having violated Food Safety and Regulatory Authority of India (FSSAI) guidelines for its Patanjali Atta Noodles, reported ET.

"We have followed all FSSAI rules and guidelines and committed no violation," said S K Tijarawala, Ramdev's spokesman.

The noodle brand made headlines and grabbed social media attention when Ramdev's pictures of scooping up noodles flashed all over early this week. However, with FSSAI chairman Ashish Bahuguna having stated that the instant noodle brand is yet to obtain mandatory approvals from the food regulator, the brand has come under scrutiny subduing the fanfare launch amid Nestle Maggi controversy and the latter's relaunch during Diwali.

Patanjali Ayurved Ltd and Patanjali Food and Herbal Park, Hardwar have obtained a relabeling license (license number 1001401200026) from FSSAI which is valid until February 20, 2019, said Patanjali Yogpeeth (Trust) in a statement.

The relabeling license permits it to get (source) noodles from companies which have FSSAI approval to manufacture noodles. "We have FSSAI license for pasta under Central category and noodles falls under pasta as per FSSAI guidelines," it added.

Maharashtra Chief Minister Devendra Fadnavis today said that the proposed joint venture between Hindustan Agro Co-operative Society and Rosatom, a Russian firm which works in the nuclear power sector, will help increase the shelf life of vegetables and foods, reported PTI.

A memorandum of understanding for the project was signed in Fadnavis's presence at the government guest house `Sahyadri' in Mumbai.

“The technology would also help in keeping the prices of food materials stable. The consumer would get quality food and vegetables and I believe the project will be successful as using technology is the need of the day,” added the Minister.

Chief secretary Swadheen Kshatriya, additional chief secretary Sudhirkumar Goyal (agriculture), principal secretary to the Chief Minister Praveen Singh Pardeshi, CEO of MIDC Bhushan Gagrani, Dr Bharat Dhokane-Patil of Hindustan Agro Society and Anton Moskvin, vice president of Rosatom, were present on the occasion.

Earlier, in his message on the occasion of Maharashtra day today, the CM had stressed the use of technology for sustainable agriculture.

Dubai Parks and Resorts, which is set to be the region’s largest multi-themed leisure and entertainment destination when it opens in October 2016, has signed an agreement with Wizcraft International Entertainment, India’s leading communications and entertainment company.

Wizcraft will work with the Dubai Parks and Resorts entertainment team to create a world-class Bollywood show for the Rajmahal Theatre.

Situated in Bollywood ParksTM Dubai, the Rajmahal Theatre reflects the beauty and wonder of India’s culture and architectural heritage.

The first Broadway-style theatre of its kind in the region, the spectacular 60,000-square-foot Rajmahal Theatre will feature state-of-the-art LED stage backdrops, along with VIP boxes and exclusive lounges for private events and galas.

Headquartered in Mumbai, Wizcraft uses the latest live entertainment technology to create immersive entertainment experiences for audiences across the globe.

In recent years, the agency has produced the globally-renowned International Indian Film Academy Awards (IIFA), Star Guild Awards and the Global Indian Music Academy Awards.

In 2010, Wizcraft launched the Kingdom of Dreams, India’s first ever entertainment destination on par with New York’s Broadway or London’s West End.

Raed Al Nuaimi, CEO of Dubai Parks and Resorts, said “We are committed to providing an unforgettable experience for our guests, and we have partnered with the most creative minds in the industry that have a proven track record of producing world-class shows  and  events.  We are very pleased to bring Wizcraft on board this unique project and we look forward to experiencing the excitement of the show when the first curtain rises.”

Commenting on the same, Viraf Sarkari, Director of Wizcraft, said “Wizcraft has produced some of the world’s largest shows and events, and we look forward to creating the largest Bollywood musical ever produced. We are very pleased to bring the magic of Bollywood to audiences in Dubai, and we are proud to partner with Dubai Parks and Resorts.”

Alongside Bollywood Parks Dubai, the first phase of this unprecedented project will include LEGOLAND Dubai and motiongate Dubai – connected by RiverlandTM Dubai, a retail, dining and entertainment walkway. 

The development will also feature Lapita, a Polynesian-themed resort catering to families.  Dubai Parks and Resorts is projected to attract 6.7 million visits during its first full year of operation.

In a recent drive by the food safety commissioner in Kerala over 12 eateries were ordered to be closed and 223 outlets were served with improvement notices.

The officials have collected about 36.75 lakh as fine following inspections conducted at various hotels and restaurants; food safety commissioner has informed the Kerala High Court.

At the same time, two tanker Lorries carrying adulterated coconut oil was confiscated, an affidavit filed by food safety commissioner Anupama TV said.

These would show that strict action is being taken against erring food business operators, including hotels and restaurants, the food safety commissioner opined.

The affidavit was filed in response to a contempt of court petition filed by Basil Attipetty alleging inaction on the part of the commissioner.

Following a high court order issued in February 2012, special drives were ordered across the state.

Inspections are conducted through inter-district squads frequently in addition to inspections during festivals and special occasions. Special drive was conducted all over the state with emphasis on ghee, pickle, payasam mix, spices and condiments, cooked meat, bakery food, chips, milk and milk products, and oil.

Surveillance at check posts were intensified with the assistance of mobile analytical labs during Onam, the affidavit filed through senior government pleader Joe Kalliyath said.

McDonald's USA has announced new menu sourcing initiatives including only sourcing chicken raised without antibiotics that are important to human medicine.

In addition, McDonald's restaurants will also offer customers milk jugs of low-fat white milk and fat-free chocolate milk from cows that are not treated with rbST, an artificial growth hormone.

"Our customers want food that they feel great about eating -all the way from the farm to the restaurant and these moves take a step toward better delivering on those expectations," said Mike Andres, McDonald's US President.

McDonald's has been working closely with farmers for years to reduce the use of antibiotics in its poultry supply.

This new policy supports the company's new Global Vision for Antimicrobial Stewardship in Food Animals introduced this week, which builds on the company's 2003 global antibiotics policy and includes supplier guidance on the thoughtful use of antibiotics in all food animals.

All of the chicken served at McDonald's approximately 14,000 US restaurants comes from US farms which are working closely with McDonald's to implement the new antibiotics policy to the supply chain within the next two years.

"McDonald's believes that any animals that become ill deserve appropriate veterinary care and our suppliers will continue to treat poultry with prescribed antibiotics, and then they will no longer be included in our food supply," said Marion Gross, Senior VP, McDonald's North America Supply Chain.

While McDonald's will only source chicken raised without antibiotics important to human medicine, the farmers who supply chicken for its menu will continue to responsibly use ionophores, a type of antibiotic not used for humans that helps keep chickens healthy.

"If fewer chickens get sick, then fewer chickens need to be treated with antibiotics that are important in human medicine. We believe this is an essential balance," Gross added.

In another move, McDonald's US restaurants later this year will offer milk jugs of low-fat white milk and fat-free chocolate milk from cows that are not treated with rbST, an artificial growth hormone. The milk jugs are popular choices in Happy Meals.

All of these actions are the latest steps in McDonald's USA's journey to evolve its menu to better meet the changing preferences and expectations of today's customers.

"We will continue to look at our food and menu to deliver the kind of great tasting and quality choices that our customers trust and enjoy," Andres added.

India will not scale down its multi-billion dollar food welfare programme that promises ultra-cheap rice and wheat to most of its people, Prime Minister Narendra Modi told lawmakers in parliament on Tuesday.

A panel set up by Modi had urged the government in January to lower the number of beneficiaries to 40 per cent from 67 per cent under the programme, which is estimated to cost the exchequer $20 billion in the fiscal year that begins in April.

"The government has not decided to reduce the coverage under food security from 67 per cent. There is no such plan either," added Modi.

With announcement of service tax rising, Amul has hiked the price of its condensed milk.

The group also said that they may hike the price of milk, malted milk food products, chocolates and peanut butter.

An excise duty of 2 per cent without CENVAT credit has been levied on condensed milk and peanut butter.

Amul has already effected a price hike on its 'Mithai Mate' condensed milk by Rs 3 to Rs 88 for a 400gm tin to factor in the excise levy, R S Sodhi, MD, Gujarat Co-operative Milk Marketing Federation (GCMMF), the maker of Amul, told TOI.

On other milk-based products, he said, "We'll consider passing on part of the cost-increase to consumers, as and when we decide on price changes."

Also, milk products have been removed from the list of exemptions from service tax on transportation of 'food stuff' by rail, vessels and road.

The government has also raised service tax from 12.4 per cent to 14 per cent, while excise duty has been hiked to 12.5 per cent from 12 per cent.

The state excise department of Pune has raided a pub in a mall located in eastern suburb - Hadapsar, which is known for IT parks in the city.

The pub has been seized for not taking the proper licenses for serving liquor in the city. The state excise department has seized liquor worth Rs 2.64 lakh from the outlet.

“The pub had been operating in a mall at Hadapsar without taking the mandatory licence from the department, based on a complaint, The department raided it and seized liquor worth over Rs 2.64 lakh,” said Vasant Kousadikar, Inspector, G division, state excise, Pune.

The excise department has also arrested four people in the matter including the owner and employees.

Adding to the same Kousadikar shared, “The liquor was brought to the pub from a microbrewery and hotel operated by the same management but located at a different place in the city. Though the liquor sold there was legal, it was brought here and sold illegally.”

The department has registered the selling and transporting the brew without any licence and transport permits by the operator.

According to the experts, the license required for running a bar and a pub need spending of approximately Rs 15,000 to Rs 20, 000 and is subject to approval within a week or a month depending on the legalities that the bar and a restaurant goes through.

"Otherwise, there are cases of liquor being sold illegally by dhabas or roadside hotels. But, here, a restaurant in a mall was selling it without a licence and was also advertising its wares openly," added Kousadikar.

Indian Made Foreign Liquor consumption rose by 7.84 per cent to end at 1,615.06 lakh bulk litres in 2013-14 versus 1,497.62 lakh bulk litres in 2012-13. Overall, beer constitutes just about 5 per cent of the total alcohol consumed in the country. However, the market is expected to reach $9 billion by 2016.

According to a research by Technopak, it is estimated that wine in India has penetrated only 1-2 million individuals, resulting in a very low per capita consumption at the national level. The global per capita consumption of wine is estimated at 4 litre per annum, while the Indian figure stands at 4.6 millilitres. According to industry estimates, the per capita consumption has gone up and is estimated to be 9-10 millilitres per annum.

Thus we can see that, Alcohol consumption which is rising in the country has seen several ups and down in the last six months, from banning the restaurants to sell liquor in Kerala to raiding a restaurant for not selling the legal liquor in Pune has been noticed in the country.
 

Within a month of entering India’s crowded fast food market, the US fast food giant Burger King has already got itself in a soup. The Delhi High Court on Saturday allowed an Indian restaurant by the name of Burger King to appeal to the Intellectual Property Appellate Board in Chennai for suspension of the trademark name ‘Burger King’.

The issue was first reported by a leading business daily, Business Standard.

The build-up was out of the fact that Burger King had sought assurance, before entering India; from the High Court for permanent injunction against companies it had sued for trademark infringement to approach lower courts for stay orders against its India launch.

The company had earlier alleged that local restaurants had ‘surreptitiously’ registered a company called Burger King India as it was also the name of the joint venture between US-based Burger King Corporation and private equity investor Everstone Capital. However as a deterrent, a counter claim was filed by the Indian company.

Started in 1996, the Indian Burger King Restaurant, has been working on converting “staple vegetarian vada pav and dabeli burger into a wholesome, healthy low-calorie option, while maintaining the original taste”. Besides, the restaurant is now mulling on introducing street carts in malls in Ahmedabad, Pune and Mumbai.

Currently Burger King India is just three-outlets old, one in Delhi and two in Mumbai. The company is focusing on competitive pricing strategy to further penetrate in the market, taking on its major rival, McDonald’s.

With around 13,000-outlets strong globally, Burger King has had a trademark registration in India since 1979, which has been renewed by the company.

The food samples recently collected by the city government's Food Safety Department from restaurant chains like KFC, Sagar Ratna and Bikanervala were found to be unsafe and sub-standard, according to a report published by ETRetail.com.

The Delhi High Court has been informed about the same by the officials and an affidavit filed by the designated officer from the department states that the presence of artificial colour makes these dishes ‘unfit’ for consumption.

Short affidavit filed before the bench of Chief Justice G Rohini and R S Endlaw stated that the samples of ‘Rizo Rice’ taken from KFC at Scindia House in Connaught Place, since January 2013 till October 2014 are found to have artificial colour.

"Rice samples collected for testing from Sagar Ratna restaurant at gate no 2 metro station of GTB Nagar, were also found to be unsafe," said S K Gupta, the designated officer.

Samples of fruit and vegetable chutney from Bikanervala restaurant at ITL Tower in Netaji Subhash Place were found to be substandard, the affidavit said.

"Several samples of ghee and butter collected in the past two years from various eateries were found to be of sub-standard quality and were misbranded to mislead the public," it said.

Moreover, samples of fruit chutney picked up from the market and instances have come to notice regarding addition of colour in the chutney, it said.

"One sample of fruit and vegetable chutney was found to be of sub-standard and action against the offenders has been initiated," the affidavit filed through Delhi government's standing counsel Zubeda Begum said.

However, the eateries have denied the allegations and mentioned that their products are safe for consumption. The court is hearing a plea seeking an immediate ban on the sale of fruits and vegetables that contain artificial colours and harmful pesticides.

The Kerala High Court on December 3 directed the government to grant licenses to 22 more bars attached to four-star hotels in the state, according to a report published by the Economic Times.

The order was issued by Justice Surendra Mohan while looking to the petitions by bar owners seeking renewal of their licenses in the backdrop of the decision of the court to grant licenses to bars in their hotels.

The court has given a two months time to the government to take a decision considering the eligibility of the petitioners. However, the state govt has appealed against the court's decision to permit bars in four star and heritage hotels, saying the decision was 'untenable' and 'unsustainable'.

Meanwhile, counsel for petitioners - Vaikom Vishwam, LDF convenor and Sunil Kumar, CPI MLA, informed a division bench that there was sufficient material to register a crime against Finance Minister K M Mani, who is facing allegations of bribe for granting bar license.

"There is no need to conduct preliminary investigation or quick verification before registering the crime," they submitted before a division bench comprising acting Chief Justice Ashok Bhushan and Justice A M Shaffique.

The Central government has asked Bihar government to meet all conditions of National Food Security Act (NFSA) till December 31 this year, according to a PTI report.

The Central government has asked Bihar government to fulfill all conditions of National Food Security Act (NFSA) till December 31 this year, failing which action will be taken,” Ram Vilas Paswan, Union Minister for Food, Public Distribution and Consumer Affairs, told PTI.

The minister also accused the local government of submitting false affidavit claiming that all formalities of NFSA have been fulfilled in the state.

"The Centre has fixed the number of NFSA beneficiaries in Bihar at 8.71 crore, but Bihar has identified only 7.6 crore people till now. More than 1 crore are yet to be identified, leading to their deprivation in getting subsidised food grains at a rate of Rs 2 per kg for wheat and Rs 3 per kg for rice," Paswan added.

"Bihar government has failed to upload the digitised database of NFSA beneficiaries on the authorised portal, and has not provided any figures related to food grain distribution on time. This has hampered the end to end computerisation and transparency aspect of food security to the people. There have been numerous complaints from rural areas of Bihar regarding non-availability of food grains," Paswan further informed PTI.

According to the PTI report, NFSA was implemented in Bihar from March 2014, and the food grain allocation to it has been raised from 36.32 lakh tonne to 55.27 lakh tonne per annum under the scheme.

New Delhi: The hospitality sector, which is going through one of its worst ever economic downswings, is hoping for a reversal of trends with the formation of the new Government in Maharashtra.

The sector is expecting the introduction of rational policies and stronger infrastructure creation that will go on to boost the tourism and hospitality industry in the State.

“As soon as the Government settles in, we will be meeting the Chief Minister and the Tourism Minister with vision for the hospitality industry. In the last twenty-five years every successive Government has regularly raised taxes, introduced new taxes and increased procedural requirements. In return, the industry has suffered. Our request from the new Government is that the tax structure and policies be rationalized; otherwise, the hospitality sector which is bleeding badly, will bleed to death,” said, Bharat Malkani, President, Hotel & Restaurant Association of Western India (HRAWI).

The association has identified seven key issues that it would take up with the Chief Minister on behalf of the hotel industry.  The issues include single window clearance for licenses; eliminating duplication of certificates that need to be taken from Food Safety & Standards Authority of India (FSSAI) and local bodies, municipality and municipal corporations; rationalization of room rates by increasing hotel rooms; developing  Swachh Bharat and sewage treatment policies for cities and towns; skill development through the ‘Hunnar Se Rozgar’ program and apprentice harmonization; rationalization of entertainment tax and the capital value tax system.

“Currently, all kind of direct and indirect taxes are levied on the hospitality industry. Some of the taxes like (entertainment tax and luxury tax) amount to duplication and some like the new property tax valuation system are irrational. For every four nights a tourist stay in Mumbai the tourist pays one additional night stay in taxes alone! This makes staying in Mumbai prohibitive for tourists and they use the city merely as a transit point instead of as a tourist destination like most other cities in the world” said, Malkani.

Another challenge the industry has been facing is that new laws are not replacing existing ones, but duplicating them. Post introduction of the FSSAI Act, it became obligatory on all Food business Operators (FBOs) to acquire license under this Act. “But this did not trickle down to the local bodies and Municipalities. FBOs now need licenses from both the Health departments and under the FSSAI Act, which amounts to duplication. While we have been appealing to the Government to provide guidelines to the local bodies on the FSSAI Act, the nature of the problem reemphasizes the need for Single window clearance for hotels,” added, Malkani.

Customers will no longer have to pay extra taxes levied on them at air conditioned restaurants or a bar announced Kerala High Court, as per a report in ET.

This will bring a relief to customers who earlier paid approximately 12.36 percent service tax on 40 percent of the total bill amount, a division bench of the Kerala high court said the Union government's decision to impose service tax on food and beverages served at such restaurants was not within the competence of Parliament.

Upholding a single judge order, the division bench said, “It cannot be said that it is an activity of service. When the said activity is deemed to be a sale of the food and other articles of human consumption by a constitutional definition, tax on the said activity can be imposed only by the state.''

The court said that the bill raised on the customer cannot be split as charged for the service part and as charged for the food part.

The Union government had moved the HC in appeal against the single bench order. The Kerala Bar Hotels Association's argument was that the supply of food and beverages in a restaurant is a sale, enabling states to impose tax on the same.
The HC further said that states alone have the legislative competence to enact any law imposing tax on this issue.

Ram Vilas Paswan, the Union Food Minister has asked 11 states and union territories that have implemented the Food Security Act to meet all standards by December end, says a PTI report.

The minister has also warned the states that failing these standards may lead the Centre to rethink over the continuation. “The Centre has written a letter to the chief ministers of all 11 states and UTs, where the Food Security Act has been made functional, to meet all standards of the (Food Security) Legislation by December-end," Paswan said.

"We cannot allow providing huge subsidy worth Rs 1.31 lakh crore annually without all mandatory conditions being met," he added, adding the ministry would "rethink" over continuation of the Act in states that do not meet all standards.

Hailing Madhya Pradesh and Chhattisgarh for meeting all conditions for implementation of the Act, Paswan warned Bihar for not creating infrastructure for effective implementation of the legislation.

The minister also said that every state and UTs implementing the Act would have to put a list of beneficiaries online.

At the same time, these states have to make proper arrangements for doorstep delivery of subsidised food grains and also check black marketing. 

Dabur India has rejected the allegation levelled by Indian government in the black money case, reports Business Line.

“We wish to state that this account was opened when Pradip was an NRI and was legally allowed to open this account,” a Dabur India spokesperson said.

Pradip Burman is among the three names revealed by the government in an affidavit to the Supreme Court as black money account holders. He is a fourth-generation member of the Burman family which owns Dabur India.

“We have followed all the laws and the complete details regarding the account have been voluntarily and as per law filed with the Income-Tax Department and appropriate taxes paid, wherever applicable. Therefore, it is unfortunate that every person having a foreign bank account is being painted with the same brush”, the Dabur spokesperson added.

The Burman family is committed to the highest standards of corporate governance, and encourage ethical behaviour at all levels, Dabur India stated.

Burman who is an Engineering graduate from Massachusetts Institute of Technology does not hold any executive position in Dabur presently. 

Government has received 72 proposals from various companies including Adani Group, ITC and Future Group for 17 food parks to be approved in the next two-three months, reports PTI.

Under the scheme (2008-09) of mega food parks, the Food Processing Ministry had sanctioned 42 projects throughout the country. Of this, 25 projects are presently under implementation in various states.

"We have received 72 proposals including from big players like Adani, ITC and Future Group for the 17 food parks to be approved by the government in next 2-3 months," a source said.

Earlier the Food Processing Minister Harsimrat Kaur Badal said, "Each park estimated to attract a minimum investment of about Rs 125 crore".

After final approval for the project, the company needs to acquire minimum 50 acres of land within stipulated time. The company is free to decide the location of the project.

Government provides Rs 50 crore grant for each project on different cost constituents other the land cost, source added.

Meanwhile, Badal had pointed out that wastage of fruits, vegetables and grains worth Rs 44,000 crore annually was the primary cause of food inflation in the country.

The Ministry is also developing food maps of the country to identify areas for surplus of raw material for processing. It is also working on to identify clusters for setting up of food processing industries.

The Government is working on National Food Processing Policy to reduce wastage of perishables and improve the supply situation, as per a PTI report, citing statement from Food Processing Minister Harsimrat Kaur Badal.

Badal also said agriculture credit should also be connected with the food processing sector as the ultimate beneficiary is the farmer.

“There is need of some integrated policy for the food processing sector. We are working on it with the purpose of reducing the wastage of perishable fruits and vegetables so that we can bring down the inflation," the Minister added.

Badal was speaking at the National Cold Chain Summit organised by CII jointly with Ministry of Food Processing Industries and Ministry of Agriculture and National Centre for Cold Chain Development (NCCD).

Badal added India is the second largest producer of fruits and cereals, third in marine production and has the largest livestock in the world, but still the country is able to process only 2 per cent.
"There should be zero tolerance towards waste. Currently there is Rs 44,000 crore of wastage and unless we work towards removing that, our growth story cannot be completed. The cold chain capacity of the country is 30 million tonnes whereas it produces around 200 million metric tonnes of products," she said.

Badal emphasised that the utmost focus should be on reducing the wastage of three main vegetables - onions, tomatoes and potato as they are driving inflation.

Badal also asked the officials and other government bodies to 'pull up your socks' as a lot of ground needs to be covered in the cold chain sector.

Restaurants in Surat will be now open till 1 am in the midnight with festive season beginning, states a TOI report.

The government has given an approval to all the hotels, restaurants, roadside eateries and food to remain open until late night which was earlier 11 pm.

Police commissioner Rakesh Asthana issued an order stating that the licenced hotels, restaurants, lodges and food stalls can operate till 1 am considering the Navratri festival and the upcoming Diwali festivities.

The orders will remain in force from 25th September to 28th October.

"The closure deadline for the garba venues is at 12 midnight. However, those who want to feast on the Surti food can just drop in the some hotel, restaurant or at the food joints to enjoy their midnight. This time around the city police has given a month long relief”, said, Sanat Relia, VP, South Gujarat Hotel and Restaurant Association (SHARA).

"We will be keeping close vigil in the city as the food joints, restaurants and hotels will remain open till 1 am. The relief is the residents so that they could get food late at night when they return from the garba venues" said a police officer. 

The proposed transport cess on purchase of liquor in the national capital is unlikely to affect consumer's much as the excise department is planning a move to pass on the additional levy to the wholesalers, says a PTI report.

"We have come up with a proposal for wholesalers to be separately charged Re 1 on every bottle due to which MRP of liquor bottles will not increase," a senior excise department official said.

Earlier this month, Delhi Lt Governor Najeeb Jung had passed the recommendations by a High-Powered Committee for imposition of a transport cess of Re 1 on purchase of each packet of cigarette or bottle of liquor in Delhi to generate funds for promoting public transport.

"We are not in favour of liquor prices increasing again as a result of the transport cess on purchase of every liquor bottle in the national capital. A proposal has been prepared in this regard and it will be sent to the Lt Governor for his final nod," the official added.

"According to the excise policy, if the transport cess is imposed, the cost per bottle of liquor will not increase by Re 1 but go up by Rs 5 to Rs 10. That may affect revenue collection. To avoid that, we are proposing that the wholesalers bear the additional Re 1 cost," the official added.

Delhi government had in July revised excise duty, making liquor costlier by 8 to 12 per cent. The government hopes to earn an additional revenue of around Rs 250 crore through the hike.

Prime Minister Narendra Modi has asked soft drink makers like Pepsi and Coke to try and mix aerated drinks with 5 per cent fruit juice to help distressed farmers find a new market for their produce, as per PTI report.

"We drink Pepsi, Coca-Cola and I do not know how many similar beverages are available in the market. The trade runs into billions of rupees. I have asked the companies if they can blend 5 per cent natural fruit juice in the beverages they make," Modi said after inaugurating the country's first integrated food park in Karnataka.

The PM has already asked the Central government's research bodies to work on the possibility of blending cola drinks which are widely considered unhealthy with natural fruit juice.

By doing so, he said, farmers will not be forced to dump their produce and let it go waste because of unremunerative prices and the country can save Rs 30-40,000 crore by reducing the wastage of food products through processing.

The country's beverage market is largely unorganised, with nearly 75 per cent of the demand serviced by companies in the unorganised sector.

Modi also stressed on the importance of proper storage, processing and value additions and adopting more scientific methods of farming  at the park.

Expressing concerns over imported food items getting stuck in customs, food processing minister Harsimrat Kaur Badal on Monday said safety standards should not be arbitrary and detrimental to the industry, says a PTI report.

Huge consignments carrying food processing ingredients are lying at ports due to the new labelling norms of the Food Safety Standards Authority of India’s (FSSAI). However, the matter has been taken up with the PMO and the Health Ministry, she told reporters while briefing her ministry’s 100-days initiatives.

‘Ingredients imported by the processing industry are lying at the customs as there are certain ingredients on which industry is having issues with FSSAI. It has been taken up with Health Ministry and a solution should be found very soon. The system needs to be very transparent,’ Badal said.

Badal said the food processing sector should be provided a level-playing field.

‘Systems should not be arbitrary. While maintaining the food safety standards, it should also encourage the industry. So, if industry is having some issues that need to be addressed,’ Badal said.

The minister said she has met health minister Harsh Vardhan and discussed the industry’s issues related to FSSAI.

The matter has also been brought under the notice of Prime Minister’s Office (PMO), she added.
Badal said there is no proposal to bring FSSAI under the Food Processing Ministry from the purview of Health Ministry.

FSSAI has been established under Food Safety and Standards Act, 2006 which consolidates various acts and orders that have hitherto handled food related issues in various ministries and departments.

The government has asked the tea industry to focus more on quality issues, as per a PTI report.

"The entire world is focusing on the quality of Indian tea. So the Indian tea industry should focus on this aspect," said R R Rashmi, Additional Secretary, Commerce and Industry Ministry, at Tea Research Association's AGM held on 18th September at Kolkata.

Rashmi said that there is a need to monitor the level of minimum residue limit (MRL) of pesticides in tea closely. The minister also stated that the Commerce Ministry along with the Health Ministry is working towards harmonisation of standards both at the domestic and overseas levels. His views came against the backdrop of the recent Greenpeace report which said that Indian tea contained dangerous levels of pesticides which are harmful for human consumption.

"So far, the India tea industry did not give much focus on exports. Large number of players focused on the domestic market. There is a need to re-focus on exports," he added.

Amid growing concerns over the impact of Kerala Government's new liquor policy on tourism industry, many stakeholders in the liquor sector believe that liquor is not a prerequisite for tourism, says a PTI report.

Some resort operators said that the new policy, envisaged to cut short the availability of liquor, might affect the tourism industry in the initial stages but the impact could be overcome with proper awareness in the long run.

The success of tourism industry in Gujarat, where total prohibition exists, was the best example for Kerala to emulate, stakeholders opined.

With regards to the anxiety that the arrival of foreign tourists might be affected badly due to the new policy, major tour operators pointed out that 'foreign tourists are not crazy about liquor. As far as they are concerned alcohol is only a part of their food habit'.

IATA Agents Association of India (IAAI) National Director P B Bose told PTI that it was wrong to say that foreign and domestic tourists were coming to Kerala just to savour liquor.

"Most tourists come to experience the culture and see places and watch development of each state," he said, adding, what was required now was to create awareness among potential tourists about the new law in the state.

The estranged Indian partner of McDonald's, Vikram Bakshi on Tuesday asked the US food major to return all the prime properties leased to it for running restaurants.

Concluding arguments on Bakshi's behalf at the Company Law Board (CLB), his counsel said that all the allegations brought against him by McDonald's were "unfair".

According to Bakshi, the JV was formed for 25 years and he leased properties to run the restaurants.

He himself has given his nine properties, including one at Regal, on lease to McDonald's."... they should leave all properties for me," said S N Mukherjee, counsel appearing for Bakshi.

On McDonald's allegation of Bakshi's running other businesses and not devoting proper time to the JV, he said the US food major was aware of the situation.

"They have objection that you have 25 companies and not devoting proper time in JV. Its Bombay partner has 23 companies and for that he has been rewarded," Bakshi's counsel alleged.

"These reasons do not stand, they are absolutely malafide," he added.

Proceedings in this matter would continue tomorrow at CLB where McDonald's counsel would put forward their arguments.

Incorporated in June 1995, Connaught Plaza Restaurants Ltd (CPRL) is a 50:50 joint venture between McDonald's Corporation and Vikram Bakshi and it has been running fast food outlets in North and East India.

In a public notice on August 30, 2013, McDonald's India said: "Vikram Bakshi has ceased to be the Managing Director of Connaught Plaza Restaurants Ltd (CPRL) pursuant to expiration of Bakshi's term on July 17."

McDonald's had on November 28 last year terminated its joint venture agreement with Bakshi by sending a notice and had simultaneously moved to LCIA to settle the ongoing legal dispute.

The bottlers may force aerated and sugary drink makers, Coca Cola and PepsiCo to increase pricing to make up for shrinking margins after the Finance Minister decided to levy an additional excise duty of 5 percent.

Coca-Cola and PepsiCo want to minimise the price hike across packs as they believe this could negatively affect volume growth amid slowing sales. On the condition of anonymity, a leading bottler of one of the firms, said, "We want to hike prices by five percent across packs as this is hurting our profitability. But the company wants us to absorb as much of the excise hike as we can, because hiking prices could negatively impact volume growth".

However, some of the bottlers have themselves started hiking the price while others are in talks with the companies to hike.

The National Restaurant Association (NRAI) of India has organised a seminar on ‘Food Safety & Standards Act’ focusing on its implementation and challenges for the Indian Restaurant Industry recently, in New Delhi.

Samir Kuckreja, President, NRAI addressed issues related to licensing and registration, excessive documentation to the central list, group nominations for licenses for chain outlets, licensing registrations for vendors etc among other subjects. DK Samantaray, IAS, CEO, FSSAI was the Chief Guest and the Guest of Honour was KK Jindal, Commissioner, Food Safety, Delhi.

Speaking on the day, Samantaray, said, “There cannot be an ‘inspector raj’ now. This act is in interest of all of us and is still in the making. Once the government and private sector combine together, we can ensure that this compliance requirement is fulfilled without taxing the private sector too much. It’s a completely revolutionary way for looking at food in India.”

The Hotel and Restaurant Association of Western India (HRAWI) has announced that it is expecting a friendly budget from the new Finance Ministry. HRAWI has identified four key parameters that will play a crucial role in the resurrection of the sector.

The association has raised issues of infrastructure, lowering the minimum project cost mandated for inclusion of hotels in the Reserve Bank of India's Infrastructure Lending List from Rs 200 crore to Rs 20 crore for hotels that have 20 or more guest rooms, depreciation on hotel building under Section 32.

Other parameters include TDS and de-linking of taxes and many more. The industry has been battling to keep up with the harsh financial burdens brought about by both the central and state governments that include service tax - charged by the central government, luxury tax - charged by the state, VAT - on food and beverage, Excise Duty - on beverages and Octroi Duty - on items imported into the state, amongst others.

The Railway budget which was proposed on Tuesday, 8^th July 2014 is planning to introduce ready-to-eat meals of reputed brands in on-board trains to improve food quality and cancel vendor’s contract if services were not up to the mark.

Presenting the railway budget,  DV Sadananda Gowda, Railway Minister, said, “"In order to improve quality, hygiene of on-board catering services and to provide variety, I propose to introduce pre-cooked (ready-to-eat) food of reputed brands in a phased manner.”

The minister also proposed to introduce a 'quality assurance mechanism' to improve catering services through party audit by National Accreditation Board for Certification Bodies. The railway ministry is also planning to launch a system of collecting feedback through IVRS mechanism from the travelling passengers on the quality of food served.

Gowda also proposed to set up food courts at major stations to provide the option of ordering regional cuisine while on-board, through emails and SMS. This service will be started shortly between New Delhi- Amritsar and New Delhi-Jammu Tawi sections.

Hotel associations like Federation of Hotel and Restaurant association in India (FHRAI) and Hotel and Restaurant Association of Western India (HRAWI) have objected the Maharashtra government move to ban the performances across all hotels and restaurants by bringing an amendment to the Maharashtra Police Act. 

The state assembly had recently passed the amendment to the Act to plug the loopholes in the existing laws and enact a ban on dance bars and performances across all categories of hotels.  The newly amended bill also proposes hefty penalties in case of violations.

Commenting on the move, SM Shervani, President, FHRAI, said, “It is ridiculous if we have to establish what exactly performance is and what isn’t. If it is found that under the name of performance several illegal activities such as drugs or prostitution are taking place in a hotel, action should be taken on that particular hotel and licence of that hotel should be taken away. Banning performances across all hotels is not a solution to the problems. There has to be change in the mentality of people and that is what will protect women.”

Earlier such ban was implemented in all hotels, bars and restaurants below three-star category but now it has been extended to all three to five starred hotels.  DS Advani, President, HRAWI, said, “Such a law would never work across hotels. You cannot ban people from dancing, listening to music, performing or having fun. A blanket ban on performances at hotels is not a solution to stop illegal activities for sure.”

The Food Processing Ministry of India (MOFPI) is planning to prepare a national food map to showcase agriculture and livestock produce for suitable interventions in vulnerable areas. A ‘Brand India’ will be launched for exports in the food processing sector and state-specific brands will be developed for the domestic market.

Speaking on the same, Harsimrat Kaur Badal, Minister for Food Processing, said, “The national food map will also identify states with food processing potential and areas for better strategising.”

The government will also install food processing growth engines at the farm level to prevent wastage and boost agriculture. The north-east region would be developed into organic food processing zones and there would be special food processing zones in the country.

Food Processing Minister Harsimrat Kaur Badal today met the representatives of industry and discussed about the integration of food chains with small food processing units.

Badal met the representatives of Assocham, Nestle and Bharti Enterprises to discuss about up-scaling the present schemes of cold chain, value addition and preservation infrastructure and mega food parks.

The Minister discussed new tax proposals and forward and backward integration of food chains with small processing units, according to an official statement.

"Badal discussed the status of investment in food processing industry as a means to achieve the target of employment generation and providing international quality processed foods to Indian consumers at large," the statement added.

The Minister also informed them about launching a new scheme for processing and preservation of perishable produce.

She also assured the industry that proposals will be taken up at appropriate levels for training and business incubation.

Badal added that she is aiming to increase the capacity of cold chain projects, mega food parks and units for processing and preservation of perishable produce.

Identity proofs are now a mandate in hotels in Puri, Odisha for tourists who checks in. The state government has announced that hoteliers must accept identity cards from their guests before allowing them to stay.

M R Pattnaik, Tourism Director, Odisha, said, “All hotels must abide by the guidelines. The local tourist officer will regularly inspect compliance of the order. If any hotel is found flouting the norm we will cancel the trade licence.”

Liquor bills (excluding food) at bars and restaurants only attracted a 4.94 percent service tax that was introduced by the Union Government last year. Now, the customers will have to pay an additional 5.5 percent VAT charges on their drinks, taking the total tax component on liquor bills to close to 11 percent.

An estimate by restaurant and bar owners suggests that the average liquor bill per person in the age group of 21 to 25 years is between Rs 500 and Rs 1,000. For this segment the VAT levy alone will result in an increase of Rs 27.50 to Rs 55 on liquor bills.