Hotel Association of India (HAI) which represents 300 hotels in the country has said that the industry shall increase its focus on local sourcing of ingredients/components in key areas of F&B, infrastructure and engineering equipment. This is in accordance with Prime Minister Narendra Modi’s Atmanirbhar Bharat (self-reliant India) initiative.

HAI’s latest research report revealed that from about 65 per cent in 2000, there has been a consistent effort to increase the extent of local sourcing which rose to about 87 per cent in 2020.

The hospitality industry aspires to increase this further to an overall 95 per cent and more by 2025. In certain value components such as DG sets, AC units, mechanical equipment, and elevators, this would be closer to 100 per cent.

The report stated that hotels are using more and more locally-sourced ingredients such as condiments, vegetables, raw meat, seafood, exotic fruits, dairy and processed foods. Back in 2000, around 85 per cent used locally-sourced ingredients which has increased to 88 per cent in 2020.

In terms of locally-sourced spirits and wines, the research shows a significant increase of 15 per cent from 2000 to 2020.

For furnishing and décor, hotels have increased the use of local handicrafts and handmade items. In 2000, around 60 per cent were handmade furnishing, which has rose to 90 per cent in 2020.

Interestingly, homegrown bathroom amenities have also seen a rise. HAI predicts that approximately 99 per cent of the hotels will be using homegrown/locally-sourced toiletries by 2025.

Commenting on the subject of local opportunities, HAI said:

“The Indian hospitality sector employs close to 4.5 crore people. The direct and indirect employment of the industry is significant. Hotels are employers of unskilled, semi-skilled and skilled workers. They provide an opportunity for women and to the differently-abled.

“From the humble basic tourist accommodation tents and lodges, the industry has offerings also for the first-class traveller to those seeking ultra-luxury thus giving all Indians an opportunity to experience the country’s rich touristic treasures and undertake pilgrimages.

“About 90 per cent of the total inventory in the Industry lies in the form of budget and standard hotels.”