Only 2% restaurants provide home delivery, claim not viable option: Association

Despite the state government allowing restaurants and hotels to provide takeaway and delivery of food items, only 2% of such establishments in the city have started

Despite the state government allowing restaurants and hotels to provide takeaway and delivery of food items, only 2% of such establishments in the city have started such services. The rest have remained closed and expressed reluctance to start operations citing a viability issue.

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The reason – lack of labour, reluctance of patrons to eat outside food, and various restrictions imposed by housing societies on the entry of delivery staff.

According to the Indian Hotels and Restaurants Association (AHAR), of the total 15,000 hotels and restaurants in the city, hardly 300 have started their operations in providing parcels and home delivery.

According to Shivanand Shetty, president, AHAR, it is not viable to run the delivery business. “There is no labour currently available in the market as these migrants have all returned to their hometowns,” said Shetty.

Similar is the view of Kamlesh Barot, director, Vie Hospitality Private Limited which runs hotels like Revival in Chowpatty. He opined that it did not make business sense to start partial operations. “There are so many overheads incurred if the hotels start their operations. Parcels make up just 10% of any hotel business and it makes no sense to open for this only,” said Barot. “Currently, people are reluctant to eat outside food and this has badly hit our business. Many societies have also stopped home delivery of eatables and it is allowed just up to the society gates. This move has dissuaded many customers from ordering as they don’t want to step out of their houses,” he added.

Though the state government has allowed shops to open on alternate days, this does not apply to hotels and restaurants.