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Ordering in? You’ll have to pay 20%-25% more for food after plastic ban in Mumbai

The Indian Hotels and Restaurant Association (AHAR) on Wednesday said the hike was inevitable as hotels will be providing Injection Moulded Containers to deliver food

Updated on: Jun 28, 2018, 07:59:17 IST
Hindustan Times | By , Mumbai
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Ordering in will soon get dearer for Mumbaiites as restaurants are set to hike food delivery prices by 20%-25%, the first direct fallout of the state government’s plastic ban.

The Brihanmumbai Municipal Corporation (BMC) squads, which fine establishments that use plastic items, has created an atmosphere of fear among hoteliers. (Pratik Chorge/HT Photo)
The Brihanmumbai Municipal Corporation (BMC) squads, which fine establishments that use plastic items, has created an atmosphere of fear among hoteliers. (Pratik Chorge/HT Photo)

The Indian Hotels and Restaurant Association (AHAR) on Wednesday said the hike was inevitable as hotels will be providing Injection Moulded Containers to deliver food. AHAR has around 8,000 restaurants and food joints in Mumbai, Thane and Navi Mumbai as its members.

“The plastic recyclable containers are costly and we will have to charge for them. Since a lot of Indian dishes are in the liquid form, we have found it difficult to find an alternative despite trying out many,” said Vishwapal Shetty, general secretary, AHAR. “The plastic pouches that we used previously cost us 60 paise a piece and so we gave them free. It is not possible with containers and paper bags.”

Shetty said hoteliers will refund a part of amount if patrons return the plastic containers. He, however, didn’t specify the amount.

Restaurants across the city have reported a 10%-30% dip in business ever since the plastic ban came into effect. The Brihanmumbai Municipal Corporation (BMC) squads, which fine establishments that use plastic items, has created an atmosphere of fear among hoteliers.

The restaurant business has faced tough times in the past few years owing to multiple factors. Apart from the hike in raw material and labour cost, restaurants were initially made to pay 18% Goods and Service Tax (GST). This hit businesses, but later the GST rate was reduced to 5%, giving hoteliers some relief.

 
ABOUT THE AUTHOR
Naresh Kamath

Naresh is a Special Correspondent with Hindustan Times, Mumbai, since 2005. He covers the real estate sector, in addition to doing political reportage.

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