Omicron dampens festive spirit, worries hospitality sector

News Network
December 24, 2021

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‘Tis indeed the season to be jolly but the emergence of a new Covid variant and reimposed restrictions in some places just when things were looking up has the hospitality sector– and party-goers hoping to make the most of Christmas and year-end festivities – worried yet again.

Though Christmas lights are up in several cities, the feeling of déjà vu, of another year-end of lengthening Covid shadows – this time of the Omicron variant – has dampened the Yuletide spirit. And while many restaurants and hotels are going ahead with their Christmas and New Year plans, it’s all edged with uncertainty and dread that another wave might be just around the corner.

The party may not go on. But nobody can be sure. Be it Delhi or Mumbai, Kolkata or Bengaluru, optimism for a happy and healthy end to the year clashes with the stress of not really knowing what lies ahead. The mantra, as an industry insider put it, is cautiously optimistic

In the national capital, where the Delhi Disaster Management Authority on Wednesday directed district magistrates to ensure no Christmas and New Year gathering takes place in view of the rising Omicron cases, restaurateurs sought more clarity.

The DDMA order, they said, permits bars and restaurants to operate with up to 50 per cent of seating capacity without specifying whether they can host Christmas and New Year parties.

"Whether we can organise a party or not is a grey area. We hope the government will issue a clarification before December 31," Joy Singh, co-partner of Raasta and Yeti, said.

He said they are opting to be cautious and organise only sit-down lunches and dinners.

A restaurant owner in Khan Market, the buzzing shopping and eating destination in the heart of the city, said this is their turnaround moment but it may not happen.

"We were hoping the (DDMA) order would bring some relief but we will have to settle for 50 per cent of the crowd. Ever since the pandemic, we have been facing issues with lockdown and then the curbs… We understand there is the Omicron threat, but other areas are fully functional, so why to target our industry?"

Sahil Sambhi of the Drunken Botanist, a bar-eatery in Gurgaon’s Cyber Hub abutting Delhi, is equally despairing.

“…This is the most rewarding time for the F&B industry. That said, we will abide by the 50 per cent rule strictly and will follow all Covid protocols to the tee. We had planned a few events on the occasion, but I am afraid we have to cancel those now amid the fresh curbs imposed by the state government,” the director of Drunken Botanist said.

Given the escalating number of cases and the fear of another wave, the industry is battling tremendous odds anyway.

According to a survey by English news app Inshorts,  about 63 per cent of Delhi residents said they will "stay at home" while 29 per cent said they would like to be part of "small get-togethers". Of the 15,000 people surveyed, four per cent said they would like to dine out or travel on the occasion.

In Karnataka, the state government has said there will no deejays, no parties from December 31 to January 2. And the 50 per cent cap on occupancy also stands. To add to it, some groups have announced a shutdown on New Year’s Eve to press for a ban on the Maharashtra Ekikaran Samiti, which recently allegedly defaced the statue of 19th-century warrior Sangolli Rayanna, in Belagavi.

Chetan Hegde, the owner of 1522- The Pub in the state capital Bengaluru, said business has dipped by 30 to 40 per cent in the last two years.

"We were expecting a good business this year but again the Omicron has surfaced. We are bound by all the restrictions," Hegde said.

"We had sold our tickets online in good numbers but the restrictions came in the last minute,” added Hitesh Tulsani, operations manager of the Raahi Neo Kitchen and Bar in the city.

Tracking the falling numbers during peak season for the business, he said there was a crowd of about 500 people in his restaurant on December 31, 2019. This plunged to only 30 last year. And this year looks dismal too.

The mood is distinctly downcast in Tamil Nadu as well.

Residency Group COO Gopinath B said they are waiting for official communication from the government.

If there is a ban, celebrations will be subdued; if not, New Year’s Eve will be a big celebration, complete with deejays.       

"Covid will not only affect the hospitality industry but also other kinds of industries… We want to be very careful instead of slipping into another mess," he said.

The mood is optimistic but the uncertainty is palpable in Mumbai as well.

"Currently, we are witnessing positive consumer sentiment following pent up demand," said Nikhil Sharma, Wyndham Hotels and Resorts Regional Director - Eurasia.

The company's Ramada Plaza Juhu property has been getting over 55 per cent footfalls for the Christmas and New Year period, and these bookings are expected to rise further for this period.
"Mumbai, as a destination, sees last-minute bookings by locals during this period, and we remain cautiously optimistic," Sharma added.

“Business has been encouraging in the last two months and the sentiment for the festive season is very positive,” said Ravi Ramachandran, general manager, Radisson Mumbai, Andheri MIDC.

But the situation could change. At the moment, due to reports on rising Omicron cases in Maharashtra, bookings for New Year celebrations a week away are low and the outlook is not as promising as it seemed at the beginning of the month.

In Kolkata, famous for its year-end festive vibe, the mood is optimistic.

According to Sudesh Poddar, president of the Hotel and Restaurants Association of Eastern India, the threat of Omicron has so far not impacted the hospitality industry in the city and in other parts of West Bengal. "All our restaurants are recording good turnout which is only increasing in the run-up to Christmas. Restaurants will be open till 1 am from December 24 to January 1 and those serving liquor beyond that if permitted by the Excise department,” Poddar, who also runs Songhai and Manthan, said.

Nitin Kothari, the owner of Peter Cat and Mocambo, said the popular eateries have been seeing full houses for the last week. "We have been maintaining all Covid protocols since the restaurants opened after the lockdown. There has been no laxity… we are adhering to the 70 per cent occupancy limit as stipulated by the state."

India recorded 122 cases of the Omicron variant, the highest so far, pushing its tally in the country to 358, according to Union Health Ministry data on Friday. Of these, 114 have either recovered or migrated.

India recorded 6,650 new coronavirus infections, taking its tally of cases to 3,47,72,626.

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News Network
July 17,2024

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Bengaluru: Apex IT industry body Nasscom has expressed deep disappointment and concern over Karnataka's quota-for-locals bill mandating reservation for locals in private sector, and has exhorted the state government to withdraw the bill.

Nasscom's strong note of dissent assumes significance as it adds to the growing chorus of top industry voices, which have warned that the legislation would erode the state's edge in technology, and reverse the progress made so far.

The IT industry body has sought an urgent meeting with state authorities to discuss the concerns and "prevent the state's progress from being derailed", the association said.

"Nasscom members are seriously concerned about the provisions of this bill and urge the state government to withdraw the bill. The bill's provisions threaten to reverse this progress, drive away companies, and stifle startups, especially when more global firms (GCCs) are looking to invest in the state," a Nasscom release said.

Stating that the tech sector contributes to 25 per cent of the state GDP, houses a quarter of the country's digital talent, has over 11,000 startups and 30 per cent of the total GCCs, Nasscom contended that the restrictions could force companies to relocate as local skilled talent becomes scarce.

"In today's highly competitive landscape, knowledge-led businesses will locate where talent is as attracting skilled workers is crucial for success... For states to become a key technology hub a dual strategy is key - magnet for best talent worldwide and focussed investment in building a strong talent pool within the state through formal and vocational channels," it said.

The technology sector has been crucial to Karnataka’s economic and social development, with Bengaluru known globally as India's Silicon Valley.

"The technology sector contributes almost 25 per cent of the state GDP and has played a key role in enabling higher growth for the state, higher per capita income than the national average. With over a quarter of India’s digital talent, the state houses over 30 per cent of the total GCCs and around 11,000 start-ups," it said.

Nasscom rued that it is "deeply disturbing" to see this kind of bill which will not only hamper the growth of the industry, but impact jobs and the global brand for the state.

The Karnataka State Employment of Local Candidates in the Industries, Factories and Other Establishments Bill, 2024 was approved by the state cabinet on Monday, and it seeks to reserve 50 per cent of management positions and 75 per cent of non-management positions in the private sector for locals.

The Bill has triggered controversy and criticism from across industry. Industry veteran Mohandas Pai termed the Bill "very regressive", and "draconian".

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Agencies
July 15,2024

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The Bharatiya Janata Party will sink like the Titanic if Prime Minister Narendra Modi is left in command, stated firebrand saffron party leader Subramanian Swamy in an X post on Monday.

"If we in BJP want to see our party sink like the Titantic Ship then Modi is the best to command," he said, adding, "By-Election results show BJP is cracking up to sink forever."

Swamy's post comes after the I.N.D.I.A. bloc managed massive gains in the assembly bypolls, whose results were declared on Saturday. The coalition managed to win 10 of the 13 seats, restricting BJP to only two victories. An Independent candidate won the 13th seat.

Among the I.N.D.I.A. bloc, TMC and Congress were the biggest winners, bagging four seats each, while AAP and DMK managed one each. BJP also lost the Badrinath seat in Uttarakhand, in what is seen as a blow by the Congress following the saffron party's loss in Ayodhya in the 2024 Lok Sabha elections.

Congress sought to project a larger political message in the Badrinath victory saying that Hindutva followers were being electorally bashed up in places of significance to Hindu religion.

Swamy has been railing against BJP top leaders like Modi and Home Minister Amit Shah for some time now. When the Modi government declared June 25 as the 'murder of Constitution day', Swamy remarked on X "What was Mody [Modi] or Amit Shah’s contribution to actively opposing the Emergency?", adding, "Credit snitching is a bad disease."

Recently, he also spoke on the consequences Modi's visit to Russia would have on India-US relations.

After the Lok Sabha polls, which saw Modi return to power for a third term, albeit with diminished margins, and only with help from alliance partners Nitish Kumar and JD(U) and Chandrababu Naidu and TDP, Swamy remarked, "The most devastating outcome of the 2024 Lok Sabha Election Results could be that Modi will find his assembled crowds evaporated before he could say 'namaste'."

"The surprise is that he did not realise that in a democracy no one can take the people for granted," he had concluded.

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News Network
July 15,2024

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The Karnataka Congress on Monday junked reports that the State Road Transport Corporation would be hiking bus fares. The party on X noted that transport minister has not placed any such proposals before the government.

The party's account further noted that BJP leaders should 'stop spreading lies' and rather answer about the increase in auto part prices, fuel prices, and train fares in the last ten years.

Karnataka Congress, in the post, continued that people should be allowed to answer about the burden on state governments due to the central government's price hike policy.

BJP leaders like Tejasvi Surya took potshots at the Congress government over news of the alleged fare hike, attributing it to the party's 'Khatakhat Model of Governance.'

KSRTC chairperson, S R Srinivas, however said on Sunday that the body has submitted a proposal to the government to hike the fare by 15 to 20 per cent.

"We had a board meeting two days ago. We have proposed a hike of 15 per cent to 20 per cent. The rest is up to the discretion of Chief Minister Siddaramaiah. If KSRTC is to survive, fare hike is inevitable," he said.

The chairperson also noted that fuel and auto parts have seen prices go up substantially, but there has been no increase in bus fares since 2019.

"The salary revision of the KSRTC employees has not been done since 2020. Hence, increasing the ticket price is necessary," Srinivas added.

As per the chairperson, the corporation has suffered a loss of Rs 295 crore in the last three months.

To a question on whether the hike would burden male passengers since women are allowed to travel free of cost under the 'Shakti' scheme, Srinivas said there is no question of putting burden only on men. He noted that the state government continues to bear the expenses for women travelling in buses.

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