NRAI & HAI welcome Delhi Govt move to ease licensing norms

Team L&M

The Hotel Association of India (HAI), the apex body of the Indian hospitality sector, welcomes the recent directive issued by the Hon’ble Lieutenant Governor of Delhi, which withdraws the requirement for licenses and No Objection Certificates (NOCs) from the Delhi Police for seven categories of trade — including hotels, motels, guest houses, and eating houses. This decisive reform aligns with national efforts to simplify the regulatory framework and improve the ease of doing business in the hospitality sector, thereby bolstering economic activity in the capital.

This reform removes long-standing licensing requirements for restaurants in Delhi, marking a major step forward in ease of doing business for the sector.

As per the new directive, restaurants operating in Delhi will no longer be required to obtain the Delhi Police Eating House License. This change will reduce administrative hurdles and significantly improve the ease of doing business for the F&B sector in the capital. This will also increase investments by the F&B Sector, which will bring in additional revenue to the Delhi Government’s exchequer in various forms in the future. 

This decision is expected to bring major relief to thousands of restaurant owners, particularly small and medium-sized enterprises, who have long struggled with the burden of acquiring multiple governmental clearances.

HAI welcomed the move as a vital step aligned with the views of the High Court and the Supreme Court. This reform simplifies the process and boosts the ease of doing business, encouraging investment in the hospitality sector. HAI believes this progressive step by the Delhi government will create a more business-friendly environment that supports tourism growth and strengthens Delhi’s position as a leading hospitality destination.

Commenting on the development, Mr. KB Kachru, President, Hotel Association of India, Chairman of South Asia, Radisson Hotel Group said, “This is a landmark moment for Delhi’s hospitality industry. The streamlining of licensing norms will not only reduce compliance burden and transaction costs but also foster greater transparency and accountability. We believe this decision will significantly contribute to Delhi’s growth as a competitive and investment-friendly hospitality hub.”

Mr. Rohit Khosla, Vice President, Hotel Association of India, Executive Vice President (Ops.), The Indian Hotels Company Limited, said, “This is a much-needed regulatory reform that will enable the hospitality industry to operate with greater agility and focus on delivering superior guest experiences. By fostering a more collaborative governance framework, Delhi has taken a progressive step towards aligning with global standards of ease of doing business. This initiative will catalyse growth, enhance investor confidence, and support job creation across the tourism and service economy.”

HAI views this reform as a milestone for greater investment, innovation, and formalisation in the hospitality sector, and it sets a positive example for other states to follow similar regulations to enhance tourism. The Association members remain committed to supporting smooth implementation while maintaining high standards of safety, service, and compliance.

Praising this historic move,  NRAI President Sagar Daryani said, “We wholeheartedly thank the Central and Delhi Government for this forward-looking step. Removing the requirement for the Delhi Police Eating House License is a significant relief for restaurateurs who have long faced unnecessary delays and complexities. We are proud that NRAI’s persistent efforts have contributed to this much-needed change. This reform will not only save time and resources but also foster a more vibrant, business-friendly environment for both existing and aspiring entrepreneurs in the F&B sector.” 

Added Sandeep NRAI Delhi Chapter Head Anand Goyle, “This is a monumental decision for the restaurant industry in Delhi. We are grateful to Hon’ble Lieutenant Governor Shri Vinai Kumar Saxena and Hon’ble Chief Minister Smt. Rekha Gupta for addressing long-pending concerns of our industry. As an industry body, NRAI has been relentlessly advocating for the removal of the licensing requirement for many years. Getting this great news is not just a validation of our efforts but a significant boost for the entire F&B sector. This move will encourage entrepreneurship, support job creation, and revive ease of doing business in the F&B space.”