BENGALURU: The Karnataka State Hotels Association (KSHA) has urged the state government to introduce a series of policy reforms to support the hospitality sector, saying the industry is a major contributor to employment and tourism in the state.
A delegation led by KSHA president GK Shetty submitted a memorandum to Chief Minister DK Shivakumar on Tuesday, congratulating him on assuming office and outlining key issues affecting the hotel industry. The association welcomed the government’s decision to clear footpaths of encroachments but requested that dedicated vending zones be created for street vendors to protect their livelihoods while ensuring pedestrian safety.
Among its major demands, KSHA sought a reduction in the proposed solid waste disposal fee from Rs 12 per kg to Rs 3-5 per kg, stating that the higher charge would impose a heavy financial burden on hotels. It also urged the government to introduce permanent trade licences for GST-registered establishments instead of mandatory annual renewals to reduce administrative procedures.
The association called for reforms in the excise sector, including legal recognition for the excise licensing contract system and resolution of long-pending issues affecting licence holders.
Expressing concern over the proposed minimum wage of Rs 24,407, KSHA said the increase would significantly impact small and medium-sized hotels, particularly those that already provide free food and accommodation to employees. It urged the government to retain the existing wage structure until a scientific assessment of the industry’s financial capacity is carried out.