Bengaluru has a staggering 30,000 hotels in both urban and rural areas

A mere 523 hotels possess valid business licenses to run hotel business

Government's revenue from license issuance was barely 214 crores

Bengaluru, a city renowned for its vibrant hospitality industry, has a staggering 30 thousand hotels in both urban and rural areas. Despite this multitude, a mere 523 possess valid business license. This stark incongruity paints a picture of a booming hotel scene overshadowed by a glaring lack of official recognition.

The surge in hotel establishments, fueled by the relentless demand to satiate the populace’s hunger for accommodation and dining options, contrasts sharply with the stringent prerequisites for obtaining a trade license.

Only 207 rural hotels and 316 urban ones have secured the trade licenses. The rural district of Bengaluru has a staggering 7 thousand such establishments, while Bengaluru urban boasts a hefty tally exceeding 25 thousand hotels. Amidst this regulatory landscape, the government’s revenue from business license issuance in the fiscal year 2023-24 was barely 214 crores.

In light of these challenges, PC Rao, the president of the Bengaluru Hotel Owners Association, raises pertinent concerns. Speaking to NewsFirst Prime, he highlighted the redundancy of additional trade licenses for many establishments already vetted by the stringent FSSAI standards. These licenses, once optional, now stand as an obligatory barrier, this only encourages corruption under the guise of regulatory compliance.