Your Train Journeys Just Got Tastier! 🚆🍔 India Railways to Welcome McDonald's, KFC, & More!

Author

Akshat Lakshkar | Whalesbook News Team

Detailed Coverage:

Indian Railways is set to revolutionize passenger experience with a revised catering policy that permits well-known food chains such as McDonald's, KFC, Baskin Robbins, Pizza Hut, Haldiram’s, and Bikanerwala to establish outlets at railway stations nationwide. This significant policy update was proposed by the South Central Railway zone and comes as Indian Railways is undertaking a massive redevelopment project for over 1,200 stations.

Under the revised norms, zonal railways can now incorporate single-brand and company-owned or franchisee outlets wherever there is sufficient demand and justification, integrating them into station plans without disrupting existing stall allocation policies. Importantly, these premium brand outlets cannot be nominated; they must be allotted through the existing e-auction policy. The tenure for operating each outlet will be limited to five years. This introduces a new, fourth category of food stalls, distinct from the existing beverage, snack, tea, milk bar, and juice bar stalls.

Impact: This policy change is expected to significantly enhance passenger amenities, offering greater food choices and improving the overall travel experience. It also opens up substantial business opportunities for both multinational corporations and Indian food brands, potentially leading to new revenue streams for Indian Railways through e-auction premiums and licensing fees. The increased footfall at stations due to these popular outlets could also boost local economies around these stations. The railways aim to leverage the demand from the daily 2.3 crore passengers who use train services. Rating: 7/10

Difficult terms: Premium Brand Catering Outlets: Food outlets belonging to famous, established international or national brands known for their specific products and service standards. Zonal Railways: Regional divisions of Indian Railways responsible for managing railway operations within a specific geographical zone. Single-brand: An outlet that exclusively sells products from one particular brand. Nomination basis: Allotment of space or rights based on recommendation or direct appointment rather than a competitive process. E-auction policy: A system where entities bid online in a competitive auction to secure rights to operate outlets. Reservation policy: Existing Indian government policies that reserve a certain percentage of opportunities (like stall allotments) for Scheduled Castes (SC), Scheduled Tribes (ST), Other Backward Classes (OBC), freedom fighters, and those displaced by land acquisition.