Rons Bantwal

Mumbai (RBI), Mar 21: The Federation of Hotel and Restaurant Associations Maharashtra (FHRAM) organized a public protest and a special general assembly at Nityananda Hall, Sion East, on Thursday, demanding the abolition of FL-3 (permit room and beer bar) licenses and the discontinuation of the annual license renewal fee. The protest was against the Maharashtra government’s "VAT Tax" policy and called for levying a first-point tax on liquor manufacturing to boost state revenue from alcohol sales.

The meeting, presided over by federation president Dr Virar Shankar B Shetty, addressed concerns over the recent 15% hike in FL-3 excise license fees and the VAT increase from 5% to 10%. Hotel and permit room owners are struggling to manage these rising costs, particularly due to the presence of illegal 'dabbas' and certain wine shops that evade state taxes. Many customers prefer these unauthorized establishments, leaving legitimate permit room owners unable to pass on the burden of higher taxes to their patrons, putting them at a financial disadvantage.

Additionally, the 10% VAT hike does not affect wine shops or country liquor bars, as the state government has not issued new licenses for them since 1974. Meanwhile, FL-3 licenses for permit rooms continue to be issued regularly. This disparity, the federation argued, is crippling the licensed permit room industry. In response, FHRAM and its member associations have unanimously decided not to renew FL-3 licenses unless the government rolls back the increased fees and VAT hikes.

senior vice president Shyam N Shetty stated that representatives from 15 hotel associations attended the meeting and fully supported the decision.

general secretary Durgaprasad C Salian reaffirmed the federation’s commitment to protecting hoteliers' interests and urged the state government to reconsider these financial burdens.

Among those present were Thane Hotels Association president Polya Umesh Shetty and secretary Raghunath Rai, Pimpri Chinchwad Hotel and Restaurant Association (Pune) secretary Tejas Junavane and treasurer Satish Telang, Nashik Hotels Association president Rajendra P Dokhale and members Devendra V Niphudkar, Shrenik B Kshatriya, and Sagar Pagor, Ullasnagar Hotels Association president Prakash Shetty, secretary Naresh Kandare, and treasurer Surendra Shetty, Rayagada Hotels Association president Rohidas Marade, Ahmednagar Hotels Association president Balwinder Singh Batra, Badlapur Hotels Association president Ashok Shetty, Bhiwandi Hotels Association president Bhaskar Shetty (joint secretary, FHRAM), secretary Prajwal Shetty, Anand Buckley from Parbhani Hotels Association, Vivek Kalme, Tejas Shetty from Kalyan Hotels Association, and Dayananda Shetty from New Navi Mumbai Hotels Association (vice president, FHRAM).

The federation members shared their views and urged the leadership to take necessary action. Durgaprasad C Salian conducted the meeting and proposed a vote of thanks.