Mumbai's dine-out, shopping plans get a boost with extended biz hours

Move could prompt some shuttered eateries to reopen; late-night shoppers, diners now welcome

Shops and restaurants in Mumbai have got a shot in the arm with the Maharashtra government on Friday allowing them to remain open till 11pm and 1am, respectively. So far, business hours were restricted to 9pm and 11pm each, forcing restaurants, in particular, to have limited dinner services.

The new guidelines effective Monday (February 1) will permit eateries to have more dinner shifts, improving revenue potential. Shops, on the other hand, can do more business as consumers now have the flexibility to shop as per their convenience.

"Mumbai is a city that never sleeps. Against this backdrop, it was important for restaurants and even retail establishments to be able to cater to this night life. Now that the Covid-19 graph is being contained and there is an ongoing vaccine rollout, the time was right to lift some of the restrictions," Anurag Katriar, president, National Restaurant Association of India (NRAI), said.

Almost 30-33 per cent of eateries and bars across the country had shut in calendar year 2020 due to the Covid-19 pandemic and lockdown, NRAI had said in a report earlier. Katriar says that he sees some of them, at least 5-7 per cent reopening in cities such as Mumbai, a key consumption centre.
 

Mumbai, along with Delhi, constitutes nearly 25 per cent of the food services market, say industry experts. Metros such as Bengaluru, Hyderabad, Kolkata and Ahmedabad make up another 20 per cent of the food services market.

The extension of business hours for shops and restaurants in the financial capital also comes at a time when Mumbai's lifeline - its local trains - have been opened up for the general public during non-peak hours from Monday.

While the Maharashtra government has announced the same, the Railway Board would take the final decision in the matter, state government officials said.

Retailers and restaurant owners say that staff can now travel freely if local trains are permitted, aiding their operations. "I view both the extension of business hours as well as the resumption of local trains as positive news," says Riyaaz Amlani, chief executive officer (CEO) and managing director, Impresario Entertainment and Hospitality.

Kumar Rajagopalan, CEO, Retailers Association of India (RAI), said, "This is a win-win for all. Longer operational hours will help in adhering to social distancing norms. It will also help the retail industry in key markets such as Mumbai to recover faster.”

Some executives say that the state government should consider lifting the seating capacity in eateries, which stands at 50 per cent as of now. "The next step would be to look at enhancing the seating capacity to 75 per cent and then take it to 100 per cent," says Gurbaxish Singh Kohli, president, Hotel and Restaurant Association of Western India.

60 per cent of the total restaurant market in India remains unorganised, while 40 per cent is organised. The pandemic has aided the shift from unorganised to organised, with the trend expected to stay.

Organised players including fine-dining and quick-service restaurants say that they are taking hygiene and sanitisation measures seriously and are prepared to welcome more patrons as and when the seating cap is lifted.