Catering Industry in India

Topics: Catering, Foodservice, Airline meal Pages: 51 (15560 words) Published: September 12, 2008

Catering definition
This industry comprises establishments primarily engaged in providing single event-based food services. These establishments generally have equipment and vehicles to transport meals and snacks to events and/or prepare food at an off-premise site. Banquet halls with catering staff are included in this industry. Examples of events catered by establishments in this industry are graduation parties, wedding receptions, business or retirement luncheons, and trade shows.

Restaurant or Foodservice definition
Organizations in the Food Services and Drinking Places prepare meals, snacks, and beverages to customer order for immediate on-premises and off-premises consumption. Some provide food and drink only; while others provide various combinations of seating space, waiter/waitress services and incidental amenities, such as limited entertainment. The organizations are grouped based on the type and level of services provided. The industry groups are full-service restaurants; limited-service eating places; special food services, such as food service contractors, caterers, and mobile food services; and drinking places.

Catering is not only about appealing to the taste buds of the individual but also to all the other five senses of a human being. With the right atmosphere, it is possible to appeal to all of these senses making the occasion unforgettable. Of course, beautifully prepared food can alone do this, but now days, caterers want to reach out to the customers in all possible ways and bowl them over. •The venue

The menu
The décor

These are certain areas, which the caterers aim to cover for an all round, win. .
Whatever may be the occasion; a bachelor’s party or the annual meeting of a corporate; deeply satisfying the guests are the sole aim.
Catering seems pretty straightforward and simple: You cook some food and serve it, right? That is the basic idea, but there's more to it. A whole lot more.

Food maybe the most important thing in the catering world, but its only one part of the service. Many catering companies today include full event planning. There has been a change in approach of the companies and while extending their services; other activities are also concentrated upon. It's not that food is no longer a focal point, but rather that it is part of a broader mission.


Political factors

Price hike in L.P.G: This is going to have a direct effect on catering industry. This increase comes after Govt. realized the shortfall in demand and supply of Butane and Isobutene, constituents of LPG. Hence, prices were increased by Rs.20. although this quite a substantial increase but caterers are not in the mood to pass it on to consumers.

Food and Drug administration: Govt. has recommended the formation of F&O of India, which has plans to make registration of all caterers mandatory to ascertain a fix standard below which quality of food served will be prohibited.

Ban on Plastic bags: a ban on plastic bags means difficulty in carrying/storing/transporting food or food items. As today services like `FREE HOME DELIVERY` have become a part of expected service. Hence any inability to provide these type of services may affect the Caterer’s image. Also it will increase the cost of replacement or finding a better substitute than plastic.

Service Tax: imposition of indirect taxes is definitely going to affect the industry. As these taxes are not borne by Service Provider but by the consumer who will have to shell out 10.5% of the bill amount. Also other taxes like Entertainment tax etc. will increase consumer’s outlay.

Rise in Fuel prices: increase in Fuel rates will affect caterers who provide mobile services, as it involves transportation of services. And this will directly be proportional to distance traveled. Hence, an increase of Rs.2-3 per litre seems unfavorable for this industry. But this just seems to be the...
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