Delhi News

Eating out could cost more as dhaba, restaurant licences are set to increase

Eating out in restaurants, coffee houses, hotels, food courts and five-star hotels is set to get costlier in several areas in the capital as the corporation has increased health trade licence fees in areas under the jurisdiction of the erstwhile North and East MCDs, to bring uniformity in rates. This would likely affect the prices of the final product, said a senior official of MCD.

The MCD rules state that it is compulsory to take a licence in around 100 different categories of businesses, including grocery shops, paan shops, salons, water trolleys, circuses, clubs, sweet shops, medical stores, ice cream factories, restaurants, and amusement parks.

The corporation has the provision to issue a challan in case of violations.

The erstwhile North and East corporations had kept their rates lower as opposed to the South MCD, and the parity is now being brought in keeping the South rates as the standard, said a senior MCD official.

Earlier the registration fee for opening a dhaba was between Rs 2,500 to 10,000, which has now been increased to Rs 25,000. Similarly, the annual licence fee of banquet halls was between Rs 5,000 and 25,000 which has now been increased to Rs 25,000.

The licence fee for restaurants up to 20 seats, which was between Rs 240 to 10,000, has been hiked to 10,000 for the whole of Delhi. The licence fee for coffee houses was between Rs 240 to 10,000 and has also been increased to Rs 10,000.

The three erstwhile corporations used to earn more than Rs 16 crore per annum from health trade licence — North (Rs 5 crore), South (Rs 8.5 crore) and East (Rs 3 crore).

A senior official of the MCD said there are business centres in East and North Delhi which are no less successful than those in South. “What is the harm in paying? Also, the increase is nominal. There was no increase in East and North rates for years so a parity has been brought,” he said.

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