Is Railways’ 2,000cr train food business on track?
With meals that are just about palatable, limited menu options and a take-it-orleave-it attitude, the Indian Railways has not been known for its catering services for many years now. In fact, stories from old-timers — of iconic dining cars in trains like the Calcutta Mail and Deccan Queen— that served baked beans on toast for breakfast and had an impressive English style full tea service almost sound like fairy tales.
The value of having good food onboard is not lost on the Railways though. The estimated market for catering on trains is worth about Rs 2000 crore annually. Since the past few years, the ministry of railways has been trying desperately to consolidate its share of this lucrative business. But most of its schemes have fallen flat.
"There have been too many ad-hoc experiments," says a former member of the Railway Board. "For instance, the railways catering policy of 2010 took away catering services from IRCTC, a unit that was specially formulated to provide such services. And now, there is the decision to do away with pantry cars and instead set up base kitchens to provide packaged meals. What purpose will it serve unless quality is strictly monitored and enforced? "
Food industry observers agree the move to outsource food services to private players may be, on the face of it, a sound one since catering is not the Railways' core business. But it has not worked because of poor quality control and limited accountability on the part of the contractors. "The expectations of the travelling public with regard to food are much more now," says Vinayak Chatterjee, chairman of Feedback Infrastructure Services who served as a member of the expert group for modernization of Indian Railways. "The Railways urgently needs to put in place rigorously enforced service standards to derive quality from its contractors."
For that, the Railways will first need to clean up its tendering process. "A review of the present tender system for catering is absolutely essential," says celebrity chef Sanjeev Kapoor. "In my opinion it is heavily tilted in favour of people who have been providing these services for years. As a result, very few new people are able to get into the system and there is no competitive environment that can help deliver a memorable food experience."
While the Railways is still struggling to get its act in place, a number of private players have latched onto the demand for good food on trains by setting up web and phone-based delivery services. These deliver hot and fresh meals to passengers right at their seats when their train stops at designated railway stations. "It's a huge opportunity," beams Piyush Kasliwal of Mera Food Choice, a webbased service that caters to around 500-800 passengers daily through its tie-up with restaurants located near stations." Considering there are 14,000 trains with around 1000 passengers daily, our business can only grow further." Remains to be seen who chugs ahead in this rail race.
http://timesofindia.indiatimes.com/india/Is-Railways-2000cr-train-food-business-on-track/articleshow/18482543.cms
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