Big food brands to set up outlets at railway stations under new policy

With colossal, city-style elevated decks by the Mumbai Railway Vikas Corporation (MRVC) rising at stations like Khar and Kandivli, the railways decided it was time to swap boring menus for branded ones. With lakhs of daily passengers and footfalls that rival shopping malls, these upgraded decks are about to become the hottest real estate for global flavours.

The elevated deck at Kandivli station. PICS/BY SPECIAL ARRANGEMENT

The massive new elevated decks being built at several suburban stations can now house major food brands, as the railways last week cleared the policy for setting up small stalls of popular brands at railway stations. This will be in addition to the existing stalls.

Big policy shake-up

“In a move aimed at upgrading the food experience of train passengers, Indian Railways has approved a new category of station stalls — Premium Brand Catering Outlets — paving the way for single-brand chains such as McDonald’s, KFC, Subway, Haldiram’s, and other reputed names to set up shop on platforms,” a spokesperson said. According to documents available with mid-day, the Railway Board has clarified that these outlets will not be allotted on a nomination basis.

Fourth catering pillar

“The move formally adds a fourth category to the Catering Policy 2017. Earlier, stalls were grouped into: tea/biscuit/snack stalls, milk booths, and juice and fresh fruit counters. The newly added Premium Brand Catering Outlet category is specifically meant for top-tier branded chains, aligning railway stations with airports that already offer similar high-end food options.

Under the policy, these premium stalls will have a five-year licence period, matching the tenure of other catering stalls but governed by existing instructions on licence fees and operations.

The Railway Board has also directed zonal railways to frame special conditions and guidelines to ensure these premium operations blend with station traffic patterns and reservation layouts, without disturbing ongoing passenger services.

The food revolution

Sources said the South Central Railway (SCR) had initiated this proposal, pointing out the rising expectations of passengers who now seek branded, hygienic food options during travel. Explaining the process, a spokesperson said there are two categories of stalls and canteens. While the larger ones are allotted by the IRCTC, the smaller ones are allotted by the local divisional offices.

While earlier these big brands set up their limited outlets through IRCTC, now the local divisional offices too have been allowed to do this. This will rapidly increase the presence of branded stalls, especially at new locations like the massive elevated decks at city stations where footfall is high.