Alappuzha: Finance Minister Thomas Issac said that prices of food items in hotels will increase up to 13 per cent. This is due to the increase in taxes up to 18 per cent after the GST implementation.
It was decided during the meeting between representatives of hotel and restaurants association and merchants’ associations.
Price rates in AC hotels will be reduced by 8 per cent as per the consensus between the government and the hotel and restaurants association.
The Minister said that rates will be reduced by five per cent in non-AC hotels. However, the food prices will increase in hotels as the taxes will increase up to 18 per cent as per the GST.
Meanwhile, Issac urged the Vyapari Vyavasayi Ekopana Samithi to call off the shutdown called by them on July 11 in connection with the GST issue. He said apart from solving the mistakes in the bills, the government will not levy any kind of fine on the merchants.
As per reports, chicken merchants are gearing up for protest against the decision of the government to fix the price of chicken at Rs 87 per kilo.