The government has urged hotels and restaurants across the country to procure fruits, vegetables, grains, and spices directly from farmer-producer organisations (FPOs), aiming to improve farmer earnings by eliminating middlemen.
Addressing an event organised by the Hotel and Restaurant Association of Northern India along with the agriculture ministry, Agriculture Secretary Devesh Chaturvedi said direct sourcing would create a “win-win partnership” between the hospitality industry and local farming communities.
Chaturvedi encouraged hotels to incorporate Geographical Indication (GI)-tagged food products into their menus, offering tourists more authentic culinary experiences. India’s GI portfolio extends beyond Basmati to include a wide range of fruits, vegetables, grains and regional specialities.
The secretary noted that India currently has around 35,000 FPOs—10,000 of them established through government schemes. To facilitate direct procurement, the agriculture ministry is preparing a digital platform where FPOs can list surplus produce for purchase by hotels, restaurants and other businesses.
Hotels already source produce from mandis or retail chains, he said, but shifting procurement to nearby FPOs could help narrow the gap between farmgate and retail prices. Agriculture contributes 18% to India’s GDP and employs 46% of the workforce, yet farmers’ incomes remain significantly lower than those in other sectors.
Chaturvedi also highlighted rising demand for pesticide-free and organic foods, suggesting that farmer clusters producing natural or certified organic produce could form dedicated supply partnerships with hotels.
Supporting the initiative, Tourism Ministry Additional Secretary Suman Billa said tourists increasingly seek authentic food experiences, which depend on fresh, high-quality local ingredients.
To facilitate direct sourcing, the Federation of Hotel and Restaurant Associations of India announced it will publish a directory of FPOs with product details and establish a dedicated cell to connect hotels with farmer groups.