Lok Sabha Question No. 1483 (UNSTARRED), answered on 2017-12-27
Subject: Award of Catering Contracts
Ministry: RAILWAYS
Asked by: RAJESH VERMA

- (a) : No, Madam.

(b):  Does not arise.

## GOVERNMENT OF INDIA MINISTRY OF RAILWAYS

## LOK SABHA UNSTARRED QUESTION NO.1483 TO BE ANSWERED ON 27.12.2017

## AWARD OF CATERING CONTRACTS

†1483. SHRI RAJESH VERMA:

Will the Minister of RAILWAYS  be pleased to state:

- (a) whether the Railway Catering Department awards catering contract to some selected firms to provide catering facility to the passengers in trains  and  at  stations  due  to  which  small  vendors  providing  these facilities, become unemployed;
- (b) if so, the names of catering firms to which the Railway Department awards contracts;
- (c) whether as per the report of the Comptroller and Auditor General of India, food supplied by these firms is not fit for consumption and if so, whether  the  Government  proposes  to  blacklist  these  firms  and  award contract to new firms;
- (d) if so, the time by which the Railway Catering Department is likely to start the process of awarding contract to new firms; and
- (e) if not, the reasons therefor?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF RAILWAYS

(SHRI RAJEN GOHAIN)

Contd..2/-

(c): Yes, Madam,   The Comptroller and Auditor General (CAG) of India in its  Report  No.13  of  2017  dated  21.07.2017  on  'Catering  Services  in Indian Railways' has highlighted deficiencies in catering services being provided to passengers on Indian Railways.   In its endeavour to provide quality  and  hygienic  food  to  the  passengers,  Indian  Railways  have developed and operationalized an institutionalized mechanism for monitoring  of  quality  and  hygiene  of  catering  services  through  regular inspections at various levels to address catering complaints. Further, a policy of zero tolerance towards poor quality of food served to passengers and overcharging  is  being  followed  and  during  the  current Financial  Year  (i.e.  April  to  October  2017),  12  catering  contracts  have been terminated and  08 contractors have been blacklisted/debarred  for complaint related to catering or other contractual deficiencies.

(d) and (e): To improve the standard of food being provided to passengers, new Catering Policy has been issued on 27 th  February 2017 which  inter-alia  stipulates  that  Indian  Railway  Catering  and  Tourism Corporation  Limited  (IRCTC)  has  been  mandated  to  carry  out  the unbundling by creating a distinction primarily between food preparation and  food  distribution  on  trains.  In  order  to  upgrade  quality  of  food preparation, IRCTC is to set up new kitchens and upgrade existing ones. Zonal  Railways  are  to  manage  minor  static  units  (catering  stall  /milk stalls/ trolleys etc.) except base kitchens and kitchen units. The policy mandates the zonal railways to hand over the kitchens managed by them to  Indian  Railway  Catering  and  Tourism  Corporation  Limited (IRCTC).

Contd..3/-

Food Plaza, Fast Food Units and Food Court will continue to be managed by  IRCTC.  The  procedure/guidelines/policy  laid  down  for  allotment  or contracts  for  running  various  stall  at  railway  platforms    inter-alia include:- (i)  Allotment  of  General Minor Units at all category of stations to be done through open, competitive, two-packet tendering system from the  eligible  bidders  by  railway  divisions  (ii)  Allotment  of  Special  Minor units  (reserved  category)  at  all    category  of  stations  to  be  done  by divisions  through  open  tendering  system  within  the  similar  reserved category. The technical eligibility criteria has been simplified. (iii)  For the purpose of allotment, a Refreshment Room (at B and below category of stations) or a stall or a trolley to be deemed as one unit.  As such, a single  unit  is  to  be  awarded  through  a  single  license.  Allotment  of catering contracts by IRCTC and Zonal Railways under the framework of Catering  Policy  2017  is  an  on-going  process,    as  per  the  need  and requirement of catering services.

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