Railways Opens Doors To McDonald’s, KFC, Haldiram’s At Stations Under New 'Premium Brand' Category

In a push to modernize passenger amenities, the Ministry of Railways has cleared a proposal to allow top-tier food brands such as McDonald’s, KFC, Pizza Hut, Haldiram’s, Bikanerwala and Baskin Robbins to operate at railway stations across the country.

New Category Under Catering Policy 2017

According to a newly issued Railway Board circular, these “Premium Brand Catering Outlets” will form a new category under the Catering Policy 2017, joining existing formats such as tea stalls, milk bars and juice bars. Their introduction is aimed at raising the quality and variety of food choices available to millions of rail passengers.

Circular Issued to All Zones

The circular (FPJ has a copy), issued by A. Rangarajan, Deputy Director (Catering), Railway Board, has been sent to all Zonal Railway General Managers and other concerned authorities. The move is expected to significantly enhance the food experience at railway stations and bring it closer to international standards.

Strict Licensing Through e-Auction Only

However, the Railways has clarified that while such brands may now be permitted, no stall will be allotted through nomination. All licensing will take place strictly via the existing e-auction system, with a dedicated segment created specifically for premium brands.

Company-Owned or Franchise, but Single-Brand Rule

The outlets may be company-owned or run through an authorised franchise, but must operate under a single brand name. They will be permitted only at stations where demand justifies their presence and where they can be accommodated in the approved station layout without disturbing current policy norms.

Five-Year License Term

Each license will be valid for five years, consistent with other catering categories. The minimum license fee and all financial terms will continue to follow the existing provisions under the Catering Policy.

Station-Specific Operating Conditions

Zonal Railways have also been instructed to draw up station-specific Special Conditions of Contract to ensure that the functioning of these outlets aligns with local requirements and operational realities.