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DS Group plans major investments in NE hospitality and real estate sectors

Pankhi Sarma , September 19, 2024
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DS Group is expanding by adding a 10,000 square foot pillar-less banquet hall and 85 additional rooms, bringing the hotel’s total capacity to 275 rooms by next year

DS group is also exploring further opportunities for expansion in Assam and across the Northeast region

Guwahati: “The hospitality industry has successfully overcome numerous challenges following the COVID-19 pandemic, with a strong recovery underway. The sector is currently experiencing an annual growth rate of 15-20%, shared Nathan Andrews Business Head Hospitality, DS Group during an interview with Business North East.

The DS Group (Dharampal Satyapal Group) is a diversified multi-business corporation and a leading FMCG (Fast Moving Consumer Goods) conglomerate with a strong presence both in India and internationally. Among its various ventures, the group owns and operates the Radisson Blu Hotel Guwahati, a premier hospitality establishment. The hotel is part of the renowned Radisson Blu brand, managed by the DS Group under a franchise agreement with the Radisson Hotel Group. In addition to hospitality, the DS Group has a footprint in sectors such as real estate, FMCG, and more.

“We see a lot of potential for growth in the real estate and hospitality sectors in Assam and the Northeast. We’re adding 85 rooms to the front of Radisson Blu, and this will bring the total room count to 275,” Nathan added.

Here are the excerpts:

Business North East: Since you are in the hospitality sector and also involved in the real estate domain, are there any expansion plans for the DS Group in the Northeast, particularly in Assam?
Nathan Andrews: Yes, we are already present in Guwahati. In fact, the Radisson Blu hotel here is currently under expansion. If you walk around the site, you’ll see we're adding a 10,000 square foot pillar-less banquet hall, and on the other side, we're also expanding by adding another 85 rooms at the front. By next year, this hotel will have 275 rooms in total. Additionally, we are exploring further opportunities for expansion, not only in Assam but throughout the Northeast.

BNE: How do you see the recovery of the hospitality sector post-COVID? What has the recovery been like, and what does the future hold?
Nathan Andrews: By God’s grace, the recovery has been strong, not just for us but for the entire sector. The market has pretty much moved past the challenges of COVID. Over the next few years, the outlook for the industry looks very positive, according to forecasts and general market sentiment. That optimism is why our group is continuing to invest in the market.

BNE: Could you provide an estimate of how much growth the sector has seen post-pandemic?
Nathan Andrews: I don’t have exact nationwide statistics at hand, but I’d say the sector is growing by at least 15 to 20 percent annually. It’s a healthy growth rate for the industry, given the challenges we’ve overcome.

BNE: What are your thoughts on how the government can further support the growth of the hospitality sector, particularly in Assam?
Nathan Andrews: It’s not just about Assam—the government here has been quite proactive—but across the country, there are some common concerns in the hospitality industry. For example, many in the sector have long requested that the GST rate for hotels be aligned with that of standalone restaurants, as the current disparity puts hotels at a disadvantage. Additionally, we’ve been advocating for industry status for hotels, which would provide a significant boost. These are issues we’ve been raising for several years now.

BNE: The tourism sector is closely linked to hospitality. In your opinion, how have these two sectors grown together post-pandemic?
Nathan Andrews: Tourism and hospitality are interconnected. As tourism grows, so does hospitality, and vice versa. If travellers don’t have quality places to stay, they won’t visit, and if there isn’t enough tourism, the hospitality sector won’t invest in new properties. It’s a cyclical relationship. The growth of the aviation sector has also contributed significantly to the hospitality industry. Right now, both tourism and hospitality are in a strong position, and India, as a whole, is seeing significant growth in both sectors.