KFC, McDonald's & Other Food Brands Can Open Outlets Inside Railway Stations Now


Mohul Ghosh

Mohul Ghosh

Nov 20, 2025


In order to elevate the standard of the passenger amenities,  the Ministry of Railways has approved a plan to introduce leading national and international food brands—including McDonald’s, KFC, Pizza Hut, Haldiram’s, Bikanerwala and Baskin Robbins—at railway stations across India recently.

KFC, McDonald's & Other Food Brands Can Open Outlets Inside Railway Stations Now

Upgrade In Railways Stations Catering Policy 

This initiative is aimed to upgrade the overall dining experience for millions of commuters who use Indian railways daily.

It would also help in bringing station facilities closer to global standards.

These brands will be placed under a new category called “Premium Brand Catering Outlets” within the existing Catering Policy 2017 as mentioned in a newly released Railway Board circular.

When it comes to the implementation, it would  join the current formats such as tea stalls, milk bars and juice kiosks, expanding food choices for passengers.

The circular—issued by A. Rangarajan, Deputy Director (Catering), Railway Board—has been forwarded to all Zonal Railway General Managers and concerned authorities. 

Focus On Enhancing Hygiene, Quality and Service Standards

With this move, Indian Railways’ has made their intent very clear of enhancing hygiene, quality and service standards in station food offerings.

While all this is happening, Indian Railways has made it clear that although premium brands are now permitted, no outlet will be allotted through nomination. 

They will be allowing the licensing, strictly through the existing e-auction system.

Moving ahead, they will create a separate segment especially for premium brands to ensure transparency.

These outlets could be either run by the company or through authorised franchisees, but must operate under one brand name. 

Moving ahead, these brands will be only permitted at stations where demand justifies their presence and also space is available within the approved layout without disrupting policy norms.

License for these outlets will be valid for five years which is also in line with other categories under the catering policy. 

It is said that the financial terms, including the minimum license fee, will continue to follow the existing provisions.

In the meantime the Zonal Railways have also been asked to draft station-specific Special Conditions of Contract.

This would also ensure the smooth functioning of these outlets considering the local requirements and operational realities.

Whatever be the case, this decision marks a significant upgrade in the food ecosystem of railway stations.

It would also create a confidence as Indian Railways will be offering passengers familiar, reliable and higher-quality dining options during their journeys.

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Mohul Ghosh
Mohul Ghosh
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