Why 39 Kudumbashree-run Janakeeya Hotels were pushed out of business in Pathanamthitta

Adoor: A low-cost plate of rice and curry is fast becoming a rarity in Pathanamthitta as Kudumbashree-run Janakeeya Hotels continue to shut down amid subsidy cuts and soaring costs. With 39 of the 58 outlets having closed, only 19 remain operational in the district.

Launched under the Hunger-Free Kerala scheme, these eateries had become a dependable option for drivers, workers, daily-wage earners and others seeking a low-cost lunch. A meal that initially cost ₹20 now costs ₹ 35-40, following a steady rise in the prices of essential commodities.

The outlets were initially opened in all four municipalities and 53 panchayats in the district. Of the four municipalities, however, only Pathanamthitta still has a functioning Janakeeya Hotel, while the number of panchayats with such outlets has fallen to 18.

Kudumbashree has entrusted the running of the hotels to CDS units comprising more than three members. Since the eateries were both a public service and a source of livelihood, many of these groups initially tried to keep them going despite mounting expenses. However, the steady rise in input costs eventually made it difficult for them to sustain the outlets.

Subsidy withdrawal pushes hotels to the brink
Kudumbashree officials said the withdrawal of the government subsidy and the lack of timely financial support from local bodies were key reasons behind the closures.

The government had earlier provided a subsidy of ₹10 per meal, but the assistance was discontinued three years ago. The withdrawal came even as the prices of cooking gas, rice and vegetables were rising sharply.

The units have also struggled to receive timely payments from local bodies towards building rent, electricity and water charges. With revenues failing to keep pace with expenses, several outlets began running at a loss.

Though many units initially tried to keep the eateries afloat, soaring costs eventually left them with little choice but to shut down. Kudumbashree officials said the hotels could remain viable only if the government restores the meal subsidy and local bodies ensure timely financial support.

Where the 19 hotels are still functioning
The 19 remaining Janakeeya Hotels in Pathanamthitta district are functioning under CDS units in Pallikkal, Kalanjoor, Erathu, Ezhamkulam, Enadimangalam, Kottangal, Kottanad, Vadasserikkara, Chittar, Seethathode, Nedumbram, Kuttoor, Niranam, Chenneerkara, Koipuram, Thannithode, Pathanamthitta, Kulanada and Pandalam Thekkekara.