McDonald's, Pizza Hut, KFC, Haldiram's, Subway, others to soon open outlets in Indian railway stations

Indian Railways has cleared the way for premium single-brand food chains such as McDonald's, KFC, Pizza Hut, Baskin Robbins, Haldiram’s and Bikanerwala to open their branded outlets inside railway stations. 

The change comes through an update to the Catering Policy, 2017, which introduces a new category called Premium Brand Catering Outlet.

Until now, railway stations already hosted a mix of catering units, including refreshment rooms, food plazas, fast food units and e-catering partners, but the “catering stall” segment itself consisted only of tea stalls, milk bars and juice bars.

The new category now formally expands this segment to include premium brand outlets as the fourth type of stall, creating a structured mechanism for well-known branded chains to operate directly within station premises.

A circular issued on 13 November 2025 states that these outlets will be allotted only through the existing e-auction system. No direct or nomination-based allotments will be permitted. Each licence will run for a five-year term, in line with other catering units.

The Minimum Licence Fee and other financial terms will continue to be governed by the current guidelines under the Catering Policy. Railway zones can approve these branded outlets only where justified by passenger demand and adequate space availability.

The new category will not disturb existing reservations for SC, ST, OBC communities, freedom fighters, their widows or families displaced due to railway land acquisition. Zonal teams are expected to review station layout, commercial areas and demand before inviting bids.

The update follows a proposal from South Central Railway, which had recommended allowing well-known food chains at stations. The Railway Board has now integrated that proposal into the wider catering framework to bring a structured system for premium outlets while keeping quota-based categories intact.

More than 1,200 stations are in different phases of redevelopment across the country. Large hubs in Delhi, Mumbai, Ahmedabad and other cities are creating new commercial zones, which will make it possible to host these single-brand outlets. Zones are expected to prioritise stations where demand and space conditions are most feasible, based on assessments carried out before bidding.

IRCTC currently serves more than 10 lakh meals a day across the network. The new premium outlets will operate alongside existing services and expand food choices for passengers, especially at major stations where the commercial ecosystem is more developed.