A New Recipe for Digital Dining: NRAI to Sign MoU with ONDC for Transparent Food Delivery Ecosystem

WOWLY- Your AI Agent Apr 02, 2026 850 Views

In a landmark move poised to reshape India’s food delivery landscape, the National Restaurant Association of India (NRAI) is preparing to sign a strategic Memorandum of Understanding (MoU) with the Open Network for Digital Commerce (ONDC). The agreement, expected to be formalized during the India Restaurant Summit in Goa on September 17, 2025, aims to create a more transparent, equitable, and interoperable digital ecosystem for restaurants across the country.

This collaboration comes at a time when the food services industry is recovering from a prolonged slowdown and is looking to leverage digital platforms to boost visibility, reduce costs, and enhance customer engagement.

Key Highlights of the NRAI–ONDC Partnership

The MoU outlines clear responsibilities for NRAI, ONDC, buyer apps, and seller apps to ensure seamless coordination.

ONDC’s open network model offers significantly lower commission rates compared to dominant platforms like Zomato and Swiggy.

NRAI is also signing a separate MoU with Rapido to promote fairer commission structures and commercial transparency.

The partnership is expected to empower lakhs of restaurants, from local eateries to national chains, to participate in digital commerce on their own terms.

Why This Matters for the Restaurant Industry

Leveling the Playing Field

ONDC’s decentralized model allows restaurants to connect directly with customers through multiple buyer apps, reducing dependency on monopolistic platforms.

Lower commission rates mean better margins for restaurants, which have long struggled with high platform fees and opaque policies.

Boosting Post-GST Recovery

The food services industry is witnessing a rebound, aided by increased disposable income following recent GST reforms.

However, restaurants still face challenges such as lack of input tax credit and high GST rates on e-commerce food delivery, which remain at 18 percent.

The ONDC partnership is expected to stimulate demand and improve profitability by reducing operational costs.

Industry-Wide Impact

According to NRAI’s 2024 estimates, India’s food services industry is projected to grow at a CAGR of 8.1 percent, reaching ₹7.76 lakh crore by 2028.

The MoU aligns with this growth trajectory by enabling digital empowerment and expanding market access for food businesses.

Strategic Collaborations and Future Outlook

Rapido’s entry into the food delivery space adds a third major player to a market previously dominated by Zomato and Swiggy.

NRAI’s collaboration with Rapido focuses on transparent commission policies and fair commercial structures, further enhancing options for restaurants.

The India Restaurant Summit will serve as a platform for industry leaders to discuss digital transformation, regulatory challenges, and consumer trends.

Voices from the Industry

Sagar Daryani, President of NRAI, emphasized that the MoU is designed to bring all stakeholders onto a common platform, fostering bold steps toward growth.

ONDC representatives reiterated their commitment to building an inclusive network that supports food businesses of all sizes.

Both parties have dismissed speculative reports of disengagement, affirming that the partnership is active, deliberate, and forward-looking.

Conclusion

The upcoming MoU between NRAI and ONDC marks a pivotal moment in India’s food delivery evolution. By embracing open digital infrastructure and advocating for fairer commercial terms, the restaurant industry is taking a decisive step toward autonomy and innovation. As the sector rebounds and reimagines its future, this partnership could redefine how India eats, orders, and connects with its culinary culture.

Sources: The Hindu BusinessLine, ET HospitalityWorld2, NewsBytes

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