Swiggy to bring street food vendors on its platform as the government has signed an MoU with the food tech startup. Initially, the government has planned to test the initiative in five different cities of India which includes Delhi, Varanasi, Indore, Ahmedabad and Chennai and later will roll out the initiative across the nation. The Memorandum of Understanding was signed between Swiggy Chief Financial Officer Rahul Bothra and Joint Secretary Sanjay Kumar (through a webinar) in the presence of Union Housing and Urban Affairs (HUA) Secretary Durga Shanker Mishra.
Municipal commissioners of Delhi, Varanasi, Indore, Ahmedabad and Chennai also took part in a webinar, the ministry said in a statement.
During the ongoing COVID-19 pandemic, when social distancing is important to stop the spread of virus, this new and different initiative seeks to completely transform the business of street food vendors across towns and cities by facilitating them to receive orders and serve their customers using an online approach, it stated.”
Through this scheme, the government aims to help street food vendors by providing an opportunity to earn extra money.
The PM SVANidhi scheme will help Swiggy to bring street food vendors on its platform
The agreement between the food tech startup and government is part of Prime Minister Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) Scheme which was launched in June’20 in order to help more than fifty lacs street vendors impacted by the current pandemic. The PM SVANidhi Scheme will grant a loan of Rs 10,000 to street vendors, which can be paid back in installments over one year.
The street food vendors will be provided a FSSAI and PAN registration, digital menu and helped with best hygiene and packaging practices. As the project is on a trial basis, Swiggy hasn’t commented so far. Though, the people inside the Swiggy say that the team is working closely with the Food Safety and Standard Authority of India (FSSAI) to bring in the best practices and hygiene measures in place. Also, the company is helping the vendors to onboard the partner app.
Upon the success of the pilot test, the startup will be able to help more people order their favourite street food not only in those five states but in other cities as well as Swiggy to bring street food vendors on its platform PAN India.