After hiatus 2 years when the restaurant can finally operate completely, inflation has hit them. Many restaurants are considering raising prices on their menu because of the increase in food grain prices, chicken, and other products. They already care about oil prices up and now with the prices of other ingredients up, eating outside will be expensive.
Cautious Approach By Restaurants
Raghav Verma, co-founder, of Chaayos said that they are trying their best not to pass on the cost to the consumers. Rahul Singh, founder of Beer Cafe said that there might be a slight rise in the price but they cannot think of passing the entire cost to the customers are they already are facing inflation.
Operational Cost Rose By 10-12 Percent
Kabir Suri, President of NRAI (National Restaurant Association of India) revealed that they are facing inflationary pressures. The supply of grains, oil, and others has been affected a lot post-war and Covid. Also, farmers and others in the F&B industry were not prepared for the sudden rise in demand and hence there are issues in supply. He also added that the operational cost has been hiked by 10 to 12 percent, thanks to inflation.
QSRs Hiking Their Menu Prices
Domino’s India increased prices by 5 percent in April after a hike of 4-5 percent in December. KFC too has increased the price up to 10 percent. Pizza Hut has taken a little rise. The last KFC had taken a hike was in November 2021 and Pizza Hut in April 2019.