As the summer season approaches, the Dakshina Kannada Catering Owners Association has declared a 10% rise in the cost per plate for catering orders in the region. Rajgopal Rai, the association’s president, cited escalating raw material, tax, and labor expenses as the primary reasons behind the decision.
The association, representing caterers serving diverse communities, has unanimously agreed to implement the price hike. Rai emphasized the necessity of this adjustment, stating that dwindling profit margins have resulted from rising costs across the board.
According to Rai, the price surge is particularly evident in raw materials, with even locally manufactured products experiencing significant price hikes. For instance, an indigenous ice cream manufacturer has raised prices by 20% within a year.
A Ashwatham Hegde, proprietor of Tulunadu Food Catering Services, disclosed the impact on labor costs, noting an increase in wages for servers and female staff. In response to the association’s decision, Hegde’s company plans to implement a 10% hike across its services.
Hegde provided insight into current pricing structures, revealing that basic vegetarian menus range from Rs 300 to Rs 330 per plate, while non-vegetarian options with four meat dishes cost Rs 350 per plate. Additionally, menus featuring fish dishes are priced between Rs 460 to Rs 475 per plate.
He further highlighted the upcoming busy season, with weddings and auspicious events typically dominating April and May. However, the industry anticipates a lull in May due to Moudya, days when weddings are avoided as per the Hindu calendar.
Primus D’Souza, another caterer, explained their strategy to mitigate rising costs by only increasing prices on pork dishes. With pork prices soaring by 40% this year, D’Souza’s company plans to raise prices by Rs 10 per plate exclusively for these dishes, while keeping prices stable for other menu items.
