A Clare café owner claims supplier price gouging is forcing businesses to close and putting undue pressure on those that survive.
With a new survey indicating a spike in food businesses closing their doors this year, proprietors are pointing to rising costs as their greatest challenge.
A total of 150 restaurants, gastro pubs or other food businesses ceased trading in the first three months of this year, according to new figures from the Restaurants Association of Ireland.
Of the 170 respondents to the RAI’s survey, 65% reported a decline in financial performance last year, compared to 2023.
The finding is unsurprising given RAI data indicates that between 2022 and 2025, the price of fruit and vegetables has gone up by nearly 50%, while beef is up 96% and chocolate has soared by a startling 157%.
It’s also reported that menu costs haven’t kept pace with these rising input costs, increasing by just shy of 17% for lunch and less than 19% for dinner.
Frank Landy of Sweet ‘n’ Green in Ennis believes large suppliers are taking advantage of global circumstances at the expense of small businesses.
You can listen to the full interview here:
A whole 94% of the survey’s respondents foresee a continued rise in food costs this year, while 88% expect beverage prices to do likewise.
To stay afloat, four in five restaurants are preparing to cut staff hours and 70% expect to reduce overall staff numbers.
Tony Cogan of Cogan’s Bar and Restaurant in Miltown Malbay says he’s just about breaking even and has to watch every single cent.
You can listen to the full interview here:
