Canteen Owners’ Association decides not to stipulate prices for F&B

• Canteens, eateries, restaurants will sell products at price they feel comfortable from today
• AICOA President Asela Sampath says 50% of its industry has gone bankrupt 
• Says they have run out of options to continue, where half a million people are dependent on
• Asserts impact of economic crisis deeper than what Govt. portray or they do not understand at all
• Points to loss of livelihood in multiple other invisible sub-sectors 

AICOA President Asela Sampath Bandara

Unable to further get crushed between the ever-increasing cost of essential commodities and to keep the businesses afloat, the All Island Canteen Owners’ Association (AICOA) have decided not to stipulate a standard price for all food and beverages from last night.

The move follows the steep LPG price revision announced on Tuesday.

“We cannot increase prices of food and beverages every time that cost of essential commodities are adjusted. It has now become an everyday situation. Therefore, we decided to let our members sell products at a reasonable price they determine on, with no specific price tag,” AICOA President Asela Sampath Bandara told the Daily FT.

He claimed that the weakening economic conditions have also impacted the canteens and its related industries severely, where 50% of them have closed down already.

“Canteens and small eateries that were operated by families have closed down now, as they could not absorb the never-ending internal and external pressures, whilst only the business models that are more formal are continuing as they are financially bound by credit facilities,” he added. 

Bandara said there is some price increase everyday affecting their businesses, whilst also adding on to the already skyrocketed cost-of-living. 

“We cannot come out and announce price hikes every day and become a laughing stock. We have now run out of options. We do not know any better way to tell our members how they could survive under these dire economic conditions,” he stressed.

He said people used to buy a good portion of rice and curry with a choice of their protein for around Rs. 110 to Rs. 150 – but now, it has increased to over Rs. 300. 

“It is unfortunate that not only our businesses are deteriorating, but also the purchasing power of people and their health. After all, we are also part of this community,” he said.

The scheduled power cuts, soaring fuel prices, skyrocketing ingredient costs, prices of vegetable, fish, eggs and meat have severely affected the industry, he said, adding that there are half a million people directly and indirectly dependent. 

As per him, the adverse impacts of the essential commodity prices were also reflected on home cooks and women entrepreneurs. “The eateries and canteen food such as string hoppers, pittu, milk rice, helapa, pancakes, bibikkan are sourced through small-scale home cooks. 

“But increased prices are not absorbable to these segments of the community to continue their businesses. We also see a drastic drop in demand at public (hospitals) and private sector canteens, as the purchasing power as well as the welfare offered to staff has been limited,” he added.

Noting that within the eateries and canteen industry there were multiple other invisible sub-sectors such as waste collectors, various helpers, suppliers of materials, he stressed all of them have lost their livelihoods.

“We cannot see light at the end of the tunnel. I think if the Government does not care for its people. The people of this country had never come across such an insensitive administration, that takes pleasure in watching its countrymen suffer and die,” Bandara said, insisting the President and his Government should step down immediately. (CdeS)