Local eateries anticipate price increases during CNY holiday

As the Chinese New Year approaches, many eateries in Macau are expected to adjust their menu prices, following reports from the Municipal Affairs Bureau (IAM) indicating that nearly 400 food and beverage establishments raised prices during the recent Christmas-to-New Year holiday period.

Following the mandatory Chinese New Year (CNY) holiday from February 17 to 19, the bureau announced that approximately 380 to 450 food and beverage establishments are expected to implement surcharges during this period.

The industry may adjust surcharges based on operations and market conditions, typically within a range of 10% to 40%. However, authorities cautioned that businesses that fail to pre-declare new price lists or service charges, or fail to clearly inform consumers, could face fines of MOP2,500 and MOP5,000, respectively.

They emphasized that any planned fee adjustments during the three-day holiday must be pre-declared to the authorities, including providing notification at least three working days in advance to local food markets before implementing new pricing.

In light of potential price increases during the CNY holiday, representatives from the catering industry have unanimously urged their peers to focus on offering promotions to attract customers to spend in Macau rather than raising menu prices.

In interviews with various local Chinese-language media, they suggested first implementing reasonable service charges to address increased labor costs during the Spring Festival’s three-day holiday.

Notably, their recommendations centered on principles of moderation, reasonableness, and transparency, emphasizing the need to share the challenges with residents while celebrating together. Some proposed adjusting service charges to 20% or 30% specifically to cover labor expenses during the holiday.

While acknowledging that some eateries might consider price hikes due to rising wages and operating costs, one representative stressed that any increases should be kept “prudent and conservative.”

The United Association of Food and Beverage Merchants of Macao is reportedly expecting strong bookings for CNY dinners and reunion feasts, although consumer spending is anticipated to be more cautious this year.

The association has consistently urged industry peers to welcome the festive season with stable pricing, high-quality dishes, and attentive service. In a similar vein, the Macau Good Food Merchants Association said it hopes all stakeholders will focus on delivering both quality and quantity while balancing operational costs with consumer demand.

Both groups emphasized the importance of maintaining high standards of service and cuisine to ensure an exceptional dining experience for residents and mainland visitors alike.