Inflation, GST taking a bite off profit, lament biryani sellers in Chennai
DT Next spoke to biryani sellers in the city and most of them admitted that 5% GST and inflation have doubled the cost of biryani in the past seven years.
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CHENNAI: Though biryani consumption has surged in city, the cost has spiralled several times, affecting consumers. Hoteliers lamented over being disappointed with the Union budget, which had no tax reliefs or GST exemptions.
DT Next spoke to biryani sellers in the city and most of them admitted that 5% GST and inflation have doubled the cost of biryani in the past seven years.
According to small food outlet owners, the cost of chicken biriyani was around Rs 60-70 over a decade back. It’s now around Rs 130. “Prices of ingredients for biryani, gas cylinder and shop rent have also increased. Both chicken and mutton biryani are sold at a ratio of 10:1,” stated Mahesh, a small scale biriyani seller in Broadway.
Brands like Dindigul Thalappakatti says that the sales have increased when compared to the past decade. “The earning capacity of people have increased, so they spend more on restaurants. Ten years ago, biryani was sold for Rs 199 but now it is sold for Rs 299. Restaurants cannot claim GST unlike other businesses. So we have to bear the expenses,” said Ravi Raj, GM- Dindigul Thalapakkatti biriyani.
A decade ago, biryani was prepared only on special occasions. But now, it’s common food especially among youngsters. “Competition is high as the number of sellers has increased. There are shops that sell biriyani for Rs 100. So, customers prefer eating there than pay at Rs 250 and more,” said AB Mohan of SS Hyderabad Biriyani.