German restaurants downsize due to cost pressures

VTV.vn - Restaurants and food services in Berlin, Germany are facing many difficulties due to rising operating costs.

Restaurants and catering services in Berlin, Germany are facing many difficulties due to rising operating costs. Consumers have also become more price-sensitive due to the cost of living crisis. These factors have led to the closure of many restaurants in Berlin, even the high-end restaurants that are popular with customers.

Inside the kitchen of a Michelin-starred restaurant in Berlin, Germany, chefs prepare ingredients for another day of work. The ingredients are fresh and the colors are vibrant, but the atmosphere is less bright. Berlin’s fine dining scene is shrinking. Several Michelin-starred restaurants have closed in the past two years. Rising rents, higher energy bills, and soaring prices for local produce have pushed operating costs to levels many restaurants say are unsustainable.

"Our customer base is down, while our operating costs are still rising," said Billy Wagner, owner of Nobelhart & Schmutzig. "We've tried to be flexible and make some adjustments to make it more accessible to customers, but it's still very difficult."

The end of the year is typically the busiest time of year for the food service industry, not just in Germany. But this year, due to the general economic difficulties in the world, many restaurants feel uncertain. According to estimates from market research firm IntoTheMinds, restaurants across Germany have seen a 17% drop in revenue while costs have increased by 32%. 70% of those surveyed said they ate out less.

"We're trying to be optimistic about the end of the year, but this year, many events and even New Year's Eve parties that customers booked have been canceled. There are fewer tourists . It's very worrying," said Jules Winfield, owner of Bonvivant restaurant.

Industry representatives say the problem goes beyond restaurants alone. The DEHOGA Hotel and Restaurant Association is calling on Berlin authorities to improve flight routes and revive trade fair tourism, which has been a key source of customers for many restaurants in the city. The industry is also hoping for a better year next year, as Germany will permanently cut VAT on restaurants and catering services from 19% to 7% from January 1, 2026.

Source: https://vtv.vn/cac-nha-hang-duc-thu-hep-hoat-dong-do-ap-luc-chi-phi-100251120051308618.htm