AI image, for representation only
Sugar prices have risen from Rs 45-50 per kg to Rs 70-71 per kg, while retail onion prices have doubled from Rs 30 to Rs 60 per kg. Wholesale onion rates have also jumped from Rs 2,000 to Rs 4,500 per quintal. Many hoteliers expect sugar prices to ease after the Union govt’s announcement on sugar imports and have therefore postponed any revision in menu rates.
Stay updated with the latest Hubballi news.
Prakash, a hotelier at Bankapur Chowk, said rising input costs had created uncertainty over menu pricing. “If prices of essential commodities remain high, we will have to consider increasing rates,” said a hotelier from Keshwapur, adding that higher prices could make it harder to retain customers during a period of weak demand. Hubballi Hotel Association secretary Ravi Gaitonde said hoteliers were tracking daily market trends and adjusting procurement wherever possible. MG Market grocery trader Prabhu Angadi said many hoteliers would consider raising prices if sugar remained expensive for another few weeks, though they were hopeful that rates would decline soon.
Hubballi : A steep rise in sugar, onion and other essential commodity prices has left hoteliers in Hubballi debating an increase in the prices of tea, coffee and food items, even as business remains sluggish. Most hotel owners are adopting a wait-and-watch approach, hoping prices will soften in the coming days. They are reluctant to immediately pass on the higher costs to customers as the industry is already witnessing a slowdown in business. Hotel owners were closely monitoring sugar prices as even minor increases affected popular items such as tea and coffee. However, they admit that a price hike may become unavoidable if current rates continue. Sustained increases in input costs, coupled with slower business, could affect footfall and sales if menu prices are revised upward. Download the TOI App.