Assam: Restaurants face lockdown blues as many shut shop with heavy losses

Ever since the first lockdown was announced the state government and later the National lockdown by the centre, the country has seen economic activity get hit in unprecedented levels. Among them, the restaurant economy has taken a heavy beating pan-India as well as in Assam.

In Assam too the owners are unable to pay rents to demanding landlords and are finding it difficult to pay salaries to staff as well.

Speaking to Inside Northeast, renowned Chef and member of All Assam Restuarant Association (AARA), Atul Lahkar said, "the initial two months were okay but after that rent pressure, staff salary has caused headache".

Although the government has eased restrictions and opened up the economy, yet the restrictions such as night curfew and weekend closure have hampered business. The take-aways are not helping to match the operating cost. "There is a problem of readying the food and due to the 5 pm curfew, the serving hours have lessened which creates wastage of food. Overall we are in a deep loss.

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Atul Lahkar is one of the renowned restauranteurs of the region, who himself faces a loss of Rs 25 lakhs. Another factor for his loss is because he serves indigenous which takes time to cook and can't be relied on the takeaway model. "The supply chain has been disrupted as the suppliers are from villages so we don't get the meat and other products due to the lockdown".

The AARA has earlier appealed to include the restaurant business into the small sector industries. At present at least each restaurant hosts 10 people. Lahkar predicts 90% of the new ventures like Cafes would be closed soon. "A big unemployment is going to happen to the state as a lot of players are even trying to sell off their businesses".

He further presents the only alternative to the damage would be present a European like model where the govt subsidised the food bill so as to pick consumption up of restaurants. Another help would be the relaxations of the EMIs and instructions to the landlords not to demand rent for a few months so as to relax the pressure on the restaurants"

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