THE MAJORITY of restaurants have no plans to introduce voluntary calorie counts on menus because of the costs associated with the measure, according to a survey.
The Restaurants Association of Ireland conference, held yesterday, heard that 85 per cent of restaurants had no plans to introduce the calorie information, which the association estimates would cost about €110 million per annum to implement. Minister for Health James Reilly wants restaurants and coffee shops to display the calorie content of each portion in a bid to curb obesity.
However, Dr Reilly said yesterday he would press ahead with the plan, adding that he did not believe the initiative would cost anywhere near the amount cited by the association.
“I don’t accept for one iota of a moment that there is going to be a €100 million, or even a €10 million cost to this,” he said.
“We have a very good Food Safety Authority who will interact and make it very easy for people to interpret what the calorific content of various foodstuffs are, and it’s not going to be the huge mammoth task that they make it out.”
However, Adrian Cummins, chief executive of the Restaurants Association of Ireland, said it was his understanding that the Food Safety Authority did not have the resources to provide information about calories to each food outlet in the State.
He said that the cost would have to be borne by the sector at a cost of €5,000 per annum for each of the 22,000 eateries nationwide. He said the proposal was “bad for business and bad for the sector”.
The decline in consumer confidence was cited as one of the top concerns of restaurateurs, according to a survey of 600 of the association’s members that was carried out last week.
Despite this, some 45 per cent of restaurateurs said they had seen an increase in business by 5-10 per cent last year compared with 2010.
Mr Cummins said there was a sense of cautious optimism, but the Government had to do more to help the industry. He said the Government must retain the reduced tourism VAT rate of 9 per cent, which was introduced as a temporary measure last summer as part of the Government’s jobs initiative.
Last month Minister for Tourism Leo Varadkar said an extension of the measure would be difficult to fund.
Mr Cummins said 70 per cent of restaurants believed the VAT reduction had helped business, and 30 per cent of those directly linked the VAT reduction with their hiring of staff.
The conference also heard a proposal for a fast-track training scheme for chefs to deal with a shortage in the sector. Mr Cummins said there was “a severe shortage” of chefs.
The association will meet the Government in the coming weeks to outline its plan, which would involve taking 1,000 unemployed people off the Live Register under a restaurant work-placement apprenticeship scheme.
It is asking Fáilte Ireland to oversee the scheme.
ON THE GROUND WHAT THOSE IN THE TRADE THINK
Patricia McGowan. Scholarstown House Hotel owner, Co Louth
Business is very steady at the family-run hotel in Drogheda, according to Patricia McGowan. "We've actually seen a small increase, but we've reduced prices hugely. At one time we would have been getting €65 for three courses. Today we are promoting it at €25-€29."
She and other family members are now working 70-hour weeks.
"That's no exaggeration. We've let staff go and we are stepping in ourselves, filling those roles." She says a lot of new restaurants have opened in Drogheda.
"That's a good sign and it's healthy competition but whether they stay open is another story."
Gina Murphy. Owner of Hugo's, Merrion Row, Dublin.
Customer numbers are up at the restaurant "but people are spending less. People just don't have the same discretionary spend."
While she has cut costs wherever possible, she has little control over rates, energy bills and credit card charges.
"Our wage costs are huge. My wage costs in January and February were almost 40 per cent of return. Every week is a battle to keep the figures right."
She senses that people want to start going out again. "They are tired of staying home but they just don't have the money in their pockets to go the extra mile."
Seán Duffy. Operations manager, Bewley's, Grafton Street, Dublin
Bewley's on Grafton Street must have one of the State's most envied locations for passing trade but like other restaurants it has to fight for business.
Seán Duffy says numbers coming through the door are slightly down on two or three years ago, "But also people are definitely more sensitive about their spend." He believes this year will be a key one for the hospitality industry.
"It's going to be hugely challenging, especially for ourselves, but I'm very positive. Hopefully we've hit the bottom and we are going to continue to head in a more positive direction."
