China's catering growth at 21-year low

CMS (2014-02-11 09:44) [Full Text]

China's catering growth at 21-year low

Walkers passes by a South Beauty restaurant in North China's Tianjin municipality on Dec 1, 2012. [Photo / Asianewsphoto]


BEIJING - The Chinese catering sector grew only 9 percent year on year last year under thegovernment's frugality campaignthe lowest level in 21 yearsaccording to an industry report onSaturday.

 

High-end dining businesses even reported a drop in revenuerarely seen in recent yearssaidthe China Cuisine Association in a report.

The report showed restaurants across the nation earned a total of 2.54 trillion yuan ($420 billion)in 2013, with the upmarket catering sector suffering big losses.

Under the circumstanceshigh-end restaurants are seeking a transition to please mass tastes byoffering breakfastpromoting group meals and introducing fair-priced dishessaid the report.

The frugality drive is part of efforts of the Communist Party of China to reject extravagance andbureaucracy and fight corruption.

The tourism and luxury goods markets have also seen a decrease in tours at public expense andshrinking sales of expensive liquor and cigarettes.

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