Bangladesh's restaurant industry has warned of a deepening business crisis driven by soaring operational costs, gas shortages, shrinking consumer spending and widespread extortion, urging the government to provide urgent policy support in the upcoming national budget to prevent further collapse of the sector.
Leaders of the Bangladesh Restaurant Owners Association made the appeal at a press conference held at Dhaka Reporters Unity on Sunday, where they unveiled an 11-point demand charter seeking tax relief, regulatory reforms and protection from what they described as growing "anarchy" in the sector.
Speaking at the event, the association's Secretary General Imran Hasan said the industry is still struggling to recover from the economic fallout of the Covid-19 pandemic, while global instability linked to tensions in the Middle East has further fuelled the country's energy crisis and sharply increased business costs.
"The relentless rise in commodity prices amid declining purchasing power of consumers has pushed the restaurant sector into severe distress," he said. "Restaurants are battling higher operating expenses, falling customer turnout and mounting uncertainty across the economy."
The association warned that thousands of businesses and jobs could be at risk unless immediate steps are taken to support the sector, which employs a large workforce nationwide.
Among the key demands placed before the government were the immediate introduction of a one-stop service system for restaurant licences and approvals, reduction of VAT and taxes to a "tolerable level" in the next budget, reopening of new pipeline gas connections and urgent measures to resolve the ongoing LPG crisis.
Restaurant owners also demanded an end to alleged harassment during enforcement drives conducted by various agencies, including RAJUK, the Department of Inspection for Factories and Establishments, Fire Service and the Department of Environment.
Association leaders said business representatives should be included during such drives to ensure transparency and fairness.
Imran Hasan alleged that restaurant owners are routinely subjected to bureaucratic delays and unnecessary complications while obtaining or renewing licences and certificates. According to the association, opening a restaurant currently requires between 10 and 12 separate approvals - a process that can take from two to six months.
He said the proposed one-stop service system would simplify procedures, reduce delays and costs, and strengthen oversight to maintain food safety standards.
The association further argued that although VAT on restaurants was earlier reduced from 15 per cent to 5 per cent following negotiations with the National Board of Revenue, businesses continue to suffer under supplementary duties, source taxes and multiple other levies.
Industry leaders also warned that nearly 80 per cent of restaurants across the country remain unregistered, with many operating outside health regulations and tax compliance, creating unfair competition and raising serious public health concerns.
The organisation called for protection of small and medium entrepreneurs against what it termed "corporate aggression" in the industry and demanded implementation of the government's 2022 declaration recognising restaurants as an industrial sector.
It also urged Dhaka North and South City Corporations to resume trade licence issuance and renewal services without delay.
Other demands included permission to import beef and the launch of government-backed training programmes for unskilled restaurant workers to improve hygiene, food safety and customer service standards.
The press conference was attended by the association's Vice-President Shah Sultan Khokon, First Joint Secretary General Md Firoz Alam Sumon, Organising Secretary Taufiqur Islam, Joint Organising Secretary Kamrul Hasan Bipu and other leaders.
