The ongoing war in West Asia has caused the prices of everything from airfares to transportation to daily necessities to increase in Nepal. With the increase in operating costs, restaurants in Kathmandu are now considering reducing the number of dishes available or increasing prices.

Small-scale restaurants have already started increasing the prices of their dishes. It has been almost two months since the US and Israel launched an attack on Iran, which has led to a global increase in fuel prices and a sharp increase in prices.

Shobhan Malakar, the owner of Trisara Restaurant in Kathmandu, said that the increase in food and vehicle fares has increased operating costs by 25 percent. 'The restaurant is struggling to run due to high costs. We are not increasing prices immediately. However, if the situation remains like this, there is no option but to increase prices,' he said. 'Even in such a situation, we will not increase more than 5-10 percent.' '

Malakar said that the number of customers in restaurants has dropped sharply. 'So far, gas supply has been smooth. If there is any disruption in this, we will have to lock the restaurant,' he added.

Induction stoves have not been a reliable alternative to gas for commercial use. For example, fried rice that takes 5 minutes to cook on a gas stove takes 15 minutes on an induction stove.

Restaurant operators are confused about how to set prices due to the uncertainty of the war. 'There are reports that the Strait of Hormuz is opening and closing frequently. This has added to the confusion in pricing, because once the price is increased, it is very difficult to reduce it later,' Malakar said.

After the attack on Iran on February 28, Iran blocked the Strait of Hormuz in response. Its impact was also seen in Nepal. According to restaurant operators, increasing the price of dishes will reduce the number of customers, so it is difficult to take this decision despite the all-round price increase.

During the past blockade, some restaurants had reduced the number of dishes, while others had sustained their business by using firewood due to the lack of gas. Araniko Rajbhandari, the operator of ND's Cafe, said that reducing the business loss is the main priority in the current situation.

'We are currently in a 'wait and see' situation and are looking for options to sustain the business,' he said. 'As much as possible, we will bear the increasing operating expenses ourselves. If not, we will reduce the number of dishes. We will operate the restaurant by reducing rent, salaries and other expenses.'

Although the focus is on selling induction-made dishes like pizza and cold drinks, he said that the lack of regular electricity supply is a challenge to maintain continuity and quality.

Before increasing prices, one should also consider the purchasing power of the customer. Because the rising inflation has already damaged the budget of the general public. And increasing prices in restaurants can further reduce the number of customers.

Nearly 2,000 restaurants are affiliated with the Nepal Restaurant and Bar Association. According to the ASNA, these restaurants have employed 400,000 people. Meanwhile, some small shops have started raising prices as it is very difficult to sustain their business.

Shashi Sah, the owner of Altura Coffee, which recently opened in Tinkune, informed that his cafe has already increased prices by 5 percent. 'We have just opened. It has been very difficult for us to operate without adjusting the prices. Since our costs have increased by 30 percent, we are planning to increase prices by another 15 percent this week.'