Prices in bars and restaurants
In previous columns we have referred to prices of wine, ice creams, etc. in restaurants. As I already wrote, it is up to us consumers to maximise on the principles of a liberalised marketplace by sharing information about outlets where they charge...
In previous columns we have referred to prices of wine, ice creams, etc. in restaurants. As I already wrote, it is up to us consumers to maximise on the principles of a liberalised marketplace by sharing information about outlets where they charge reasonable prices.
On November 7 I invited bars and restaurants where they charge reasonable prices to write to me. We have our first reply from The Cottage Restaurant in Sliema Road, Sliema:
My wife, and I enjoyed a lovely meal right next to the fireplace at The Cottage Restuarant.
Here follow some of the prices quoted:
White wines:
Verdala Bianco Lm3.25 (half-bottle: Lm2); Special Reserve Lm2.75;
Chardonnay and Pinot Grigio Lm4.85 (half-bottle: Lm3).
Red wines:
Special Reserve Lm2.75; La Valette Lm3.25 (half-bottle Lm2); Merlot Lm4.85; Cabernet Sauvignon Lm4.85 (half-bottle Lm3).
Rosé wines:
Verdala Rosé Lm3.25 (half bottle Lm2).
Italian wines, White: Soave Lm4.25, Pinot Bianco Lm3.85; Red: Cabernet Sauvignon Lm3.85, Valpolicella Lm4.25; Rosé: Merlot Rosé Lm3.85.
French wines, White: Chardonnay Lm4.25; Red: Merlot Lm4.25.
I invite other restaurants that offer prices as above or lower to write to me with a particular focus on wines. In the meantime I received another letter on restaurants. Here follow some excerpts:
I read with interest your comments on October 3 wherein you wish to start a campaign on those restaurants that overcharge...
What is a reasonable profit? Before the levies were removed, it was common practice for the mark-up on foreign wines to be 100%, with a few charging 125%, excluding hotels that charge from 300% to 400% contending that they have wine waiters. However if one were to enquire about their knowledge of wines it would transpire that it is negligible.
Perhaps you could seek an explanation from local manufacturers as to why the mark-up on local wines is higher than on foreign wines.
There are so many foreign wines on the market that it is now difficult to know who is importing what. Thus it is more difficult to obtain prices. Indeed several restaurants do not sell renowned brands and you will not be able to establish the mark-up.
Practically all restaurants reduced the price of foreign wines by Lm1 or the levy element. However they are now buying it for less, since the agents reduced their prices by Lm1.35 to Lml.50 per bottle (levy - profit margin on levy + VAT). So restaurants should have reduced their retail price by between Lm2.60 and Lm3 per bottle.
You should first establish the grading of the restaurant. Does it employ a wine waiter just to open the bottle and pour some wine in the glass for you to taste, or a wine connoisseur? How are the wines stored? Does the restaurant have a wine cellar to keep the right temperature, especially for red wines? Who can serve a red wine in summer at the proper 18°C temperature? Zest is the only place I have been to which serves wine at the right temperature. On enquiring, I was told that they have a special air-conditioned room for their wines ...
Ninety per cent of restaurants open only in the evenings. In the summer, when the temperature outside is 35°C or 38°C, inside, with everywhere closed, it could go up to 40°C. Take a bottle of red wine in a restaurant on the shelf. The restaurant opens at 4 p.m. and the air conditioner is turned on. The temperature is reduced to 22°C or 24°C. This happens every day. Just imagine what you will be served when the wine you order was on the shelves for three or four months?
Finally, I believe that you should go one step further now that we are in the EU - we should, as consumers, insist that the prices are clearly displayed outside and inside on the menus. Also, perhaps a restaurant should tell you beforehand what the cost of the (fresh) fish chosen is. I realised that whenever I ask beforehand I always get a better price. When I do not ask, I always end up being charged more. (Denis Muscat)
While thanking Mr Muscat for his letter, I invite restaurants which offer reasonable prices to write to me with a view to sharing the information with our readers.