Banquet and catered meal charges in Sri Lanka will rise by 15 to 20 percent for new orders placed from May, the All-Island Banquet Owners’ and Caterers Association announced on Tuesday, citing the cumulative pressure of the fuel crisis, recent VAT adjustments and a sharp escalation in raw material costs.
Customers with pre-existing reservations will face a 10 percent surcharge on already-booked meals, the association said at a media briefing in Colombo. Representatives told reporters the industry had “faced severe setbacks due to escalating costs” and described the price revision as “necessary to safeguard both business owners and employees.”
The announcement adds the wedding and event catering sector to a growing list of consumer-facing industries passing rising costs onto customers. Restaurant prices rose earlier this month after LAUGFS and Litro raised LP gas prices on April 5, while the Consumer Affairs Authority has stepped up enforcement raids on essentials ahead of the Sinhala-Tamil New Year.
The timing is particularly sensitive for catering operators. Avurudu falls on April 13-14 and traditionally launches Sri Lanka’s busiest wedding and family-event season. Operators who confirmed bookings months ago at pre-crisis prices say margins have collapsed under the combined weight of cooking gas hikes, diesel costs for transport and a weaker rupee feeding through to imported foods.
The association did not specify whether the new charges would apply uniformly across Colombo, suburban venues and outstation operators. Industry watchers expect smaller catering businesses, which lack the buffer to absorb cost shocks, to pass on the full 20 percent ceiling.
