HK's catering sector sees 20pc surge in business during handover anniversary celebrations

Hong Kong's catering sector reported a significant boost in business during this year’s handover anniversary celebrations, with popular districts like Tsim Sha Tsui and Mong Kok, as well as major shopping malls, seeing approximately 20 percent growth in revenue compared to last year's July 1 holiday.

Thousands of restaurants across the city offered special promotions to mark the occasion, including allowing patrons to pay only 71 percent of the original price, echoing the handover date.

Kelvin Yau Kam-wing, honorary chairman of the Institute of Dining Professionals, told a radio program this morning that foot traffic was noticeably higher than during last year's celebrations.

"This year's July 1 fell on a Tuesday, not part of a long weekend, and with domestic helpers also having the day off, many residents chose to stay in Hong Kong and spend locally," Yau explained.

While businesses in prime locations enjoyed strong sales, Yau observed that even non-tourist areas like public housing estates saw increased activity, suggesting an overall improvement in Hong Kong's consumer sentiment.

However, the industry veteran cautioned that challenges remain for the catering sector. 

"Rental costs haven't decreased, and local consumption remains relatively weak," Yau noted, calling for continued support from both the government and community.

"More events and activities should be organized to encourage residents to spend locally," Yau suggested, emphasizing the need to sustain the positive momentum beyond the anniversary celebrations.

Many restaurants participated in promotional campaigns despite slim profit margins, with operators saying they prioritized creating a festive atmosphere during the holiday period.