Madam, - Eamon Sheppard (November 30th) tells us that he bought three coffees, two pastries and a panino in an Italian café for €5. He then proceeds to accuse the Irish hospitality industry of being rip-off merchants. He writes: "In Italy, café owners are out to make a living; their counterparts here are out to make a killing."
As he is obviously ignorant of the facts, I feel compelled to set the record straight on behalf of the hospitality industry.
The average profit margin in Irish restaurants and cafés is 3 per cent net, which is lower than with any business or service supplier in the country. I could not even buy the raw ingredients for his Italian snack for €5 even before I add labour cost of an average of 35 per cent of turnover, insurance, rent, rates, taxes and levies, energy costs, depreciation, etc.
Before Mr Sheppard says that my Italian counterpart has the same operating costs, he doesn't. His raw ingredients cost is half mine, labour is half the cost, his insurance is about one-third of the price, energy costs 15 per cent less, property, rent and levies are substantially lower. I would invite Mr Sheppard to study the nuts and bolts of the Irish hospitality industry before levelling accusations and drawing such wild comparisons.
Every restaurant and café in the country clearly displays its price list in advance to its customers. If only every other industry followed suit, then Mr Sheppard would realise that "Rip-off Ireland" is probably a lot closer to him than his nearest café.
If you wonder why restaurants in Ireland are closing down every week (some after less than a year in business), I can assure you that it's not because they're ripping anyone off. - Yours, etc.,
PAT O'SULLIVAN,
Foxfield,
Dooradoyle Road,
Limerick.