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Türkiye’s restaurants face reality check as rising prices meet consumer pushback

Turkish sea foods and Turkish appetizer foods on the restaurant table at Bosphorus in Istanbul, Türkiye. (Adobe Stock Photo)
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Turkish sea foods and Turkish appetizer foods on the restaurant table at Bosphorus in Istanbul, Türkiye. (Adobe Stock Photo)
By Newsroom
October 09, 2025 01:14 PM GMT+03:00

After years of rapid price hikes, Türkiye’s restaurant sector is slowing as customers push back against rising bills and the post-pandemic demand surge eases.

At the fifth Global GastroEkonomi Summit held Wednesday at Istanbul’s Ataturk Cultural Center, Kaya Demirer, chairperson of the Tourism, Restaurant Investors and Gastronomy Enterprises Association (TURYID), said the industry has reached a turning point.

“After the pandemic, we experienced a strong surge in demand. We reflected that demand in our prices until the second half of 2023. But from that point, customers began saying, ‘You are not worth this price,’” Demirer said, as reported by Sefer Levent. “That’s when price increases started to slow down.”

Inflation, costs reshape Turkish restaurant economics

Demirer said Türkiye’s general inflation rose 540% between May 2020 and May 2025, citing data from the Turkish Statistical Institute (TurkStat).

During the same period, food inflation climbed 750%, and the minimum wage rose 850%, he noted. The minimum wage increase did not satisfy workers living on that income, and wages now account for 45% of restaurant costs, up from 25%–30% five years ago.

“We are often criticized for pricing in the service industry, but we need to explain our situation better,” Demirer said. “The cost structure has changed entirely.”

Climate crisis adds new layer of pressure in Türkiye

The TURYID president also drew attention to the impact of the climate crisis on the food and beverage industry. He referred to what he called “heat inflation,” describing how spring frosts and summer droughts disrupted agricultural production this year.

“Alongside food inflation, we are now also facing ‘heat inflation,’” Demirer said. “We felt this during the severe frost in early April and later during the dry summer months.”

These environmental disruptions have reduced the availability of ingredients and raised costs, further pressuring restaurants already affected by inflation and higher wages.

Turkish sea foods and Turkish appetizer foods on the restaurant table at Bosphorus in Istanbul, Türkiye. (Adobe Stock Photo)
Turkish sea foods and Turkish appetizer foods on the restaurant table at Bosphorus in Istanbul, Türkiye. (Adobe Stock Photo)

Türkiye’s $25 billion gastronomy sector

Despite the challenges, Türkiye’s restaurant and gastronomy industry remains one of the country’s main economic drivers. Demirer shared several figures showing its national and global scope:

  • The global food and beverage industry is worth $4.5 trillion.
  • It provides jobs for 360 million people worldwide.
  • Global gastronomy tourism is valued at $1.1 trillion, with one-quarter of total revenue generated through tourism.
  • In Türkiye, the food and beverage sector is worth $25 billion.
  • Gastronomy makes up 15%–20% of Türkiye’s tourism income.
  • Out of Türkiye’s targeted $64 billion tourism revenue for 2025, gastronomy is expected to contribute around $12.8 billion.
  • The sector employs nearly 2 million people.
  • TURYID’s member brands operate 3,500 restaurants and serve over 200 million visitors a year.

Demirer described the industry as a “growth model” that connects production, tourism, and employment, even in a volatile economy.

Restaurants work to explain their position amid criticism

In recent years, restaurants have faced public criticism for what many saw as excessive pricing during the tourism and demand boom. According to Demirer, businesses are now trying to explain their situation more clearly to the public.

“We all talk about sustainability, but profitability must also be sustainable,” he said. “Some restaurants that raised prices excessively during the customer surge have hopefully learned valuable lessons.”

The Global GastroEkonomi Summit, organized by TURYID, gathered 2,400 registered participants from Türkiye and abroad. The event brought together academics, industry representatives, and artists to discuss the intersection of gastronomy, sustainability, tourism, cultural diplomacy, and technology.

Panels throughout the day explored topics such as the future of kitchens, marine life protection, geographical-indicator products, and the green socio-economy.

Türkiye’s dining sector, which grew rapidly after the pandemic, now faces the challenge of balancing fair pricing with long-term profitability amid ongoing inflation and environmental pressures.

As Demirer emphasized, restaurants are reassessing how to adapt to a slower market, higher costs, and changing consumer expectations. This adjustment will likely define the next phase of Türkiye’s gastronomic economy.

October 09, 2025 01:20 PM GMT+03:00
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