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Dubai's dining crisis deepens as war and costs squeeze restaurants

From avocado shortages to slashed staff hours, Dubai's culinary scene fights for survival. Can local ingredients and creative menus save the day?

The image shows a restaurant with tables and chairs in front of a large window, illuminated by...
The image shows a restaurant with tables and chairs in front of a large window, illuminated by lights and surrounded by glass walls. On the tables there are various objects, and the floor is visible at the bottom of the image. This restaurant is located in Dubai, United Arab Emirates, and is one of the best restaurants in the city.

Dubai's dining crisis deepens as war and costs squeeze restaurants

Dubai’s restaurant scene is facing growing challenges as supply chain disruptions and rising costs take their toll. The ongoing conflict in Iran has made it harder for chefs to source key ingredients, forcing many to rethink their menus and operations. With demand dropping and expenses climbing, businesses are now scaling back to stay afloat.

The war in Iran has disrupted ingredient supplies, pushing up prices for items like avocados and tomatillos. Shaw Lash, chef at Lila Molino, usually sources these from Central America but now struggles with availability and cost. As a result, her restaurant has cut production, reduced staff hours, and started buying ingredients in smaller batches.

Across Dubai, chefs are adapting by using more local or easily accessible produce. Kelvin Cheung at Jun’s Dubai has switched to a six-course menu featuring regional ingredients. Others are simplifying their offerings or reducing portion sizes to manage expenses. The wider impact is clear: UAE foodservice operators report a 27% drop in customer demand and a 13% rise in supplier costs. The UAE’s full-service restaurant market, valued at $9.5 billion in 2021, was expected to grow by 20% in 2022. But with fewer tourists, quieter malls, and strained supply chains, that forecast now looks uncertain. To survive, restaurants are exploring new strategies. Some are launching targeted promotions, while others are turning to community-led initiatives. The shift reflects a broader effort to stabilise operations in an increasingly difficult market.

The changes mean higher costs for diners and fewer choices on menus. Restaurants that rely on imported goods are under the most pressure, with no quick end in sight. For now, the focus remains on adapting to a market reshaped by conflict and economic strain.

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