Hyderabad: Irani Chai Now Costs Rs. 25 Due to Rising Costs

A cup of chai now costs Rs. 25 in most restaurants in the city after the owners decided to raise the price by Rs. 5 per cup. The hotel owners blame the increase on rising prices for tea powder, cooking gas, labour wages, and other hotel expenses.

"Traders raised the price of tea powder from Rs 150 to Rs 180 per kilogram. This has forced the management to raise tea prices', said Mohd Amair, manager of the Al Saba Hotel in Mallepally. On average, a hotel in a prime location sells 6,000 to 8000 cups of tea. A few popular restaurants in the city sell over 10,000 cups of Irani chai each day.

"A profit margin of Rs 3.50 to Rs 5 on a cup of tea is required to cover all expenses. Otherwise, we will incur losses," stated another hotel owner. Restaurants serve Irani chai in 80- and 90-ml cups, while dining establishments serve the beverage in 110-ml cups.

A restaurant typically uses one to five bags of tea powder per day, with each bag containing 30 kg of tea powder. "Prices of cooking gas, labour charges, milk prices, and other miscellaneous expenses have increased, so the hike was unavoidable," said Noman Ali of Taiba Bakery and Cafe in Masab Tank, adding that tea powder prices have skyrocketed.

However, a few hotels have yet to make a decision on raising the price. Nimrah Café & Bakery's Abood Bin Aslam stated that they have yet to make a decision on it. "It is true that the price of ingredients has risen. I've also heard that other hotels raised their prices, and I don't blame them. So far, we have not decided to raise the price', he said.