Restriction on restaurants timings push hospitality industry into crisis

Restaurants Association's delegation led by Nisar Chaudhry in a meeting with Lahore Chamber of Commerce and Industry (LCCI) President, Faheemur Rehman Saigol here Friday, expressed concerns about the major issues facing the restaurant industry, especially the strict restrictions on business hours

LAHORE, (APP - UrduPoint / Pakistan Point News - 24th Apr, 2026) Restaurants Association's delegation led by Nisar Chaudhry in a meeting with Lahore Chamber of Commerce and Industry (LCCI) President, Faheemur Rehman Saigol here Friday, expressed concerns about the major issues facing the restaurant industry, especially the strict restrictions on business hours.

The delegation included CEO Hardee’s Usman Ashraf, CEO Rina’s Kitchen Ammar Mohsin, CEO Cheezious Imran Ejaz, CEO Cotham Ahmed Shafiq, CEO Bambo Union Raza Ahmed, CEO Cafe Aylanto Fawaz Yousaf, CEO Mandarin Kitchen Haroon Monno along with other prominent business figures.

During the meeting, the delegation explained in detail that the current restrictions on operating hours have become the biggest challenge for the restaurant industry and are badly affecting their business. They said that Pakistan’s hospitality sector mainly depends on dine-in services, which make up about 70 to 80 percent of total business, and most of this depends on dinner time.

According to the delegation, the order to close restaurants at 10 PM practically means business ends by 9 PM, because serving the last customer, finishing the meal, and processing payment takes at least one hour. As a result, the most important business hours are lost, leading to a significant drop in income.

They further explained that a restaurant’s success depends on table turnover. A restaurant with a capacity of 70 to 150 people needs to be fully occupied at least three to four times to make a profit. However, due to time restrictions, this is no longer possible, forcing businesses to operate far below their capacity.

LCCI President Faheemur Rehman Saigol said that policy decisions must be made in consultation with stakeholders to end uncertainty in the business environment and encourage investment. He demanded that the restaurant industry should be given the status of a formal industry so it can have proper representation in policymaking.

He also urged the Punjab government, especially the Chief Minister, to immediately relax business hours and allow restaurants to remain open at least until 11 PM. He cited the Sindh model, where business hours are more practical and businesses are given reasonable time to close operations.

He emphasized that if immediate corrective measures are not taken, the restaurant industry may suffer irreversible losses, which will also negatively impact employment, the economy, and the country’s soft image.