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Canteens eat into sales at eateries

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Deccan Chronicle                06.06.2013

Canteens eat into sales at eateries

Chennai: The growing popularity of Amma canteens in Chennai is now hitting the roadside eateries and small tiffin centres.

With the 200 budget canteens daily churning out close to 2.5 lakh idlis, 35,000 plates of  pongal and one lakh plates of rice varieties  (sambar, curry leaf and curd rice) the business of small-time food sellers has been hit by 10 to 20 per cent. However there is no such impact on restaurants and hotels located a little far away from canteens. 

According to corporation sources, over 50,000 people eat at Amma canteens everyday and the exact number of consumers is yet to be ascertained.  Despite heavy subsidy, the daily bill collection is hovering around Rs 9 to 10 lakh mark, sources said.

“The sale of pongal has reduced in our tea stall after Amma canteen is opened, but the sales of poori, vadai and dosai is intact,” says N. Krishnan, who owns a small tea stall in Otteri which also serves tiffin.

“People who seek tasty, spicy  food go for restaurants or roadside eateries while those who eye for a full stomach flock to Amma canteen,” says Vidhyakumar, another tea stall owner at Egmore.

However there are also hoteliers who insist that Amma canteens have nothing to do with their business.

“Absolutely there is a no loss in our business and in fact the demand for mutton paya has been high during this summer as people avoid chicken items. And I don’t think hotels serving non vegetarian will feel any pinch in their profit”, opines S. Chandru, who owns a military hotel near Pattalam.

Meanwhile, the corporation has begun stabilising the 200 budget canteens and in next three months will expand its fleet. “The proposal to start another 300 canteens is under active consideration and soon Chennai may have a total of 500 budget canteens and government hospitals will also Amma canteens”, said a senior corporation official.