In Malaysia, mamak restaurants are cultural institutions, cherished for their affordable, flavorful food and their role as community gathering spots. However, for Johor residents, this familiar dining experience might soon come at a higher price. Beginning in 2025, nearly 300 mamak eateries in Johor are contemplating a price hike of at least 5%, citing increasing operational costs.
Harian Metro recently reported that the potential increase stems from several financial pressures facing these restaurants. According to Hussein Ibrahim, the secretary of the Johor Indian Muslim Entrepreneurs Association, the continuous rise in raw material costs has been a major strain. The situation was exacerbated by the recent removal of diesel subsidies, which has forced many restaurant operators to shoulder additional expenses.
Adding to these challenges, the government's scheduled implementation of a new minimum wage of RM1,700 in February 2025 is anticipated to further increase operating costs. This wage increase is seen as essential for improving worker livelihoods, but restaurant owners fear it will add a significant financial burden. Additionally, with 60% of the workforce comprising foreign employees, mamak operators will now be required to contribute to the Employees Provident Fund (EPF) for these workers, creating another layer of financial commitment.
While some are optimistic that higher wages might encourage locals to take up these positions, Hussein pointed out that interest remains low even with a monthly salary offer of RM2,500. The preference for foreign workers continues to be due to availability and willingness to work in the industry, he noted.
Currently, mamak operators in Johor are waiting for the Malaysian Muslim Restaurant Owners Association (Presma) to approve the proposed price adjustment. As Johors mamak eateries navigate these rising costs, local patrons may soon find themselves paying a little extra for their beloved roti canai and teh tarik.
This potential shift underscores the economic challenges facing small business owners and raises questions about how traditional establishments like mamaks can continue to serve the community while managing operational costs.
Source: Harian Metro