Restaurants in Nova Scotia are facing a significant increase in haddock prices due to reduced quotas and limited supply, leading to higher costs for diners. One local favorite, the Pleasant Street Diner in Dartmouth, typically serves 1,000 pounds of fresh haddock weekly but saw a 40% price hike from its supplier, adding $5 per pound. This sudden increase resulted in a $5,000 weekly expense rise for the diner.
Owners Stephen and Tommy Fatouros, with over thirty years in the fish industry, noted this as the largest price surge they have encountered. As haddock dishes form a significant portion of their menu, they had to raise prices by 10% to offset the cost increase and maintain profitability.
The surge in haddock prices is attributed to a tightened supply following a 57% reduction in haddock fishing quotas in various regions, responding to a long-term decline in haddock stocks. The rising cost of canola oil, essential for deep-frying fish, further compounded the diner’s financial strain, with a $700 weekly increase compared to the previous year.
Other restaurants, like Rudy and Olive’s Fish & Chips in Bedford, are also grappling with the same price surge, prompting menu price adjustments. This hike in haddock prices adds to the challenges facing the Atlantic Canada restaurant industry, which has been dealing with escalating costs across the supply chain post-COVID-19.
Natasha Chestnut, Executive Director of the Restaurant Association of Nova Scotia, highlighted the industry’s struggle to absorb rising costs without passing them on to consumers. However, with many restaurants operating at a loss or breaking even, price adjustments are becoming inevitable to sustain operations.
To maintain affordability, the Pleasant Street Diner removed scallops from its menu following a 48% reduction in total allowable catch on Georges Bank. Chestnut anticipates that consumers, already familiar with rising costs, will understand the need for menu price adjustments to ensure quality and service standards are upheld.
The Fatouros brothers addressed the price increase transparently through a social media post, receiving positive feedback from customers who appreciate the diner’s commitment to quality. Despite the challenges, they remain grateful for the community’s support and resilience in navigating the ongoing financial pressures.
