Chinese restaurants starved for cash as virus hits industry

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Restaurants in China are taking a huge hit as many people across the country have been either under some form of quarantine or are reluctant to venture outside.

It is lunch time in Beijing, but the only diner in Cindy's Cafe is an employee having a staff meal -- it has been closed for more than three weeks as China battles a deadly virus epidemic.

"On a good day in the past, we could earn over 1,000 yuan a day from deliveries," Cai told AFP."Now, it's just around 200 to 300 yuan a day. The impact is especially big." Some, including hotpot chain Haidilao -- which has temporarily closed its mainland China outlets -- have turned to selling fresh and frozen products directly to communities.

It has also rolled out a fresh line of prepared ingredients so customers can quickly whip up Yunnan specialities while cooped up at home. "Our sales are just about 10 percent that of regular times before the epidemic," with delivery sales falling by half, he added. Li estimates"a few hundred" Yunhaiyao staff have taken on short-term work with third-party firms like supermarkets or online platforms.JD.com and JD-backed Dada Group have offered more than 35,000 jobs, with over half being frontline roles such as couriers and drivers, while around 40 workers from restaurant chain Putien now staff Meituan Grocery as well.

 

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