The renowned Michelin one-star restaurant Jay Fai has announced its closure, highlighting ongoing challenges in the food supply chain, marked by rising energy and raw material costs, according to the Restaurant Business Club.
Jay Fai, awarded a one-star Michelin rating in Bangkok’s guidebook since 2018, made headlines on Monday when owner and chef Supinya Junsuta revealed to local media her plans to close the restaurant next year.
Rising logistics costs are among the reasons for the impending closure, contributing to an increase of up to 10% in seafood costs since the start of the year, explained Sorathep Rojpotjanaruch, president of the club.
Sorathep also noted that natural disasters, such as droughts and floods, have significantly impacted agricultural production and supplies.
After recent flooding in the northern and northeastern parts of the country, the prices of various vegetables have spiked significantly. For example, coriander prices have surged to 240 baht per kilogram from 160 baht before the floods.
“Restaurant operators are exhausted by the rising costs. We try to keep raw material expenses under 35% of our total costs, but now the proportion can reach as high as 40%, impacting our margins,” said Mr. Sorathep.
Popularly known as “Jay Fai,” Mrs. Supinya announced her retirement due to age and rising expenses, drawing widespread media coverage.
Since 2018, the restaurant, located in Bangkok’s Phra Nakhon district, has consistently maintained its Michelin star.
The closure of this iconic roadside eatery would be a great loss, as it has contributed significantly to promoting Thailand’s soft power through its culinary culture, remarked Thapanee Kiatphaibool, governor of the Tourism Authority of Thailand.
Jay Fai has played a pivotal role in raising the profile of street food on an international level.
In a recent interview, the owner cited increased demand and greater supplier control over prices as contributing factors to rising raw material costs, creating substantial challenges for businesses.
At 81, Mrs. Supinya has hinted at needing breaks by reducing the restaurant’s operating days from six to four per week.
She admitted that the daily early-morning checks on raw material quality have become exhausting.
Mrs. Supinya shared that, as her daughters will not take over the business, she plans to pass on her recipes and pivot to other areas within the food industry, including ongoing collaborations with Korean food companies.
