F&B sector rep urges entry of local SMEs into casino resorts

The local food and beverage sector is urging small and medium-sized enterprises (SMEs) to set up shop in gaming resorts, while calling on the government and concessionaires to reduce rental fees.

Fong Kin Fu, vice-director of the United Association of Food and Beverage Merchants of Macau, told the Chinese-language Macau Daily that restaurants in the local community had seen an increase in patronage after casino resorts stopped offering free food.

He said that offering free snacks and drinks at integrated resorts was a gesture of hospitality to tourists, and that the practice was not intended to compete with local SMEs.

However, he stressed that the practice had inadvertently encouraged a culture of budget tourism in Macau.

The representative of the catering industry expressed his desire to see local SMEs open shops in the gaming resorts. This move, he said, would not only promote Macau’s culinary culture, but also support the expansion of these businesses.

However, Fong highlighted the challenges faced by SMEs due to exorbitant rental fees and complex procedures in gaming resorts.

To address this issue, Fong suggested that the government and gaming operators consider implementing support measures to lower thresholds and make venues more accessible to SMEs.

He also suggested the introduction of pilot programmes to allow SMEs to operate in gaming resorts.

According to recent reports circulating on social media, the city’s gaming regulator, the Gaming Inspection and Co-ordination Bureau (DICJ), has ordered the six gaming concessionaires to stop providing free snacks and drinks in their casinos.

The government’s decision was reportedly a response to complaints from local business associations, who have argued that the provision of free food at casinos has affected the business of local SMEs and led to a decline in tourist spending within the local community.

Since the relaxation of Covid restrictions, Macau has experienced a surge in visitor arrivals, with many tourists sharing tips on social media platforms on how to take advantage of free food offers at local casinos and how to “travel for free” in the city.

Commenting on the potential impact of free snacks at gaming resorts on local SMEs, Cheng Wai Tong, deputy director of the Macau Government Tourism Office (MGTO), pointed out that official data shows that non-gaming spending per visitor has increased recently compared to pre-pandemic levels.