$1.90 chicken rice stall in AMK 'no plans to raise prices', says customers mostly elderly

While businesses are increasing prices to keep up with the inflation, one chicken rice stall in Ang Mo Kio is keeping theirs low.

The owner of the Nguan Express 88, which offers braised and roasted chicken rice for $1.90 per serving, told Lianhe Zaobao why he keeps his prices low.

"I'll be very honest, we don't make much from a packet of chicken rice, but our main strategy is low profit margins and high volume sales so we have no plans to raise prices," said 43-year-old Lim Yi Xing (transliteration).

Lim, who said his stall serves 1,000 servings a day, admitted operation costs have increased by 30 per cent due to the situation in the Middle East, with costs of plastic bags being 10 per cent higher. Fuel costs to transport ingredients have also gone up from $500 to up to $900 per month.

However, they also have a central kitchen and direct chicken supply, which helps them control costs.

"The residents around our shop are mainly elderly, and they make up more than half of our customers. Therefore, we will not raise prices, hoping they can still enjoy a satisfying meal at an affordable price," Lim told the Chinese daily.

Lim shared that they've recently opened another stall in Bukit Batok and have sold over 300 packs there.

They are also preparing to open another stall in Jurong West in June.

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syarifahsn@asiaone.com