Hospitality Industry Reports 15–20% Price Increase on Bulgaria’s Northern Black Sea Coast Compared with Last Year

Prices in restaurants, bars and cafés in Varna and the surrounding resorts have increased compared with last summer. The rise is affecting both tourists' budgets and residents living along the Black Sea coast. The issue was discussed by Marin Sotirov, Chairman of the Varna Hospitality Association. Asked whether the season was already at its peak and what current prices were like, Sotirov said:

Marin Sotirov: “First, I would like to clarify that we are not at the height of the summer season. The summer season in Bulgaria lasts two months – it begins at the start of July and ends at the end of August. A season may last four months or three months, but the active season is precisely two months.”

According to him, prices have risen, but within what the industry considers normal limits:

“In comparison with last year, the average mark-up is around 15–20%, according to our observations. Naturally, there may be establishments operating with higher mark-ups, but that is their choice, just as it is the choice of the customers who visit them.”

Sotirov identified several key factors behind the increase in prices:

“Above all, it is something we have been repeating for several years, unfortunately with little effect – the return of the standard VAT rate, which was of great help to the sector. We are once again operating under a 20% rate.”

He added that the cost of raw materials has also had an impact. Another major issue, he said, is the shortage of staff. Asked about possible profiteering and inflated prices, he commented:

Marin Sotirov: “There are certainly such cases, and not only in our sector. It exists everywhere. We have been seeing receipts for more than a year now from major supermarket chains and other sectors. Speculation can always occur. It is the state’s responsibility to carry out the necessary inspections and impose sanctions.”

Several cases of significantly inflated bills have emerged in the public domain, including a portion of fried sprats priced at €12 and a bowl of tarator at €9, as well as a bill of €27 for two coffees and two slices of cake in Sozopol.

“To be honest, I have not personally seen the receipts in question. In any case, we cannot compare Sozopol – it is like the Greek island of Mykonos. Let me give you an example – on Mykonos, a single sunbed costs €300 per day. Bulgaria has long ceased to be the cheap destination it was marketed as years ago, and it should not be. Gradually, our tourism industry needs to move to a higher level – prestigious tourism and high-spending visitors. Of course, there will always be a choice of establishments – inexpensive and expensive, across different resorts and towns.”

According to Sotirov, food prices have increased more sharply because production costs are higher. Preparing food involves products passing through a kitchen, where chefs, kitchen assistants and other staff are employed. Drinks, by contrast, can be prepared by a single bartender, making their production costs lower.

Inspectors from the Consumer Protection Commission are beginning extensive checks along the Black Sea coast following reports of high prices in restaurants, hotels, hospitality venues and on beaches.