‘Our dreams being shredded’ | Houston restaurant owners struggle as rising costs and fewer customers threaten their survival

Texas restaurants are facing a tough economic stretch, with rising costs and a slowdown in customers threatening their survival, according to a new report.

HOUSTON — Texas restaurants are facing a tough economic stretch, with rising costs and a slowdown in customers threatening their survival, according to a new report from the Texas Restaurant Association. 

Some owners warn that if conditions don’t improve soon, they may have no choice but to close their doors.

Janice Jucker, owner of Three Brothers Bakery in Houston, said foot traffic has slowed while costs for basic ingredients have soared.

“Now we have higher prices,” Jucker said.

She listed items that have become significantly more expensive: eggs, sugar, pumpkin, gloves and even chocolate.

“The price of nearly everything has more than doubled,” Jucker said.

Across town in Spring Branch, Jonathan Navarrete, owner of La Siberia Original Tex-Mex, said tariffs on imported goods from Mexico have caused steep price increases.

“For avocados and limes, what used to cost $20 now costs $45,” Navarrete said. “Romaine lettuce went from $23 to $70.”

He also said immigration raids in the neighborhood have kept customers away.

“Businesses start to decline shortly after immigration enforcement happens,” Navarrete said. “It makes people afraid.”

Navarrete said a raid last week across the street left his restaurant nearly empty.

“I had maybe five tables all day,” he said. “Revenue was less than $100. I couldn’t even pay the electric bill for the day.”

The Texas Restaurant Association report shows that 88% of restaurants are paying more for goods, 66% face higher labor costs, and more than half have seen a decline in customers.

Their biggest fear: if tables aren’t filled soon, many restaurants may not survive until summer.

Emily Williams Knight, president and CEO of the Texas Restaurant Association, said the situation could have ripple effects across the state.

“A large number of closures would impact the Texas economy,” Williams Knight said. “The Texas restaurant industry is the number one employer in the private sector in the state.”

For Navarrete, the struggle isn’t just about business; it’s about his livelihood and dreams.

“This is our life, our dreams being shredded and taken apart,” he said. “It’s nerve-wracking.”

The Texas Restaurant Association says it is pushing for policy changes and relief measures to help struggling restaurants.

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