In Singapore, over 1,700 food and beverage businesses have closed as of August 2025, highlighting significant challenges in the sector. Rising rental and food costs, coupled with a shortage of reliable manpower, have led to 80% of local brands operating at a loss. Those that remain are managing slim profit margins of only 5-7%.
In response to these difficulties, many establishments are exploring opportunities in international markets, particularly Thailand, to reduce operating expenses. Chef Enoch Teo, who relocated to Bangkok in 2019, has been a pioneer in this trend. After closing his French restaurant in Singapore, he established several ventures, including Journey by Chef Enoch, Fatt Chicken, and Slim Pig Diner, navigating both successes and setbacks.
Enoch noted that setting up a restaurant in Thailand offers considerable financial advantages, with monthly rents for a 150sqm space costing around S$4,000, compared to the prohibitive costs in Singapore. Additionally, Bangkok's population of 17 million presents a lucrative market, as locals tend to spend more on dining and entertainment, despite lower average incomes.