According to the US Department of Agriculture (USDA), food service sales in the Philippines are projected to grow 10% to $15.4 billion in 2026, based on the sector's recovery to pre-pandemic levels in 2025.
In a report, the USDA said food service revenues are projected to grow 8% to $14 billion in 2025 from $13 billion in 2024. If this is realized, it would bring industry sales back to the levels recorded in 2019, before the COVID-19 (coronavirus disease 2019) pandemic.
For 2026, full-service restaurant sales are projected to grow 3.23% to $2.18 billion.
The projected growth in full-service restaurant sales is attributed to the arrival of new international entrants, the development of innovative restaurant concepts and increasing consumer demand for unique dining experiences.
Sales at limited-service restaurants are also projected to grow 10.23% this year to $9.52 billion.
According to the USDA, chicken-focused chains are driving growth in the limited-service sector. Asian, limited-service restaurants, including Filipino, as well as bakery, burger and convenience store formats are also showing strong performance.
Street stall and kiosk sales are also expected to grow 4.68% to $1.97 billion this year.
“Strong demand for quick, affordable food and beverage options, the enduring popularity of milk tea and grab-and-go coffee kiosks, and the widespread adoption of the franchising model have made the rapid expansion possible,” the USDA said.
Cafe and bar sales are projected to grow 7.13% to $1.74 billion this year. If realized, this would represent a rebound from a 5.9% decline in sales last year.
According to the USDA, growth in the café and bar sector is driven by increasing consumer mobility, the popularity of specialty coffee and tea shops, and increasing demand for innovative beverages and café experiences. , Von Andrei E. Villamiel