Can Street Food Become Affordable Again? A Chat with NYC Food Cart Operators
Tamer Hassan, a 45-year-old food cart operator, runs four carts selling smoothies, hot dogs, chicken and rice on a busy street just a stone's throw from Times Square. After a decade in the business, he plans to exit the industry within the next five years, either by selling his business or entrusting it to his 18-year-old engineering student son. His aging body is beginning to feel the strain of long hours standing in various weather conditions, not to mention the slim profits.
In the past, Hassan made a modest 80-cent profit from selling $3 hot dogs. Today, even with a price hike to $5, the profit margin remains the same. "It's not about us or me, it's about the supply," he explains. Despite grossing about $3,000 a day, Hassan only pockets roughly $200 once overheads like food, drinks, utensils, propane, cart maintenance, insurance, staff wages, and other expenses are covered.
A New Mayor's Promise
Upon taking office, Mayor Zohran Mamdani pledged to make the city more affordable, with proposals to lower the costs of housing, childcare, and groceries. His campaign slogan "make halal $8 again" resonated with many on social media. His promise to reduce operational costs and increase permit availability aims to lower the approximately $10 price of a popular New York street food: a meat or falafel, rice, and signature sauce platter.
Challenges Faced by Street Vendors
Despite these promises, many street vendors face challenges that are largely beyond the government's control. Overhead costs are skyrocketing. The decline in tourism and the rise of remote working have eaten into vendors' earnings, making their monthly income less predictable. New "congestion pricing" tolls for entering central Manhattan are also a burden. Most vendors live in outer boroughs and store their carts there. With skyrocketing rents and families to support, vendors say it's becoming less profitable and more difficult to make a living from food carts.
The Rising Cost of Doing Business
Abdelhafeez Aly, a 60-year-old vendor, wakes up at 1:45 a.m. and picks up his cart near Bay Ridge, Brooklyn. By dawn, he has displayed frosting-covered doughnuts in the window and filled his orange juice cooler with fresh ice. Stocking his pastry and supplies costs at least $400 a day.
"The price of everything is going up: American cheese, meat, everything," says Aly, who has been running his Financial District cart since 1991. "If a restaurant nearby sells a sandwich, I have to sell it for less. I want to raise prices, but there's too much competition." On a good day, Aly says he earns about $10 an hour.
Food costs in US cities have increased by about 22% in the past five years. The war in Iran has pushed gas prices over $4 a gallon. General inflation is also a stressor, with vendors noting increasing costs of coffee, dairy, ice, and even paper coffee cups. While congestion pricing is reducing traffic and raising revenue for transit improvements, many vendors say the $9 daily toll is another hit to their already tight budgets.
Hopeful Measures for Vendors
Mamdani's "Street Vendor Reform Package" aims to alleviate some food cart-specific expenses by creating a Division of Street Vendor Assistance within city government. It supports a bill that would allow vendors to place their carts two feet from the curb, limiting the number of tickets they receive for non-compliance. These measures could eventually relieve vendors' financial burden and increase their support within City Hall. However, progress is slow.
Tough Times for Vendors
Business for vendors began to decline in the early 2020s, when the pandemic forced many office workers to work from home. Even as return-to-office policies bring employees back a few days a week, demand in previously reliable corporate hotspots isn't what it once was.
The city also saw a 3% drop in tourism from international travelers between spring and winter, and the high cost of living means many residents are tightening their belts. A handful of regular customers isn't enough to make up the difference.
One vendor said, "I can't raise the price for the regulars, because they come every day and expect the food to be $9 or $10. If I raise it, they won't want to come back."
Future of Street Vending
Asked about Mamdani's $8 promise, most vendors responded with skepticism. Mainly because solving their demand problem—bringing tourists and office workers back to halal hubs with money to spend—is beyond the mayor's control. Similarly, corporate return-to-office policies are also out of his hands.
Starting a vending business can easily cost six figures, according to Mohamad Mohamad. Despite having a portrait of Mamdani pinned to his cart during the election season, he's doubtful the mayor can actually solve this problem. "This city is very expensive," he says. When business is good, he might earn $200 daily, rarely enough to cover his overhead. His custom cart cost $16,000, and others can cost as high as $50,000.
Many vendors pay a third party for their permits, while others rent them directly from the city. NYC typically charges $200 for a two-year sales permit, $50 for a two-year mobile food vending license, and an additional $50 for a mandatory food safety course. However, the city's permit supply hasn't kept up with demand. There are around 20,000 food vendors in the city, most of whom are immigrants. Due to a cap set in 1979, there are only 6,880 licenses available for food vendors. This means sellers either have to strike gold on a newly available permit, team up with someone who already has one, or pay for a marked-up permit secondhand—which can cost tens of thousands.
Permit costs are a challenge that the government can directly address. A landmark City Council bill passed in December lifted the '70s-era permit cap. By 2031, NYC is required to make nearly 17,000 permits available for food vendors, as well as offer nearly 1,300 specifically for veterans and disabled vendors. This comes alongside a new law that repealed criminal penalties for vendors operating without a license. The Mamdani administration appointed former Street Vendor Project Co-director Carina Kaufman-Gutierrez to lead the effort in March.
For now, Times Square vendor Hassan believes $12 is a reasonable price for a meal. He's counting down the days until he can leave his cart behind for good.
As I walked away, Hassan handed me a refreshing strawberry-mango smoothie. "It's hot out here," he said, wiping sweat from his brow. "You should try this." He wouldn't accept any payment.
Tamer Hassan, a 45-year-old food cart operator, runs four carts selling smoothies, hot dogs, chicken and rice on a busy street just a stone's throw from Times Square. After a decade in the business, he plans to exit the industry within the next five years, either by selling his business or entrusting it to his 18-year-old engineering student son. His aging body is beginning to feel the strain of long hours standing in various weather conditions, not to mention the slim profits.
In the past, Hassan made a modest 80-cent profit from selling $3 hot dogs. Today, even with a price hike to $5, the profit margin remains the same. "It's not about us or me, it's about the supply," he explains. Despite grossing about $3,000 a day, Hassan only pockets roughly $200 once overheads like food, drinks, utensils, propane, cart maintenance, insurance, staff wages, and other expenses are covered.
A New Mayor's Promise
Upon taking office, Mayor Zohran Mamdani pledged to make the city more affordable, with proposals to lower the costs of housing, childcare, and groceries. His campaign slogan "make halal $8 again" resonated with many on social media. His promise to reduce operational costs and increase permit availability aims to lower the approximately $10 price of a popular New York street food: a meat or falafel, rice, and signature sauce platter.
Challenges Faced by Street Vendors
Despite these promises, many street vendors face challenges that are largely beyond the government's control. Overhead costs are skyrocketing. The decline in tourism and the rise of remote working have eaten into vendors' earnings, making their monthly income less predictable. New "congestion pricing" tolls for entering central Manhattan are also a burden. Most vendors live in outer boroughs and store their carts there. With skyrocketing rents and families to support, vendors say it's becoming less profitable and more difficult to make a living from food carts.
The Rising Cost of Doing Business
Abdelhafeez Aly, a 60-year-old vendor, wakes up at 1:45 a.m. and picks up his cart near Bay Ridge, Brooklyn. By dawn, he has displayed frosting-covered doughnuts in the window and filled his orange juice cooler with fresh ice. Stocking his pastry and supplies costs at least $400 a day.
"The price of everything is going up: American cheese, meat, everything," says Aly, who has been running his Financial District cart since 1991. "If a restaurant nearby sells a sandwich, I have to sell it for less. I want to raise prices, but there's too much competition." On a good day, Aly says he earns about $10 an hour.
Food costs in US cities have increased by about 22% in the past five years. The war in Iran has pushed gas prices over $4 a gallon. General inflation is also a stressor, with vendors noting increasing costs of coffee, dairy, ice, and even paper coffee cups. While congestion pricing is reducing traffic and raising revenue for transit improvements, many vendors say the $9 daily toll is another hit to their already tight budgets.
Hopeful Measures for Vendors
Mamdani's "Street Vendor Reform Package" aims to alleviate some food cart-specific expenses by creating a Division of Street Vendor Assistance within city government. It supports a bill that would allow vendors to place their carts two feet from the curb, limiting the number of tickets they receive for non-compliance. These measures could eventually relieve vendors' financial burden and increase their support within City Hall. However, progress is slow.
Tough Times for Vendors
Business for vendors began to decline in the early 2020s, when the pandemic forced many office workers to work from home. Even as return-to-office policies bring employees back a few days a week, demand in previously reliable corporate hotspots isn't what it once was.
The city also saw a 3% drop in tourism from international travelers between spring and winter, and the high cost of living means many residents are tightening their belts. A handful of regular customers isn't enough to make up the difference.
One vendor said, "I can't raise the price for the regulars, because they come every day and expect the food to be $9 or $10. If I raise it, they won't want to come back."
Future of Street Vending
Asked about Mamdani's $8 promise, most vendors responded with skepticism. Mainly because solving their demand problem—bringing tourists and office workers back to halal hubs with money to spend—is beyond the mayor's control. Similarly, corporate return-to-office policies are also out of his hands.
Starting a vending business can easily cost six figures, according to Mohamad Mohamad. Despite having a portrait of Mamdani pinned to his cart during the election season, he's doubtful the mayor can actually solve this problem. "This city is very expensive," he says. When business is good, he might earn $200 daily, rarely enough to cover his overhead. His custom cart cost $16,000, and others can cost as high as $50,000.
Many vendors pay a third party for their permits, while others rent them directly from the city. NYC typically charges $200 for a two-year sales permit, $50 for a two-year mobile food vending license, and an additional $50 for a mandatory food safety course. However, the city's permit supply hasn't kept up with demand. There are around 20,000 food vendors in the city, most of whom are immigrants. Due to a cap set in 1979, there are only 6,880 licenses available for food vendors. This means sellers either have to strike gold on a newly available permit, team up with someone who already has one, or pay for a marked-up permit secondhand—which can cost tens of thousands.
Permit costs are a challenge that the government can directly address. A landmark City Council bill passed in December lifted the '70s-era permit cap. By 2031, NYC is required to make nearly 17,000 permits available for food vendors, as well as offer nearly 1,300 specifically for veterans and disabled vendors. This comes alongside a new law that repealed criminal penalties for vendors operating without a license. The Mamdani administration appointed former Street Vendor Project Co-director Carina Kaufman-Gutierrez to lead the effort in March.
For now, Times Square vendor Hassan believes $12 is a reasonable price for a meal. He's counting down the days until he can leave his cart behind for good.
As I walked away, Hassan handed me a refreshing strawberry-mango smoothie. "It's hot out here," he said, wiping sweat from his brow. "You should try this." He wouldn't accept any payment.