Hotel and restaurant associations in major Indian cities are reporting tightening supplies of commercial liquefied petroleum gas (LPG) amid the ongoing conflict in Iran.
According to an NDTV report, groups representing the hospitality trade in Bengaluru, Chennai and Mumbai have flagged that irregular deliveries of commercial LPG cylinders are affecting kitchen operations and food services.
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The prices of LPG cylinders were also increased recently, further increasing supply concerns as the ongoing conflict has affected key energy shipping routes in the Middle East. The price of domestic LPG cylinders has gone up by Rs60 ($0.65) and commercial cylinders by Rs115 ($1.25).
In Bengaluru, the Bangalore Hotels Association has appealed to the authorities to ensure supplies to hotels and restaurants, arguing that food services fall under essential services and require assured fuel availability. It added that hotel and restaurant operations across the city are likely to be affected from today (10 March).
In Chennai, the city’s hotels’ association told the publication that access to commercial LPG has “now become even more critical”, flagging a worsening situation for operators.
Mumbai’s hospitality trade is also under strain.
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By GlobalDataThe National Restaurant Association of India (NRAI) has written to Indian Petroleum and Natural Gas Minister Hardeep Singh Puri on the worsening situation.
In a post on X, the association stated: “As per news articles, the Government has clarified that there is no ban on the supply of commercial LPG cylinders for the restaurant industry.
“However, the ground situation is different, with suppliers expressing an inability to supply the same.
“This is severely impacting the restaurant industry and, in turn, the supply of food as an essential service for citizens. We request urgent clarification/intervention”.
Meanwhile, the Ministry of Petroleum & Natural Gas has instructed domestic refineries to step up LPG output, with the incremental volumes earmarked for the local market.
To curb speculative buying, the ministry has also brought in a 25-day minimum interval between LPG bookings, a move it says is intended to prevent “hoarding and black marketing”.
It has also set up a committee comprising three executive directors (EDs) from oil marketing companies (OMCs) to review requests for LPG supplies for restaurants, hotels and other industries.
