Restaurants and hotels across Bengaluru, Mumbai, and Chennai are staring at operational shutdowns as commercial LPG cylinder shortages bite hard, triggered by the escalating US-Iran conflict disrupting West Asia supply chains.
Hospitality Sector Sounds Alarm on Gas Crunch
The National Restaurant Association of India (NRAI) urgently appealed to Petroleum Minister Hardeep Singh Puri, warning that halted commercial LPG deliveries—critical for 70-75% of eateries—could trigger “catastrophic closures” costing ₹1,200-1,300 crore daily in losses. Tamil Nadu hotels report stocks lasting just 1-2 days, slashing menus to conserve gas, while Mumbai faces 50% outlet impacts.
Centre Prioritises Households, Extends LPG Booking Wait
Invoking the Essential Commodities Act, the government directed oil firms to funnel supplies to hospitals, schools, and homes first, stretching domestic cylinder bookings from 21 to 25 days to curb hoarding. Recent hikes—₹60 for 14.2kg domestic and ₹115 for 19kg commercial—coincide with refinery mandates to ramp up LPG output amid Hormuz Strait threats.
West Asia War Fuels India’s Energy Squeeze
With India importing 60% of its LPG via the vulnerable Strait of Hormuz now under blockade risk, black market cylinders emerge in Chandigarh and Uttarakhand. Officials assure no petrol/diesel price spikes as production surges domestically, but industry demands “essential service” status for restaurants akin to COVID lockdowns to safeguard food access.
