The ongoing LPG crisis has led to turmoil in the hospitality sector – for restaurants, hotels and cafes. The government, however, has stated that there is no nationwide LPG shortage and has directed refineries to ramp up production. Output has reportedly been increased by around 10 percent to stabilise supply. These concerns arise amid disruptions in global energy markets, largely driven by tensions in West Asia that have impacted fuel supply chains.
Affecting various regions
Eateries in cities such as Mumbai, Bengaluru, and Kolkata are grappling with commercial LPG shortages, hospitality associations say, with some operators compelled to scale down operations, shut temporarily or restrict menu offerings.
The LPG shortage across Punjab and Chandigarh has begun to impact even large-scale Punjabi weddings. Caterers say the most noticeable change is in the menu, with elaborate food spreads being scaled back and fewer live counters, tandoor dishes, and deep-fried items that require large amounts of gas.
In several parts of Delhi-NCR, the LPG supply crunch is beginning to hit small food businesses and households, with cylinders reportedly being sold at sharply higher prices in the black market.
The supply crunch has hit Chennai particularly hard. As per reports, gas distribution company sources say the situation became critical following the suspension of nearly five lakh commercial LPG cylinder supplies. Hotels and industries have been urged to look for alternative fuels, with the next delivery expected around 28 March.
Some states have started preparing contingency measures in case the LPG shortage intensifies.In Uttarakhand, Forest Minister Subodh Uniyal stated that the government is considering supplying firewood for commercial use to ensure businesses can operate if LPG supplies remain affected.
Alternate options
Many restaurants are turning to alternatives, including electric appliances such as induction cooktops, hot plates, rice cookers and other cooking arrangements such as wood-fired stoves, coal-cooking etc, though these cannot fully substitute commercial LPG cylinders.
The Affected
Restaurants in Mumbai are reducing menu items that consume large amounts of gas. As per reports, at the popular Vasant Bhuvan outlet, live dosa and pav bhaji counters have been temporarily closed as kitchens turn to induction and coal-based cooking methods. Owners say the situation could eventually force them to shut operations if supplies remain tight.
The shortage has already resulted in closures in parts of Tamil Nadu. Reports reveal that in Chennai, a hotel put up a notice outside its premises announcing a holiday on 11 March due to the lack of LPG supply, leaving early morning customers who had arrived for tea and breakfast disappointed.
As per reports, amid a shortage of commercial LPG cylinders during the Ramzan season, Hyderabad’s popular Shah Ghouse Caf has turned to traditional firewood stoves to cook its signature biryani. Restaurant owners across the city say many eateries have been forced to reduce menu options or limit operations as supplies continue to decline.
Industry bodies
As concerns grow over prolonged supply disruptions, industry bodies are advising businesses to take precautionary steps.
The Chhattisgarh Hotel and Restaurant Association has urged hotels, restaurants, and caterers to refrain from panic buying and shift to electric cooking equipment like induction cooktops, hot plates, and rice cookers where possible, warning that hoarding cylinders could worsen the situation, reports mention.
Seeking relief for the hospitality sector, the Retailers Association of India (RAI) has requested the Ministry of Petroleum and Natural Gas and key oil marketing companies to ensure consistent supply of commercial LPG cylinders to restaurants and food service establishments nationwide.
“A prolonged disruption in LPG supply to restaurants and commercial kitchens could lead to the non-availability of food for millions of citizens who rely on these establishments for their daily meals, including students in hostels, individuals without adequate housing, and busy working professionals. Restaurants and food service businesses are integral to India’s daily food supply chain. Ensuring continuity of LPG supply will help maintain food availability while safeguarding livelihoods across the sector. At the same time, policy support such as GST exemptions and incentives on electric commercial cooking equipment, along with the promotion of bio-LPG and other alternative fuels, can help the sector transition toward more resilient and sustainable energy sources,” said Kumar Rajagopalan, CEO of the Retailers Association of India, in a press release.
Though currently the situation seems difficult to stride through for eateries, most are hopeful that the situation would improve in times to come. But without taking a risk, they are beefing up their back up plans.
Dining and Cooking