middle– Hotels and restaurants were already in trouble due to supply disruptions due to the ongoing tension in the East and now the huge increase in the price of commercial LPG cylinders has pushed the industry into deep trouble. The latest increase in the price of commercial LPG cylinders has dealt a ‘severe blow’ to the hotel industry and there is a possibility of the situation worsening further. Industry organizations have demanded immediate intervention from the government to roll back this latest increase in prices. Let us tell you that from May 1, 2026, the prices of commercial LPG have been increased by Rs 993. With this increase, the price of 19 kg commercial LPG cylinder has now reached a record Rs 3,071.50.
Commercial LPG cylinder has become costlier by Rs 1332.50 in 3 times
Earlier, commercial LPG prices were increased by Rs 195.50 in April and by Rs 144 in March. Pradeep Shetty, vice-president of the Federation of Hotel and Restaurant Associations of India (FHRAI), said, “Due to the recent increase in LPG prices, a 10 to 15 per cent increase in the prices of food served is almost certain. But even this increase may not be able to fully recover the cost.” He said that due to the three times increase in the price of commercial cylinder weighing 19 kg by a total of Rs 1,332.50, the operating cost of the industry has reached unprecedented levels. This is when businesses are already facing challenges such as supply disruptions, limited operational capacity and weak cash flows.
Hotels and restaurants may come to a standstill
According to Shetty, many hotel-restaurants are already working with limited timings, limited menu and alternative fuel system. In such a situation, this increase of Rs 993 will increase the pressure on their margins and operations may become unstable. He cautioned that many hotel-restaurants have already closed temporarily and these new price increases could further accelerate hotel-restaurant closures and job cuts.
SK Sharma is a content writer who writes on news, entertainment, and lifestyle topics. She has over four years of experience and is known for conveying information in simple and clear language.
