The ongoing West Asia conflict is beginning to impact local businesses, with the price of a 19 kg commercial LPG cylinder reportedly touching ₹5,000 in the black market, far above the official rate of around ₹1,700.
Hotel owners across the city say the sudden supply shortage has pushed them into a difficult situation, forcing many to increase food prices or temporarily shut their establishments.
Hotels struggle with rising fuel costs
Members of the hotel industry allege that commercial LPG supplies have become irregular, and distributors are demanding inflated prices for cylinders.
“If we don’t pay ₹5,000, they simply don’t deliver,” a hotel owner said, describing the pressure faced by restaurants that depend heavily on LPG for daily cooking operations.
According to hoteliers, the steep price increase is making it difficult to sustain operations while also maintaining affordable menu prices.
Allegations of black marketing
Hotel associations have expressed strong anger at what they describe as rampant black marketing and artificial scarcity of commercial LPG cylinders.
“If a ₹1,700 cylinder is being sold for ₹5,000 in broad daylight, where are the food and civil supplies officials? This is open loot,” said a member of a local hotel owners’ association.
They claim that the shortage may be partly genuine due to global developments, but allege that local distributors are exploiting the situation to inflate prices.
Industry calls for government intervention
Hotel owners warn that if the issue continues, it could have wider consequences for consumers as well.
Many establishments have already started raising menu prices, while smaller eateries fear they may have to temporarily shut down operations if supplies remain irregular.
Industry representatives have urged the state government and regulatory authorities to take immediate action against hoarders and illegal traders.
They have also called for stronger monitoring of LPG distribution to ensure that commercial establishments receive fuel at regulated prices.
Hotel associations say swift intervention is necessary to stabilise the market and prevent the rising fuel cost from making everyday meals unaffordable for the public.