Commercial LPG cylinder prices have increased once again in Bengaluru, with the latest revision raising the cost of a cylinder by ₹46. The new price stands at ₹3,198, adding to the financial pressure on hotels and restaurants already grappling with rising operational costs.
The latest increase follows a series of sharp hikes over the past three months, taking the cumulative rise in commercial LPG prices to ₹1,356 since March 7.
Hoteliers call latest hike manageable
While some members of the hospitality industry described the latest increase as relatively modest, they pointed out that businesses are still struggling to absorb the impact of previous steep hikes.
Representatives of hotel associations noted that any increase below ₹100 is considered manageable in the current scenario, especially after the substantial ₹993 hike announced in May.
However, they warned that the cumulative impact of repeated price increases continues to affect profit margins.
Rising costs create added pressure
Hotel owners said the burden extends beyond LPG prices. Costs of key inputs such as palm oil, packaging materials and other raw materials have also increased significantly in recent months.
Some hoteliers further claimed that the shortage of commercial LPG cylinders remains unresolved, forcing businesses to procure cylinders at prices substantially higher than the official rate.
Industry members also highlighted the withdrawal of discounts previously offered to bulk commercial LPG consumers, which they say has further increased operating expenses.
Concerns for small eateries
Stakeholders believe small restaurants and eateries are likely to feel the greatest impact of rising fuel and commodity prices.
With food businesses already navigating increased input costs, many fear that continued hikes could eventually affect menu pricing and profitability.
Industry representatives have urged authorities to address supply issues and consider measures that ease the burden on small and medium-sized food establishments.