Outlook Business Desk
India is facing an LPG shortage affecting households and businesses. Cities like Bengaluru, Mumbai and Pune report cylinder delivery delays. Similar issues are also seen in Aurangabad, Nagpur, Delhi, Karnataka, Telangana and Andhra Pradesh.
LPG supplies have been hit by West Asia tensions, disrupting shipments through the Strait of Hormuz. India imports around 90% of its LPG from the region and has minimal domestic reserves.
Indian restaurants are now struggling due to the LPG shortage. The National Restaurant Association of India (NRAI) has urged eateries to shorten operating hours and limit dishes requiring long cooking or deep frying.
Nearly half of Mumbai’s restaurants may temporarily close if the shortage continues. Eateries in Bengaluru and hotels in Coimbatore have reduced menus and focused on essential dishes.
New Delhi has invoked the Essential Commodities Act (ECA) to prioritise household LPG over commercial users. Refineries are running at full capacity, booking intervals extended to 25 days, and piped gas with CNG is being rationed. The focus is on ensuring homes get uninterrupted gas supply.
Around 20% of Mumbai’s hotels and restaurants have already shut as commercial LPG prices surge. The government is boosting domestic production and strengthening monitoring under the Essential Commodities Act to prevent hoarding and maintain fair distribution for both commercial and residential users.
Households and restaurants are switching to induction cooktops as LPG shortages continue. Retailers report a sharp rise in sales, with many using electric alternatives to keep cooking operations running, while others make precautionary purchases.
On the other hand, Union Petroleum Minister Hardeep Singh Puri has formed a three-member committee from Indian Oil Corporation (IOC), Hindustan Petroleum Corporation Limited (HPCL) and Bharat Petroleum Corporation Limited (BPCL) to address hospitality sector concerns.
India is also negotiating with Algeria, Australia, Canada and Norway to secure alternative LPG supplies. The move aims to ease the ongoing shortage, ensuring steady supply for both households and commercial users, while stabilising cooking gas availability across restaurants, hotels and other essential sectors.