New Delhi: Hotel owners across the country are bracing for higher operating costs after the price of commercial cooking gas cylinders was raised by up to Rs 993, taking the 19-kg cylinder price in Tamil Nadu to Rs 3,237.
Industry representatives warn that the increase will likely translate into higher menu prices, while smaller hotels and eateries could be forced to scale down operations or shut, putting jobs at risk.
The report links the spike to disruptions in crude oil movement and a sharp rise in international crude prices amid conflict in West Asia and Iran’s reported closure of the Strait of Hormuz. Public-sector oil marketing companies—Indian Oil, Bharat Petroleum and Hindustan Petroleum—are said to be facing heavy losses.
With hotels already receiving only about 70% of their cylinder requirement due to shortages, many had shifted partly to electric stoves. Even then, prices of items such as tea, coffee, idli, dosa and meals had risen by Rs 5 to Rs 50, and a further increase is now expected.
Pradeep Shetty, West India spokesperson for a hotel and restaurant association, said commercial cylinder prices have been raised month after month, moving from around Rs 2,000 in March to above Rs 3,000 now. He urged the Union government to intervene and reduce prices, warning that without an immediate solution, working hours may be cut further, menus trimmed, and temporary closures could become permanent.
