Aahar, Mumbai hotel association, on Tuesday stated that 20% of Mumbai's hotels have closed due to LPG gas supply issues. Moreover, it warned that if this continues, up to 50% of Mumbai's hotels could close in the next two to three days. How long hotels can remain open will depend on the amount of gas they have, the Aahar said. However, no official decision has been made by Aahar regarding hotel closures, and it will be up to hotel owners to decide whether to remain open.
The AHAR said the number of restaurants that remain operational will depend on how much LPG stock individual establishments currently have available. The AHAR said the decision to keep restaurants open or temporarily close operations will depend on individual hotel owners and the availability of gas supply at their establishments.
LPG gas cylinder shortage hits restaurants in many cities
The statement from the AHAR comes amid a sudden shortage of commercial LPG cylinders, which has disrupted kitchen operations in restaurants and eateries across Mumbai, Bengaluru and Kolkata.
The development comes as several restaurants depend heavily on commercial LPG cylinders for daily cooking operations, and supply disruptions can force kitchens to halt services. Earlier, the hotel and restaurant industry body FHRAI on Monday flagged the shortage of commercial cooking gas cylinders due to supply disruptions and sought government intervention in the matter.
The Federation of Hotel and Restaurant Association of India (FHRAI) wrote to Minister of Petroleum and Natural Gas Hardeep Singh Puri, flagging "widespread disruption at the ground level".
FHRAI says several distributors are withholding supplies
The FHRAI stated that several distributors are withholding supplies citing a government order dated March 5. "In light of these challenges, we request the government to issue a formal clarification confirming that no such restrictions apply to the hospitality and food service sectors. We further pray for a clear mandate to be issued to all oil marketing companies to ensure the seamless distribution of commercial cylinders," FHRAI Secretary General Jaison Chacko said in the letter.
The National Restaurant Association of India (NRAI) said commercial LPG cylinder suppliers were expressing their inability to meet the supply needs of the restaurant industry, which was "severely impacting" it, and urged the government to clarify/intervene on the issue.
"As per news articles, the Government has clarified that there is no ban on supply of commercial LPG cylinders for the restaurant industry. However, the ground situation is different, with suppliers expressing inability to supply the same. This is severely impacting the restaurant industry and in turn supply of food as an essential service for citizens. We request urgent clarification/intervention," NRAI said in a post on X.