Mumbai Restaurants Hit by LPG Shortage, 20% Shut Operations

The ongoing West Asia conflict involving Israel, United States, and Iran has begun disrupting commercial LPG supply in India, severely affecting the hospitality sector in Maharashtra. Hotel and restaurant owners say the supply chain disturbance has already forced many establishments to cut operations. As a result, eateries are rationing menus, slowing cooking processes, and in some cases buying LPG cylinders from the black market to keep their kitchens running.

Hotel associations report that nearly 20% of restaurants in Mumbai have already shut down due to the shortage. Industry representatives warn that the number could reach 50% within the next two days if LPG supplies are not restored. They have urged the government to maintain at least partial supply so restaurants can continue operating and avoid a complete shutdown.

Officials acknowledge the crisis but say domestic LPG demand remains the priority. Chhagan Bhujbal, Maharashtra’s Food, Civil Supplies and Consumer Protection Minister, said he discussed the issue with the Chief Minister but maintaining even 25% commercial supply appears difficult. He suggested kerosene as an alternative, though industry members pointed out safety risks and infrastructural limitations.

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Hospitality sector hit by LPG supply disruption

The Indian Hotel and Restaurant Association (AHAR) has appealed to Hardeep Singh Puri, Union Minister for Petroleum and Natural Gas, to reconsider the directive restricting LPG supply to domestic consumers. The association warned that a prolonged disruption could trigger a wider crisis in the hospitality sector and threaten thousands of businesses.

Restaurants across Mumbai say they are struggling to cope with the shortage. The fine-dining restaurant East Asia said it has been paying nearly 30% more for LPG to keep operations going. Its management said the restaurant has faced supply problems for the past four days and is exploring induction cooking, although it may not be practical for large-scale kitchen use.

Other restaurant owners report similar difficulties, especially those operating multiple outlets. Some say even black-market cylinders have become hard to obtain and prices have skyrocketed. The shortage has made it difficult for many establishments to maintain normal operations or serve full menus to customers.

Industry groups such as the Federation of Hotel and Restaurant Associations of India warn that shortages are spreading beyond Mumbai to cities like Pune, Aurangabad and Nagpur. They say alternatives like electric or induction cooking remain costly and impractical for most commercial kitchens. Without a quick restoration of commercial LPG supply, the sector fears widespread temporary closures and large-scale job losses.

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