A minister in Maharashtra has said that commercial LPG supply has completely stopped in parts of the state, highlighting the growing disruption in gas availability for restaurants, hotels and other businesses.
The statement comes amid a broader LPG supply crunch linked to global disruptions affecting imports into India.
Restaurants and businesses affected
Commercial LPG cylinders, typically used by restaurants, hotels, and cloud kitchens, have reportedly become difficult to obtain in several cities including Mumbai, Pune, and Nagpur.
Industry groups have warned that the shortage is already affecting operations in the hospitality sector, with some establishments temporarily suspending operations due to lack of gas supply.
Reports indicate that around 20% of eateries in Mumbai have already shut operations, and industry bodies have warned that closures could increase if supplies are not restored soon.
Domestic LPG supply prioritised
The disruption comes after the Ministry of Petroleum and Natural Gas reportedly directed refiners to prioritise domestic household LPG supplies to avoid shortages for consumers.
Under the directive, LPG produced from propane and butane is being routed primarily to public sector oil marketing companies such as Indian Oil, Bharat Petroleum, and Hindustan Petroleum to ensure household availability.
As a result, commercial LPG supply has been significantly restricted, affecting sectors that depend heavily on gas cylinders.
Global supply disruptions
India imports a significant share of its LPG requirements, with 85–90% of imported supply coming from the Middle East. Ongoing geopolitical tensions in the region have disrupted supply chains and tightened LPG availability.
Authorities say the government has invoked emergency provisions under the Essential Commodities Act and asked refineries to maximise LPG production.
Government response
Chief Minister Devendra Fadnavis has urged citizens and businesses not to panic, stating that adequate stocks exist and that steps are being taken to stabilise supply.
Hospitality industry associations have written to Hardeep Singh Puri, Union Minister for Petroleum and Natural Gas, seeking urgent intervention to restore commercial LPG availability.
LPG prices also increased
Meanwhile, LPG prices have recently been revised upward. The 14.2 kg domestic cylinder price increased by Rs 60, while the 19 kg commercial cylinder price rose by Rs 115, effective from March 7.