War disrupts LPG supply, hotels warn of shutdown
Vijayawada: The ongoing tensions in West Asia triggered by attack on Iran by US and Israel are beginning to ripple through state’s hospitality sector, with hotel and restaurant associations warning of a looming crisis due to an acute shortage of commercial LPG cylinders.
Hotel owners in several cities say supply disruptions have already started affecting daily operations, forcing them to scramble for gas cylinders in the open market at sharply inflated prices.
Representatives of the hospitality industry said the shortage is linked to disruptions in international shipping and fuel supply chains following the escalation in West Asia, which has slowed the arrival of LPG cargo vessels at Indian ports.
According to Balakrishna of the Hotel Merchants Association, distributors had alerted them about the situation nearly a week ago. “We were informed that existing stocks would last only four to five days. After that, supply would become uncertain. As of now, many hotels in the city are struggling to secure commercial cylinders,” he said. The current supply has reportedly dropped to nearly half of the normal requirement.
The shortage has also triggered a surge in black-market activity. Industry members said the price of a 17-kg commercial cylinder has jumped from about Rs 1,300 to nearly Rs 1,800, while 19-kg cylinders that earlier cost around Rs 1,700 are now selling for more than Rs 2,100 in some places.
Hotel owners said the sudden spike in prices and erratic supply has put enormous pressure on small eateries and roadside restaurants that rely entirely on LPG for cooking. “Even a small tea stall cannot function without gas. If the shortage continues for a few more days, many establishments may be forced to shut down temporarily,” he said.
Industry representatives have submitted memorandums to both the Ministry of Petroleum and Natural Gas and the Andhra Pradesh government seeking urgent intervention to stabilise supplies and curb black-market sales. However, Swamy, president of the AP Star Hotels Association, urged people not to panic, stating that the situation is still under control in most parts of the state. “There is no complete stoppage of supply in Andhra Pradesh. Some hotels are receiving about 50–60 percent of their normal requirement. The government has also been alerted about possible black-market activity,” he said.
Hospitality sector leaders said nearly 10 lakh families across the hospitality and food service industry depend directly or indirectly on the sector, warning that prolonged disruption could have serious economic consequences.
