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Eateries in the soup as LPG runs out
Financial Express Mumbai
|March 11, 2026
THE MASALA DOSA tawa at Bengaluru's iconic Vidyarthi Bhavan is still hot, but only just. Two of the restaurant's four tawas have been switched off, menus are being trimmed, and kitchens across the country are rationing cooking gas as a sudden disruption in commercial LPG supplies threatens to force restaurants to shut within days.
Commercial LPG supply to restaurants across major cities has ground to a halt after a government order directed oil marketing companies to prioritise domestic households amid the closure of the Strait of Hormuz. Industry representatives said that if supplies are not restored quickly, thousands of kitchens could fall silent across the country.
Supply has already been disrupted in Bengaluru, Mumbai, Chennai, Delhi-NCR, Pune and Kolkata, while Hyderabad is close to running out, according to the National Restaurant Association of India (NRAI).
“Tier 2 and smaller cities still have some supply, but they could also soon run out,” Pranav Rungta, vice-president of the National Restaurant Association of India (NRAI), told FE.
IN MUMBAI, VIJAY Shetty,president of the Indian Hotels and Association Restaurants (AHAR), said the impact is already visible. About 20-30% of the city's restaurants have shut operations, he said, warning that 60-70% could be forced to close within two days if supplies are not restored.
Multiple multi-city restaurant chains and cloud kitchen operators told FE the shortage is most acute in Delhi NCR, which has the highest concentration of restaurants among the cities.In Kerala, AHAR said many establishments have already exhausted their LPG stocks, with several rationing whatever supply remains.
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