KCCI expresses concern over shortage of commercial LPG cylinders

Srinagar, Mar 10: The Kashmir Chamber of Commerce and Industry (KCC&I) has sought urgent intervention of the Central Government to ensure the immediate restoration of adequate supplies of commercial LPG cylinders to hotels, restaurants and catering establishments across the Valley.
In a statement, a KCC&I spokesman expressed serious concern over the shortage of commercial LPG cylinders being reported by stakeholders in the hospitality sector following the March 9 order issued by the Ministry of Petroleum and Natural Gas prioritising LPG supply for domestic consumers.
The Chamber said that while the Government’s objective of ensuring uninterrupted LPG supply to households across the country is understandable and appreciated, the implementation of the directive appears to have resulted in an unintended shortage of commercial LPG cylinders used by hotels and restaurants.
The KCC&I said several hotel and restaurant associations have informed the Chamber that they are facing serious difficulties in procuring commercial LPG cylinders from suppliers. Many establishments have indicated that if the situation persists, they may be forced to temporarily suspend their operations.
The Chamber pointed out that hotels and restaurants largely depend on LPG as their primary source of fuel and do not have any conventional alternative methods of cooking at the scale required for commercial operations. Any disruption in LPG supply, therefore, directly affects their ability to continue services.
The KCC&I said that the shortage could lead to the closure of hotels, restaurants and eateries, which would not only disrupt tourism-related services but also result in significant job losses in the hospitality sector.
The Chamber further said that the tourism industry in Kashmir has already gone through a difficult phase in 2025, with tourist arrivals declining to around 11.16 lakh during the year. The downturn caused substantial losses to the sector, and stakeholders were hopeful that the coming tourist season would help them recover from the setbacks.
However, the present shortage of commercial LPG has created apprehension among hoteliers and restaurant owners at a time when the tourism season is approaching and preparations are underway to receive visitors.
The Chamber noted that the issue has emerged at a particularly sensitive time, as the holy month of Ramadhan is currently underway in Kashmir and food outlets are witnessing increased demand, especially during Iftar and late evening hours. With Eid festivities approaching, restaurants, bakeries and catering establishments usually experience a significant rush in business. Any disruption in LPG supplies at this stage could severely affect their operations and lead to financial losses for these establishments.
The KCC&I has appealed to the Central Government and the Ministry of Petroleum and Natural Gas to urgently address the issue and ensure that adequate quantities of commercial LPG cylinders are made available to hotels, restaurants and catering establishments in Kashmir so that the hospitality sector can function without disruption. (KNO)