Commercial LPG prices have surged sharply across major cities, increasing cost pressure on businesses, while stable domestic gas rates offer temporary relief to households amid global fuel uncertainty.
Rows of LPG cylinders inside a distribution facility | IANS
A steep jump in commercial LPG prices from Friday has set off fresh concerns for restaurants and small businesses, even as the government held the line on domestic cooking gas rates.
The decision comes at a time when global fuel markets remain volatile due to the ongoing Iran war and wider geopolitical tensions in West Asia. While there has been pressure to revise household LPG prices, the Centre has chosen to keep domestic rates unchanged, offering some relief to middle-class households already battling inflation.
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News agency ANI mentioned sources as saying that the price of a 19 kg commercial LPG cylinder has been increased by ₹993 on average. In Delhi, the price has surged to ₹3,071.50 from ₹2,078.50 earlier. In Mumbai, the rate has jumped from ₹2,031 to ₹3,024.
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The 5 kg Free Trade LPG cylinder, used by small establishments and for limited commercial purposes, has also been hiked by ₹261 per cylinder with immediate effect.
This is the third increase in commercial LPG prices since February 28, when the Iran conflict began impacting global supply chains. Prices were first raised by ₹144 in March, followed by another increase of nearly ₹200 on April 1.
The cumulative effect is now being felt across sectors that rely heavily on commercial cooking fuel. Restaurants, hotels and small eateries are expected to face a sharp rise in operating costs.
Industry players say the burden is unlikely to remain confined to businesses. With margins already under pressure, many establishments may pass on the higher costs to customers, potentially pushing up food prices and delivery charges in the coming weeks.
The hike comes against the backdrop of volatile crude oil prices. Brent crude had touched $126 per barrel on Thursday before easing to around $113 on Friday. Since India imports a large share of its LPG requirements, prices of commercial and non-subsidised cylinders are linked to international benchmarks and revised monthly.
Oil marketing companies typically review LPG prices on the first day of every month, factoring in global rates and currency movements. While domestic LPG has been held steady in recent months to shield households, commercial cylinder prices have seen frequent revisions.
The revised prices vary across major cities but reflect a similar upward trend:
In contrast, domestic LPG consumers have been spared any immediate impact. The price of a 14.2 kg cylinder remains unchanged. In Delhi, it continues to be available at ₹913.
The revision applies only to commercial and bulk LPG categories, which account for a smaller share of overall consumption. Domestic LPG, which is subsidised and used by around 33 crore households, has been kept out of the latest price adjustment.
For households, this brings some immediate relief at a time when kitchen and fuel expenses are already tight. But if restaurants start hiking prices, that comfort could quietly shrink.
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