Karnataka State Hotels Association urges centre for LPG price rollback as hospitality sector struggles
Karnataka State Hotels Association (KSHA) has written to Union Minister of Petroleum and Natural Gas Hardeep Singh Puri demanding a rollback of the price hike
Karnataka State Hotels Association (KSHA) has written to Union Minister of Petroleum and Natural Gas Hardeep Singh Puri demanding a rollback of the price hike of commercial LPG cylinders. KSHA president G.K. Shetty said, “We have written to the Union Minister urging him to reduce the prices of commercial LPG cylinders because the crude oil price has also reduced. At present, the price of commercial cylinders is ₹3,152, and the hoteliers are at a loss. Since the price of crude oil for one barrel has reduced from $110 to $69-72$, which is the same as it was in February 2026, we want the Centre to reduce the prices to ₹1,800, back to February levels.” Shetty added, “When the cylinder price was ₹1,800, we paid ₹1,650 after discount.
Now, it has become difficult and most hoteliers are at a loss. If the prices are reduced, then it will boost the hotel and hospitality industry. As everyone is aware, the conflict involving the U.S. and Iran severely disrupted global gas supplies. Initially, supplies were affected significantly. These disruptions resulted in a steep increase in commercial LPG prices.” He also clarified that if the Centre reduces the cylinder prices, then KSHA can take hotel owners into confidence and request them to reduce the prices of various food items. “We can ask them to reduce the prices by ₹5 to ₹15 which they had increased recently,” Mr. Shetty noted.
However, hotel owners in the city have questioned that even if the cylinder prices might reduce in the future, the prices of other groceries and vegetables are always high. Praveen Gowda, manager at a vegetarian hotel in Vasanth Nagar, said, “I doubt if the Centre will reduce the prices of LPG cylinders. Even if they do, we cannot reduce the prices of commodities because the prices of all types of pulses and cereals have increased. Additionally, the prices of vegetables and cooking oil have also increased.” Meanwhile, Ibrahim Khaleel, manager at a non-vegetarian hotel in Shivajinagar, said, “Not just the prices of ingredients to cook food, but the price of electricity and water are also more when compared to the previous years.
I agree that hotels buy commodities at wholesale prices, which are lower in comparison to retail prices. However, the prices of spices we use in non-vegetarian items are always high. We also need to pay staff salaries. I don’t think the prices of food items will be reduced anywhere.”
The BriefWire