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LPG Shortage In Bengaluru: Meat And Fish Sales Fall 30%, Hotels Scale Down Operations

A growing shortage of commercial LPG cylinders in Bengaluru has started to impact the city's food industry. Hotels, restaurants, and eateries are struggling to operate, leading to a sharp fall in demand for meat and seafood.

LPG Shortage
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Bengaluru's food industry faces disruption from a commercial LPG cylinder shortage, causing restaurants to reduce menus and leading to nearly 30% lower meat and seafood sales amid black market prices of ₹4,000-₹6,000.

Over the past week, sales of chicken, fish, and other non-vegetarian items have dropped by nearly 30%, affecting both traders and suppliers.

Restaurants Cut Menus, Some Shut Operations

Due to the rising cost and limited availability of LPG cylinders, many restaurants have reduced their menus. Some eateries have even temporarily shut down their kitchens to manage expenses.

With cooking becoming more expensive, businesses are focusing only on essential items, cutting down on dishes that require more fuel or longer preparation time.

Demand for Meat and Fish Falls

The slowdown in restaurant operations has directly impacted suppliers. Vendors who earlier supplied 80-100 kg of chicken daily to hotels are now receiving orders for less than 10 kg in some cases.

Seafood traders are also facing losses, as bulk buyers from the hospitality sector have drastically reduced their purchases.

Major Markets See Decline in Activity

Well-known markets like Russell Market in Shivajinagar and Yeswantpur Market have witnessed a noticeable drop in business.

Traders say that restaurants that once bought 20-30 kg of seafood are now buying only a few kilograms. This has led to excess stock, higher storage costs, and increased wastage.

Prices Drop, Traders Face Losses

With demand falling, wholesale poultry and seafood dealers are being forced to reduce prices to sell their stock. In many cases, they are selling at a loss just to avoid spoilage.

This has created financial pressure across the supply chain-from farmers and wholesalers to retailers.

LPG Prices Surge in Black Market

One of the main reasons behind the crisis is the sharp rise in commercial LPG prices. In the black market, cylinders are being sold for ₹4,000 to ₹6,000, compared to the regular price of around ₹1,500.

This sudden increase has made it difficult for small and mid-sized restaurants to sustain daily operations.

Restaurants Consider Price Hikes

To cope with rising costs, some eateries are considering increasing menu prices. A few restaurants briefly introduced a "gas crisis charge" on customer bills, but many are hesitant due to fear of losing customers.

Industry groups are now discussing possible price revisions if the situation does not improve soon.

Uncertain Future for Food Businesses

With no immediate solution in sight, the crisis is creating uncertainty for Bengaluru's food industry. If LPG supply issues continue, both businesses and consumers may face higher prices and limited choices.

The LPG shortage in Bengaluru has triggered a chain reaction across the food industry, reducing demand, increasing costs, and affecting livelihoods. As restaurants struggle to stay open, suppliers and traders are also bearing the impact.

Unless supply stabilises soon, the situation could worsen, leading to further losses and disruptions in the city's food ecosystem.

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