The Biz Reporter
Srinagar, Mar 10: The Kashmir Chamber of Commerce and Industry (KCC&I) has urged the Central Government to intervene urgently and ensure the restoration of adequate supplies of commercial LPG cylinders to hotels, restaurants and catering establishments across Kashmir.
In a statement issued here, the Chamber 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.
KCC&I 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 inadvertently affected the availability of commercial LPG cylinders used by hotels and restaurants.
According to the Chamber, several hotel and restaurant associations have reported difficulties in procuring commercial LPG cylinders from suppliers. Many establishments have conveyed that if the supply situation does not improve soon, they may be compelled to temporarily suspend their operations.
The Chamber pointed out that hotels and restaurants largely rely on LPG as their primary fuel source and do not have any practical alternative cooking arrangements for large-scale commercial operations. Any disruption in LPG supply, therefore, directly affects their ability to continue services.
KCC&I cautioned that a prolonged shortage could lead to the closure of hotels, restaurants and eateries, disrupting tourism-related services and resulting in significant job losses in the hospitality sector.
The Chamber also highlighted that the tourism industry in Kashmir has already experienced a challenging year, with tourist arrivals in 2025 declining to around 11.16 lakh. The downturn caused substantial losses to the sector, and stakeholders were hoping for a stronger tourist season this year to offset those setbacks.
However, the current shortage of commercial LPG has created fresh concerns among hoteliers and restaurant owners at a time when the tourism season is approaching and preparations are underway to receive visitors.
KCC&I further noted that the issue has surfaced during the holy month of Ramadhan, when food outlets witness increased demand, particularly during Iftar and late evening hours. With Eid festivities approaching, restaurants, bakeries and catering establishments typically experience a surge in business, and any disruption in LPG supply at this stage could severely affect their operations and lead to financial losses.
The Chamber has appealed to the Central Government and the Ministry of Petroleum and Natural Gas to take immediate steps to ensure adequate availability of commercial LPG cylinders in Kashmir so that the hospitality sector can function without disruption.
