LPG supply woes: Kerala hotels call strike on March 23, demand essential service status

Amid continuing LPG supply disruptions linked to the ongoing conflict in West Asia, the Kerala Hotel and Restaurant Association (KHRA) has announced a statewide strike on March 23, intensifying concerns across the hospitality sector.

The association said hotels and eateries across the state will remain shut as part of the protest, highlighting the growing difficulties faced by businesses dependent on commercial LPG. The move comes as supply constraints and rising prices continue to impact operations.

In Kerala, where the hospitality sector plays a crucial role in the local economy, the impact has been particularly severe, with many establishments already scaling down operations due to limited access to cooking fuel. Industry bodies have called for immediate intervention to stabilise supply and prevent further disruption, cautioning that prolonged shortages could have wider economic consequences.

What are their demands?

According to KHRA, the strike is aimed at urging authorities to classify hotels and restaurants as essential services, ensuring priority access to LPG supplies during the ongoing crisis. Industry representatives have argued that inconsistent supply is disrupting daily functioning and putting livelihoods at risk.

The association has also alleged that private suppliers are taking advantage of the situation by sharply increasing LPG prices, further burdening businesses already struggling with shortages.

As part of its protest plan, KHRA has announced a march ahead of the shutdown, warning that the situation is affecting not just the hospitality industry but also consumers who rely on these establishments.

Why India is facing LPG supply woes?

The LPG supply crunch has been linked to disruptions in global energy routes due to geopolitical tensions in West Asia, which have impacted imports and distribution across India. Several states have reported supply imbalances, long queues, and rising anxiety among commercial users.

What the government is doing about LPG supply concerns?

The government is addressing the LPG shortage by prioritising domestic household supply, increasing domestic production, and securing alternative import sources. Authorities have clamped down on hoarding via thousands of raids, increased the booking interval to 25 days, and are pushing for a transition to Piped Natural Gas (PNG).

Commercial LPG supply has been restricted to essential services to conserve stocks for residential use. Fresh supplies are beginning to arrive in India. After the Shivalik vessel reached on Monday, another LPG carrier, Nanda Devi, has now arrived at Gujarat's Vadinar port with over 47,000 metric tonnes, easing immediate pressure.