Mumbai Restaurants Raise Prices by Up to 20% Amid LPG Shortage
LPG Crisis: Mumbai Restaurants Increase Prices Up To 20%, Customers Feel The Heat
News 18
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Restaurants in Mumbai are raising menu prices by 10-20% due to a severe LPG shortage affecting fuel supply. The crisis, stemming from a government directive prioritizing domestic consumers, has forced eateries to adapt by reducing menu items and exploring alternative fuel sources.
- 01Restaurants in Mumbai have increased prices by 10-20% due to LPG shortages.
- 02The crisis originated from a government directive prioritizing domestic LPG supply.
- 03Smaller eateries are also raising prices and cutting menu items due to rising operational costs.
- 04Many establishments are adopting alternative fuel sources to maintain operations.
- 05Authorities are encouraging a shift to Piped Natural Gas (PNG) as a long-term solution.
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The ongoing LPG shortage in Mumbai has led to significant price increases at restaurants, with many establishments raising menu prices by 10-20%. This crisis began following a government circular on March 5, which prioritized LPG supply for domestic use, causing hoarding and black marketing. As a result, restaurants like Udupi Shri Krishna in Kamla Mills have raised prices, with a veg sandwich now costing ₹90, up from ₹70. Smaller eateries, such as Aram Vada Pav, are also feeling the pinch, with prices expected to rise by 7-10% soon. Legacy bakeries, including the 118-year-old American Express Bakery, have reduced production by about 30% due to limited gas supply, leading to potential price hikes of 10-15% on certain items by mid-May. To adapt, some businesses are using alternative fuels like coal and induction stoves. Authorities are promoting a shift to Piped Natural Gas (PNG) as a long-term solution, with assistance camps set up for restaurant owners. The entire food ecosystem in Mumbai is affected, with higher food prices becoming an unavoidable reality for consumers.
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The LPG shortage is leading to higher food prices, affecting consumers' budgets as they face increased costs for dining out.
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