Bhubaneswar: Eating out and ordering in are likely to get significantly costlier as a sharp rise in commercial LPG cylinder prices squeezes restaurants, street vendors and large-scale food operations alike-with most saying they can only absorb the pressure for so long before passing it on to consumers.
The hike has pushed up operating costs across the board and, coupled with recent minimum wage increases, is compressing margins at both ends. For now, most restaurateurs are holding off on menu revisions and exploring alternatives.
Restaurants, cafes, and small eateries across Odisha are facing significant financial challenges following the sharp increase in commercial LPG prices. Restaurant owners across Odisha are feeling the pressure of the price hike. Many are in a dilemma, unsure how to balance the rising costs with the need to keep prices reasonable for customers.
The price of a 19-kg commercial LPG cylinder has surged by Rs 993 per unit, pushing the cost of a single cylinder beyond the Rs 3,200 mark in major cities like Bhubaneswar.
The steep upward revision is largely attributed to global energy market fluctuations and ongoing geopolitical supply chain disruptions. With commercial LPG rates crossing Rs 3,000 nationwide, this marks one of the most substantial fuel price hikes experienced by the hospitality sector in recent months.
The sudden spike in overhead costs has created a difficult dilemma for restaurant owners and small-scale food vendors. Because business margins are already tight, business owners are struggling to absorb the price difference without raising menu prices.
As input costs rise sharply, restaurants are likely to pass on the burden to consumers. Industry trends suggest that such price hikes typically lead to an increase in meal prices, with meals expected to cost an additional Rs 20 to Rs 50 in the coming days. This will directly affect daily wage earners, students, and office-goers who rely on affordable meals, said a customer.
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