Karnataka State Hotels Association (KSHA) wants commercial LPG cylinder prices rolled back. They've asked Union Minister Hardeep Singh Puri for help . In a letter,KSHA president G.K . Shetty said current price of ₹3,152 per cylinder is unsustainable for hoteliers, especially with crude oil dropping to $69-$72 per barrel from $110.
Shetty noted crude oil is back to February 2026 levels and urged government to reset cylinder prices to ₹1,800. “When cylinders cost ₹1,800,we paid ₹1,650 after discount. Now,it’s tough,and most hoteliers are losing money,” he said. He thinks a price cut could boost struggling hospitality sector.
Global events,especially U.S.-Iran conflict,have hit industry hard. Shetty said this conflict disrupted global gas supplies,causing LPG prices to spike. He suggested if government lowers prices,KSHA could urge hotels to drop menu prices by ₹5 to ₹15,which had gone up recently.
But some hoteliers are doubtful about price cuts. Praveen Gowda,manager of a vegetarian hotel in Vasanth Nagar,doesn’t think government will lower LPG prices. Even if they do,groceries and vegetables still cost lot. “Prices of pulses and cereals have all gone up,” he said .
Ibrahim Khaleel,managing a non-vegetarian hotel in Shivajinagar, shares these worries. Ingredient prices have risen, plus electricity and water costs are higher than before. “We also need to pay staff salaries,” he said,noting that spice prices for non-veg dishes are still high. Khaleel doesn't believe food prices will fall, even if LPG costs do.
KSHA's plea shows the big hurdles facing Karnataka's hospitality industry as they juggle rising costs while trying to stay profitable. sector's still bouncing back from pandemic hits…will government step in to help stabilize prices?
