Commercial LPG Price Hike Shocks Restaurants, 19-kg Cylinder Cost Up by ₹993

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On Friday, May 1, 2026, news of a sharp hike in commercial LPG cylinder prices came as a shock to restaurant owners and small eateries, raising concerns about rising operational costs. The increase has significantly impacted businesses that rely on commercial cylinders for their daily operations.

The price of a 19-kg commercial LPG cylinder has been increased by ₹993. Following the revision, the cost in Delhi now stands at ₹3,071.50. The hike has been implemented across the country, with prices in Mumbai at ₹3,024, Kolkata at ₹3,202, and Chennai at ₹3,237.

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In addition, the price of 5-kg Free Trade LPG (FTL) cylinders has been increased by ₹261 per cylinder. Despite this sharp rise in commercial LPG prices, the Indian Oil Corporation (IOC) has confirmed that there has been no change in the price of domestic LPG cylinders (14.2 kg), offering relief to millions of households.

Retail prices of petrol and diesel have also remained unchanged, even as global fuel prices continue to rise. This marks the third increase in commercial LPG prices since late February 2026, when geopolitical tensions escalated in West Asia following a joint military operation by the United States and Israel against Iran. The first hike occurred in early March, followed by another increase on April 1, 2026.

According to IOC, oil marketing companies have adopted a calibrated approach by adjusting bulk and commercial LPG prices while shielding domestic consumers. “Retail prices of petrol and diesel have been kept unchanged for consumers, who account for nearly 90% of total consumption. Prices of kerosene supplied through the public distribution system (PDS) have also remained unchanged,” the company said as per Moneycontrol.

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While aviation turbine fuel (ATF) prices for domestic airlines remain unchanged, rates for international carriers have been increased. The government has also reduced the windfall gains tax on diesel exports to ₹23 per litre and on ATF to ₹33 per litre.

The rise in commercial LPG prices is expected to hit restaurants, eateries, and small food vendors the hardest, as they depend heavily on cooking fuel. Experts believe that the increased costs may eventually be passed on to consumers, making food more expensive.

Meanwhile, new LPG booking rules have also come into effect from May 1, 2026. Customers in urban areas can now book a refill only after 25 days, compared to the earlier 21-day gap, while in rural areas, the waiting period can extend up to 45 days. Additionally, the Delivery Authentication Code (DAC) system has been made mandatory, requiring OTP verification at the time of delivery.

[VP]

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