The nearly 50% rise in the 19 kg commercial cylinders in Lucknow – from ₹2,201 to ₹3,194 – is set to hurt the end consumers the most, as restaurants, hotels and eateries have no choice but to pass it on to the customers.
The ₹993 hike, effective May 1, is further marred by the undersupply to eateries, forcing them to buy from the grey market. The 5-kg commercial LPG cylinder has also become costlier by ₹261.
Hike inevitable!
Oudh Catering Association board member Jugal Sachdeva says they now need to pass the hike to consumers.
“Till now we had increased the prices and were managing with multi-channel options like splitting cylinders, switching to electric and traditional cooking manners, as the supply had dried down. Now, even if adequate supply starts, we have no choice but to increase prices in restaurants and catering – by bearing some cost, reducing margins – so that customers do not get too much load!”
Alternative fuel not enough!
Many have already hiked prices to meet the alternative fuel cost and adjust the ‘extra’ cost.
Avinash Kumar, executive chef at Ramada by Wyndham Hotel, on Kanpur Road, says, “We have a consumption of 20 cylinders, and with catering it reaches 40 plus. Now with the ₹40,000 price rise and indirect prices of inflated items that will incur on us, we have to pass it to the customers and try minimizing it. Alternative means – electric and coal-based cooking – have been adapted, but it’s limited.”
Street food hit
Small-time eateries have already upped the prices for switching to traditional means and buying from the grey market. From tea to street food – prices of every item have already increased and may go up further.
Rajeev Tripathi, a private employee says, “Street food vendors are suffering most as they are not able to ‘manage’ cylinders from grey market as its too costly for them and now this price rise is leaving them with no option but to go for traditional cooking method. From tea to bati-chokha or puri-sabzi…everyone has hiked prices.”
Undersupply, ‘extra’ cost
A gas supply executive, speaking on condition of anonymity, says, “Now there is a quota system for restaurants, and for catering, again a quota is given. In that too, they are getting undersupply, forcing people to pay ₹1,000-1,500 extra, which agencies are directly ‘dealing’ in. Ab badhi hui keemat aur extra grey market cost logo ko hi bear karni padegi.”
Weddings to get costly
Sachdeva adds that for bookings made months in advance, prices have been revised. “Weddings are a lavish affair, and for showbiz we need multiple spread-out stalls, so it’s not possible to use the multi-burner option at one place as that will crowd the stalls. So, cylinder consumption can’t come down considerably, so prices will have to go up! PNG supply is not available across the city, and alternative means don’t give that efficiency… you can’t run the dosa counter on induction!”
www.hindustantimes.com
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