War Impact: Gas Shortage Hits Hotels and Restaurants as US–Iran War Disrupts Supply

The ongoing war between the United States and Iran is now affecting the supply of cooking gas, creating serious problems for the food service industry in India. Hotels, restaurants, roadside dhabas, cloud kitchens, street food vendors, canteens, and food delivery businesses are all struggling due to the shortage of commercial gas cylinders. As supplies tighten, many establishments are either reducing operations or shutting down temporarily, leading to daily losses worth crores of rupees. In Katni, small roadside eateries that usually serve affordable meals to daily wage workers are facing severe challenges because they often rely on only one or two gas cylinders. Some owners say they are forced to arrange cylinders through costly unofficial sources to keep their kitchens running. A similar situation has been reported in Muzaffarnagar, where a popular Punjabi dhaba is on the verge of closing due to the gas shortage. India has nearly 1 million hotels, generating business worth about ₹5.69 lakh crore. The sector employs around 8.5 million people and contributes 1.9% to the country’s GDP. Experts warn that if the gas supply crisis continues for the next few days, 50–60% of hotels and restaurants could shut down, putting millions of jobs at risk.

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