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India’s Restaurants Face Closures as Iran War Disrupts Cooking Gas Supply

India relies on Middle East for over half its liquefied petroleum gas, with supply cuts forcing restaurants to reduce menus by up to 80%, officials said.

  • India is facing a severe shortage of liquefied petroleum gas as supply disruptions linked to the U.S.-Israel war on Iran impact energy imports, forcing officials to invoke emergency measures last week prioritizing hospitals and schools over the hospitality industry.
  • Geopolitical tensions have led to the closure of the Strait of Hormuz, disrupting global oil shipments; India, the world's second-largest LPG importer, relies heavily on the Middle East for over half of its supply.
  • The National Restaurant Association of India , representing over half a million eateries, warned of potential closures as Cafe Madras in Mumbai has not received fresh deliveries for days, forcing owners to cut menu items by nearly 80 per cent.
  • Oil Ministry joint secretary Sujata Sharma said local LPG output has increased 25 per cent following government intervention, while the ministry established a panel to review restaurant requests and companies raised cylinder prices by about 7 per cent.
  • India is currently exploring alternative import sources, including Australia and Canada, to stabilize supplies, while Pranav Rungta, vice president of NRAI Mumbai, remains hopeful that pressure on restaurants may ease soon.
Insights by Ground AI

22 Articles

Right

The conflict that Israel and the United States have launched in Iran translates in India in shortage of gas cylinders, increases in food sales and price increases also for drinking water. A situation that is likely to worsen if we add the failure of fertilizers, which Delhi asked for in Beijing. Again Washington is favoring an approach between the two Asian giants.

Lean Right

Iran Israel War: According to telecom operators, if this situation lasts long, the country's mobile network and internet services may be disrupted.

·India
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Times of India broke the news in India on Thursday, March 12, 2026.
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