As more eateries run out of LPG cylinders, food delivery is under pressure

Food delivery services are likely to remain disrupted for some time in several Indian cities including Bengaluru, Delhi and Pune as restaurants face difficulties fulfilling orders due to a shortage of commercial LPG cylinders.

Restaurant owners, cloud kitchen operators and quick service restaurant (QSR) chains said the shortage has forced many outlets to reduce their menu offerings and limit the number of dishes available for both dine-in and food delivery. According to Rashmi Daga, founder and chief executive of cloud kitchen company FreshMenu, the company has already trimmed its menu and removed discounts from delivery platforms because nearly 30 percent of its kitchens are unable to fulfil orders.

Daga said several of the company’s kitchens have not received LPG supplies for three to five days, leaving inventories nearly exhausted and raising the possibility of temporary closures if the situation continues.

The shortage is affecting hundreds of restaurants in Bengaluru alone. PC Rao, president of the Bangalore Hotels Association, said around 200 to 300 restaurants have curtailed their menus to conserve cooking gas and continue operating for a few more days. The association has requested authorities to provide at least half-capacity LPG cylinders to hotels to keep kitchens running.

Food delivery platforms are also witnessing the impact. Aravind Sanka, founder of ride-hailing company Rapido, which recently launched its food delivery service Ownly in Bengaluru, said some restaurants are reducing their stock keeping units or marking items as out of stock on the platform due to the LPG shortage. He added that since Ownly does not charge commissions from restaurants, the platform can help partners retain better margins during the crisis.

Major delivery platforms Zomato and Swiggy did not respond to queries at the time of publication.

Restaurant operators across Bengaluru, Delhi and Pune said LPG cylinder deliveries have been delayed for several days, leading to operational losses. Some industry players also alleged that cylinders are being sold in the black market at prices ranging between ₹2,000 and ₹3,000.

Ashish Reddy, founder of Antera Kitchen and Bar, said restaurants like his could face daily losses of ₹2–3 lakh if the disruption continues, given reduced menus, slower service and the inability to operate at full capacity during peak hours.

Similarly, Anirudh Kheny, managing partner of restaurants including Suzy Q, Daisy and Quarter House, said the problem is not due to lack of demand but rather a production-side constraint caused by limited LPG supply.

The crisis is also creating broader operational challenges for restaurants, which are struggling to manage staff schedules, gig workers and raw materials that cannot be fully utilised.

According to Saili Jahagirdar of the National Restaurant Association of India, around 12 to 15 lakh gig workers and hospitality staff in Pune alone have been affected. She said the association has urged food delivery platforms to remove discounts temporarily so restaurants can maintain some level of profitability during the shortage.

Industry leaders also warned that the disruption could affect consumers, especially students and young professionals who rely heavily on restaurants for daily meals. Raymond Andrews, founder of QSR chain Biryani Blues, said several of the chain’s outlets have already shut temporarily due to the gas shortage.

Meanwhile, founders from several food brands have appealed to authorities on social media for immediate intervention. Ankit Nagori, founder of Curefoods, said in a post on social media that many outlets operated by the company — including brands such as EatFit, CakeZone, Sharief Bhai, Nomad Pizza and Frozen Bottle — would remain shut for the day due to the LPG supply disruption.