Commercial LPG prices have risen by over ₹1,300 per cylinder in the past 62 days, scalding millions and sharply increasing pressure on businesses and consumers.
Concerns are now mounting over what may follow after the election results are announced on Monday. The prevailing sentiment in several quarters is that the Centre had restrained further fuel price hikes with the Assembly elections, particularly in Bengal, in view.
On May 4, with that buffer gone, many fear a rise in petrol and diesel prices.
“The rise in commercial LPG was the trailer. I am fearing similar announcements for domestic LPG, petrol and diesel. We had purchased an induction cooker during the LPG crisis in March. We are slowly trying to tweak our cooking and eating habits,” said Sumit Biswas, a schoolteacher who lives near New Alipore railway station.
“After 4th May India will face massive mahengai (inflation),” an X user posted.
The Union government on Friday announced the steepest-ever hike in commercial LPG cylinder prices. A standard 19kg commercial LPG cylinder now costs ₹3,202 in Calcutta, up from ₹2,208 — a rise of ₹994 in a single revision.
This follows a ₹195.50 increase on April 1 and a ₹114.50 rise on March 1, marking three consecutive monthly hikes. (See chart)
The Centre has attributed the surge to rising global energy costs driven by tensions in West Asia. However, the timing of the announcement — coming just two days after the Assembly elections in Bengal — has drawn scrutiny.
Government sources have indicated that an increase in petrol and diesel prices in the near future cannot be ruled out. Analysts had earlier suggested the possibility of hikes of ₹25-28 per litre after the Bengal polls ended on April 29.
There is also a perception among some sections that a BJP win in Bengal could give the Centre room to implement steeper fuel price hikes.
In Calcutta, the food and beverage sector has already been under strain following a nearly 10-day prohibition on liquor sales during the polls.
The latest spike in commercial LPG prices has added to the agony.
From five-star hotels to roadside dhabas, the impact is being felt across the board.
“The industry is suffering. We will write to the PMO and the Union ministry of petroleum and natural gas seeking relief measures. A rise of ₹200 was still manageable, but nearly ₹1,000 is certainly not,” said Sudesh Poddar, president of the Hotel and Restaurant Association of Eastern India.
Piyush Kankaria, head of the city chapter of the National Restaurant Association of India, said: “The sudden increase in commercial LPG prices is deeply concerning, especially at a time when the industry is already under pressure. Such sharp hikes directly impact our input costs and leave little room for absorption, particularly for smaller operators. We hope for timely intervention to help the sector navigate this phase.”
The fear extends beyond the hospitality sector. Businesses and households alike are bracing for a possible increase in petrol and diesel prices, which would trigger a broader rise in commodity costs.
“The price of commercial LPG has jumped more than 80% in just three months. I don’t think I can sustain it for too long without increasing menu prices. But if petrol and diesel also go up, the burden will be widespread. Most customers will not be willing to pay more,” said a restaurateur who did not wish to be named.