May Day Jolt: LPG Hike Hits India

metro india news  I hyderabad

The worst fears of restaurants, roadside eateries, caterers, bakeries and cloud kitchens came true on Friday as the Union Government announced a sharp ₹933 hike in commercial LPG cylinder prices.

While aviation turbine fuel (ATF) prices for domestic airlines remained unchanged on May 1—offering temporary relief to carriers and flyers—commercial LPG and 5-kg cylinders recorded one of their steepest increases, in line with rising international energy costs.

The price of a 19-kg commercial LPG cylinder has jumped by nearly Rs. 1,000, a surge of about 30–35%. In several regions, the cost has crossed Rs. 3,000, intensifying financial pressure on businesses and likely pushing up prices of goods and services.

The hike is expected to have a cascading impact on the cost of living and deal a blow to small and medium enterprises. Telangana Irrigation and Civil Supplies Minister Uttam Kumar Reddy urged the Centre to roll back the increase.

Traders warned of an immediate ripple effect. “It will trigger a chain reaction—prices of tea, coffee, meals and almost everything will rise,” said Ravikanth M.

Addressing May Day celebrations at Telangana Bhavan, BRS Working President K. T. Rama Rao criticised the Centre, calling the hike “unprecedented” and demanding an immediate rollback. He described it as a “May Day gift” by Prime Minister Narendra Modi, highlighting the irony of imposing such a burden on workers.

In Hyderabad, where commercial cylinder prices have reportedly touched around Rs. 3,315, many establishments may face closure, raising concerns over job losses and economic distress.

Rama Rao added that the hospitality sector is already under strain due to global uncertainties, including geopolitical tensions involving Iran and United States. The latest hike, he said, would further hurt small businesses and workers.

He also flagged broader economic challenges such as a weakening rupee and rising fuel prices, arguing that repeated hikes in petrol, diesel and LPG have triggered a cascading increase in the cost of essential commodities, burdening the common man.