NEW DELHI – An acute shortage of liquefied petroleum gas (LPG) cylinders across India is driving a significant shift in consumer buying habits, causing sales of instant food options and frozen snacks to surge by up to 20 percent month-on-month. Households are increasingly turning to ready-to-cook and no-cook meals to conserve scarce cooking gas, while businesses grapple with supply disruptions triggered by geopolitical tensions in the Middle East. The crisis has led to price increases for cooking gas and forced many consumers to adapt their daily routines.[m+2]
Households Adapt to Gas Shortage
Indian families are actively seeking alternatives to traditional cooking methods as LPG supplies become inconsistent and more expensive. This has resulted in a notable increase in demand for convenience foods. Categories such as ready meals, frozen snacks, instant noodles, and ready-to-cook products are experiencing strong sales traction. These items, including Thai curry pastes and biryani kits, are quickly selling out from retail shelves and quick commerce platforms.[m+1]
Deb Mukherjee, founder of Asian packaged ready-to-eat foods label Moi Soi, noted a significant rise in consumer sales for their Thai curry ready-to-cook pastes, the highest since their launch two years ago. Mukherjee believes this trend could lead to a long-term change in consumer behavior towards ready-to-eat options, even after the situation normalizes. Premium grocery retailer Le Marche has also observed a 10-12 percent rise in this segment and is proactively stocking these categories to ensure availability, according to spokesperson Karan Ahuja.[m+3]
The shift extends beyond food, with a dramatic increase in demand for alternative cooking appliances. Sales of induction cooktops have jumped significantly, with some online platforms reporting a 30-fold spike in purchases. Rice cookers, electric pressure cookers, air fryers, and multi-use kettles are also seeing increased sales as households prepare for potential prolonged LPG disruptions. An Amazon India spokesperson confirmed a surge in induction cooktop sales, with customers in major cities like Delhi-NCR, Mumbai, and Bengaluru ordering these appliances for quick delivery. This suggests a precautionary shift by consumers diversifying their cooking methods beyond sole reliance on LPG.[whalesbook+3]
Geopolitical Tensions Drive Supply Crunch
The current LPG crisis intensified about a week ago, primarily due to the ongoing Gulf War disrupting global supply chains. India heavily relies on LPG imports, with 80-90 percent originating from the Gulf region. Disruptions to shipping routes, particularly through the Strait of Hormuz, have exacerbated the shortage.[m+5]
The Ministry of Petroleum and Natural Gas prioritized domestic cooking gas supplies over commercial ones on March 5. Despite this, households in various cities continue to report shortages or price mark-ups of up to 30 percent on LPG cylinders. Domestic cylinder prices in Delhi, for instance, reached ₹913 after a ₹60 increase. Commercial LPG cylinder prices have also risen sharply, with a 19 kg cylinder now costing around ₹2,100 to ₹2,300 in some areas, up from approximately ₹1,850 just a month prior. This surgein prices and scarcity has led to panic buying among some citizens, further straining supplies.[m+4]
Restaurants Face Operational Challenges[whalesbook+1]
The impact of the LPG shortage is particularly severe for commercial kitchens, including restaurants, manufacturing plants, corporate cafeterias, and school canteens. These establishments heavily depend on LPG for daily operations and are now facing critical supply issues. Many restaurants in cities like Mumbai and Delhi-NCR have reported difficulties securing commercial LPG supplies, leading to reduced menus, prioritizing dishes that consume less gas, and adjusting kitchen operations. Some eateries are even shutting down earlier than usual or operating with fewer burners to manage their limited gas stock.[m+6]
DeepanshuManchanda, Managing Director of Zappfresh, a frozen meat and snacks company, stated that inquiries from restaurants and institutional kitchens have risen by 10-15 percent since early March in major cities. Zappfresh has responded by increasing its production of frozen snack categories like samosas, momos, and kebabs by 15-20 percent over the past week. Akash Agrawalla, founder of Zoff Foods, noted that households are stocking up on packaged meals requiring minimal preparation, saving cooking time over gas.[timesofindia+3]
The Indian Railway Catering and Tourism Corporation (IRCTC) has even directed catering units at railway stations in its western zone to switch to microwave and induction cooking, and to maintain stocks of ready-to-eat food items for passengers. This demonstrates the widespread nature of the crisis affecting large public catering systems.[financialexpress+2]
Restaurants are also considering price increases of 20-30 percent by next month to offset rising input costs due to oil price volatility and the LPG shortage. Sagar Daryani, co-founder and CEO at Wow! Momo, told Business Standard that while restaurants typically revise prices around July, the current crisis might force earlier hikes, possibly as early as April.[financialexpress+3]
The disruption has also affected the broader food ecosystem. In Chennai, the reduced demand from eateries due to gas shortages left over 2,000 tons of vegetables, typically bought by small-scale and roadside vendors, unsold at the Koyambedu market. This led to significant losses for traders, with mounds of chillies and hundreds of kilograms of banana peppers being discarded.[business-standard+1]
Long-TermShifts and Economic Ripples[freshplaza]
Industry experts suggest the current LPG crisis could accelerate a long-term shift in consumer behavior towards convenience foods. This trend, which saw explosive growth during COVID-19 lockdowns, is now being boosted by energy supply uncertainties. Health-oriented convenience products, such as protein oats and millet muesli, are also gaining traction, particularly among working professionals and health-conscious individuals, according to Ankit Jha, founder and chief marketing officer at Doctor's Choice.[m+4]
The economic fallout extends to the gig economy, with a labor union reporting that the LPG crunch has cut delivery gigs by 50 to 60 percent in several cities, impacting thousands of platform workers. While the government has urged people not to panic and assures that supplies are being managed, the uncertainty surrounding the duration of the shortage continues to weigh heavily on households and businesses. This ongoing crisis is reshaping daily life and food consumption patterns across India.[timesnownews+3]
