Quick service restaurant (QSR), restaurant and food delivery stocks such as Jubilant FoodWorks, Westlife Foodworld, Devyani International, Swiggy and Eternal are likely to begin Tuesday’s session on a weak note amid concerns over disruptions in commercial LPG supplies to eateries.
Restaurant associations from Bengaluru, Tamil Nadu, Maharashtra and Delhi have flagged that commercial LPG deliveries to restaurants have effectively halted in several areas. Industry bodies have written to the Petroleum Ministry seeking urgent intervention to resolve the situation.
The National Restaurant Association of India (NRAI) said restaurants currently have, at best, around a week’s worth of LPG inventory left. In its communication to the ministry, the association highlighted that the sector is heavily dependent on commercial LPG and warned that prolonged supply disruptions could force many establishments to suspend operations.
The industry body cautioned that if the situation persists, it could lead to large-scale shutdowns across the sector, describing the potential impact as “catastrophic.”
According to a CNBC-TV18 report, India is exploring options to secure additional LPG supplies from the United States and Canada. The report added that there are currently no plans to impose fuel restrictions.
Officials have indicated that authorities will ensure industrial and commercial fuel consumption continues without major disruptions, although domestic CNG supply will remain a priority.
Industry bodies said the confusion appears to have started after a March 5 government directive asking public sector oil marketing companies to prioritise domestic LPG supplies. The Federation of Hotel and Restaurant Associations of India (FHRAI) said the wording of the order has created uncertainty at the distributor level, with some suppliers reportedly halting commercial LPG deliveries.
In Bengaluru, the Bangalore Hotels Association warned that hotels could begin shutting down operations from Tuesday, stating that commercial LPG cylinder supplies stopped from March 9 despite earlier assurances from oil companies that there would be no disruption for at least 70 days.
The disruption could also spill over to food delivery platforms such as Swiggy and Zomato, as restaurant closures would directly affect order volumes and delivery activity.
Meanwhile, the Ministry of Petroleum and Natural Gas said the government has set up a panel to assess fuel requirements for restaurants and the auto sector and will work to allocate LPG supplies to these segments.
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Published on: Mar 10, 2026, 9:54 AM IST
Sachin Gupta
Sachin Gupta is a Content Writer with 6+ years of experience in the stock market, including global markets like the US, Canada, and Australia. At Angel One, Sachin specialises in creating financial content that simplifies complex market trends. Sachin holds a Master's in Commerce, specialising in Economics.
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