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LPG Shortage Forces Alterations in Kerala’s Tourism and Hospitality Sector

In Kerala
March 16, 2026
Deccan Alert | LPG Shortage Forces Alterations in Kerala's Tourism and Hospitality Sector

In the face of an ongoing LPG shortage, restaurants and hotels across Kerala are making significant adjustments to their offerings and services. This crisis is particularly affecting the tourism and hospitality sector, leading to menu alterations, alternative cooking methods, and scaled-down services.

Hotels are modifying elaborate banquet menus designed for weddings, business meetings, and social functions, while honoring existing bookings. New large-scale events are being cancelled due to the reduced availability of LPG.

Many establishments have adopted a strategy of reducing dishes that heavily utilize gas, such as Chinese cuisine and similar items, in favor of alternatives like salads, baked preparations, and charcoal-grilled dishes that require less LPG. In some instances, the number of food options on offer has dropped drastically, from over 200 to approximately 50, in an effort to conserve gas.

Rajagopal Iyer, CEO of Udaya Samudra Group of Hotels, stated that Chinese cuisine, which relies heavily on high-flame cooking and continuous gas usage, is becoming increasingly difficult to maintain given the LPG shortage. As a result, many establishments are turning to cooking with firewood for bulk items like biryani.

Some restaurants have opted to discontinue lunch services and focus primarily on dinner operations when guest turnout tends to be higher. Nadirsha A, owner of a resort on North Cliff in Varkala, has cancelled the lunch menu due to the challenges posed by the LPG shortage. He explained that his establishment cannot rely heavily on electric cooking ranges due to high power bills and is attempting to avoid closure by cutting down on services.

Large hotel chains are managing the crisis through ‘smart menu planning’.