PANAJI
Dining out could soon pinch the pocket as restaurants and hotels, already dealing with a shortage of LPG cylinders and now hit by a sharp increase in commercial gas prices, are considering revising their menu rates.
The cost of a 19-kg LPG cylinder has gone up by Rs 195.50, the second such hike in the last two months. This near 10 per cent jump is adding to the financial strain on restaurants, caterers and small food outlets, many of whom are now debating whether and to what extent to transfer the burden to customers.
While several large hotels have started working on increasing menu prices by around 5 per cent, smaller establishments remain cautious. Many are concerned that even a slight hike could impact customer footfall in a price-sensitive market.
Speaking to The Goan, President of the Goa Hotels and Restaurants Association , Gaurish Dhond said that price hike of the menu is inevitable. “Currently several hotels are working with restricted lunch and dinner menus while some hotels have already cut-off breakfast from their menu,” he said.
“Now we have a price hike of commercial LPG and a shortage of supply, the hotels have no option but to revise the prices of the menu,” he said.
Street food vendors, including those selling favourites like shev puri and ros omelette, are also feeling the impact. “There was already a shortage of LPG cylinders, and just as things seemed to improve, prices have gone up again. We may have to increase rates by Rs 5 to Rs 10,” said a ros omelette vendor from Taleigao.
Restaurant owners say they are struggling to cope with both rising input costs and inconsistent supply.
A prominent restaurant chain operator in Goa noted that although LPG availability has improved recently, the cumulative cost increase is forcing them to rethink pricing, especially for dishes that depend heavily on gas usage. “We have already reduced certain items like dosa and idli from our menu. Now, revising prices may become unavoidable,” the operator said.
At the same time, not all businesses are opting for immediate price hikes. The owner of a well-known biryani outlet said the decision would largely depend on customer response. With most of their clientele belonging to the middle class, some restaurateurs are considering cutting portion sizes instead of increasing prices.
“We cannot lower quality, but we also have to deal with rising costs,” he said.
Travel and Tourism Association of Goa (TTAG) chief Jack Sukhija too said that it is quite obvious for hotels and shacks to increase the prices of all those food-items which are heavily dependent on gas.
The catering sector is also under pressure, particularly with the wedding and festive season approaching. Caterers say they are in a difficult position as bookings have already been finalised at pre-hike rates.
“LPG prices have increased by nearly 17 per cent over the past two months. Since bookings are confirmed till May, we cannot revise rates now and will have to bear the additional cost,” said a well-known caterer from Bicholim, adding that future bookings are likely to be priced higher.
With expenses mounting and margins shrinking, the food and hospitality sector in Goa is facing a tough challenge in balancing operational viability with customer affordability.
