Commercial LPG cylinder prices hiked, domestic rates unchanged

Public sector oil marketing companies have hiked the price of commercial Liquified Petroleum Gas (LPG) cylinders by ₹62 to ₹65 with immediate effect, dealing a fresh blow to the hospitality sector on the first of the month. However, household budgets will remain unaffected as the price of domestic cooking gas cylinders has been left unchanged.

Following the latest revision, a 19 kg commercial LPG cylinder will now cost ₹2,828 in Kochi. The price has been hiked to ₹2,860.50 in Kozhikode and ₹2,849 in Thiruvananthapuram. State-run oil marketing companies review and update fuel tariffs on the first of every month, based on average international crude oil rates and currency fluctuations.

The latest tariff hike is expected to hit Kerala's hospitality sector hard, directly affecting hotels, restaurants, and street-food vendors (locally known as thattukadas). Business owners have expressed concern over the rising operational costs, warning that sustained fuel price hikes might eventually force them to pass the burden onto consumers by increasing food prices.

In a welcome relief for families, the prices of 14.2 kg domestic cooking gas cylinders remained the same. A domestic cylinder continues to sell at ₹951 in Thiruvananthapuram, ₹949 in Kochi, and ₹950.50 in Kozhikode.

The price adjustment comes at a time when global crude oil benchmarks continue to hover around $100 per barrel. Reports indicate that public sector oil marketing companies in India are currently absorbing heavy under-recoveries, incurring a loss of approximately ₹300 per LPG cylinder due to the gap between international procurement rates and domestic retail prices.