Govt increases commercial LPG cylinder prices by 50% to ₹3071: Reports
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The Central government on Friday increased the commercial LPG cylinder prices by a whopping 50% to ₹3071.50 per cylinder, from Rs 2078, according to reports.
Prices of the domestic LPG cylinder (14.2 kg) remain unchanged in a bid to protect consumers from the high international crude oil prices.
That said, the move will have a ripple impact on the common man as large consumers today depend on cold kitchens and food delivery platforms.
The move comes in the backdrop of the ongoing West Asia crisis, which has led to severe concerns. This will also significantly jack up the cost of doing out and may come as a negative for food delivery platforms, which have hitherto maintained that rising LPG crisis has not affected the growth much.
Food delivery platforms Eternal said in its latest earnings call that the recent LPG shortage in parts of India has not had any meaningful impact on its growth or profitability so far, with demand on its platform remaining stable despite localised disruptions.
Responding to a query on the potential impact in the current quarter, founder Deepinder Goyal said that while some restaurants in affected areas did face temporary supply issues, the overall business continued to operate without disruption at a platform level. “No meaningful impact yet,” he said, adding that in such situations demand typically redistributes across the platform rather than disappearing.
It may be noted that the Centre has not yet touched the bunk prices of petrol and diesel, but has imposed windfall taxes on exports of fuels to maintain adequate domestic supply.
It may however be noted that the government reduced the windfall tax on exports of diesel and aviation turbine fuel (ATF) effective from today. The levy on diesel exports has been reduced to ₹23 per litre from ₹55.5 per litre, while the duty on ATF exports has been cut to ₹33 per litre from the earlier ₹42 per litre. That said the excise duty on petrol and diesel sold in the domestic market will remain unchanged.