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  LPG gas shortage spreads across food businesses, Raising concerns over daily operations

A growing shortage of cooking LPG gas in the market is beginning to hit businesses across Nepal’s food and hospitality sector, from small tea shops to restaurants. While customer demand remains steady, business operators say they are struggling to secure enough gas to keep their kitchens running normally.

For many businesses, the question is no longer simply how to attract customers or improve services, but “Where will we get gas for tomorrow?”

The shortage has forced operators to spend a significant amount of their working day searching for LPG cylinders, disrupting routine business operations and increasing uncertainty over day-to-day management.

Tea shops caught in the supply squeeze

For Ganesh Dev Pandey, proprietor of Chiyawala, a tea and snack business, the shortage of cooking gas has become one of the biggest operational challenges.

“Normally, we should be focused on making the business more productive and results-oriented. These days, however, we are spending our time managing gas supplies,” Pandey said.

“There is no certainty that gas will arrive at our doorstep when we need it. That situation has affected our confidence.”

Tea shops depend heavily on LPG for preparing tea, snacks and other quick meals. Any disruption in supply can immediately affect their ability to serve customers.

According to Pandey, the shortage has turned what should be a routine procurement process into a daily struggle, taking time and attention away from the core business.

Restaurant forced to bring gas from home

The shortage has also reached established restaurants.

Tama Restaurant in Gairidhara said it has, in some cases, been forced to bring cooking gas cylinders from homes to maintain services according to customer demand.

“An actual shortage has developed in the market. We are spending the whole day trying to arrange cooking gas,” said Anjit Malla operator of the Tama Restaurant.

“We remain focused throughout the day on how to obtain gas. We provide service today, but there is already concern about what will happen tomorrow.”

For restaurants, LPG is not simply another input cost. It is an essential part of kitchen operations. A shortage can directly affect food preparation, service capacity and ultimately customer satisfaction.

‘We are barely managing’

At Pokhara Pizza in Sanepa, the situation is somewhat more manageable because the restaurant relies heavily on firewood for cooking. However, its LPG stock has already been depleted, according to proprietor Bijay Gurung.

“We use firewood extensively, but the gas we had in stock has already run out. One cylinder lasts about four days,” Gurung said.

“It is becoming somewhat difficult to operate the business. We are barely managing.”

While firewood can provide an alternative source of cooking energy for some restaurants, it is not a practical substitute for every business, particularly in densely populated urban areas where space, smoke and safety regulations can limit its use.

Trisara consumes four cylinders a day

The scale of the challenge is particularly evident at Trisara Restaurant, which consumes around four LPG cylinders every day at a single outlet.

Despite sourcing gas from a single supplier, the restaurant has struggled to maintain sufficient stock, according to proprietor Sovan Bir Malakar.

“We have only 15 cylinders in stock here in Lazimpat. We consume four cylinders every day,” Malakar said.

The restaurant’s concern is compounded by rising fuel prices and increasing food costs.

“Fuel prices have increased, and the prices of food ingredients have also been rising. The entire business is being affected,” he said.

With a daily consumption of four cylinders, a stock of 15 cylinders provides only a limited buffer. Any further disruption in supply could therefore quickly translate into operational difficulties.

Customers remain, but capacity to serve is under pressure

The experiences of these businesses suggest that the immediate problem is not necessarily a lack of customers but the inability to consistently serve existing demand because of an unreliable supply of cooking fuel.

Customers continue to visit tea shops and restaurants, but businesses are increasingly having to consider whether they have enough gas to prepare food and beverages.

The shortage is also putting upward pressure on operating costs. Businesses may have to spend additional money and time sourcing cylinders, use more expensive alternative fuels or absorb higher transportation and procurement costs.

At the same time, rising food prices are already squeezing margins in the restaurant and hospitality sector.

Supply disruption could spread through the food sector

Business operators say the immediate priority should be to restore a regular and predictable supply of LPG to commercial users.

If the shortage persists, its impact could extend beyond individual restaurants and tea shops to food prices, employment and the broader hospitality sector.

For thousands of food-service businesses across urban Nepal, reliable access to cooking fuel is not a luxury but a basic requirement for daily operation.

At present, however, the businesses are facing an unusual situation: customers are still coming, demand remains, but the ability to meet that demand is increasingly being threatened by the shortage of LPG.

[ 17 Aug 2026 / fiscalnepal.com ]   
 

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