Iran, Israel The ongoing war between India and America seems far away, but its impact has reached the Indian state of Rajasthan. Especially the business of palace hotels, heritage resorts and destination weddings of Rajasthan is being adversely affected. In Rajasthan, people hold grand weddings in big palaces and hotels like old forts. This business was growing rapidly in cities like Jaipur, Udaipur, Jodhpur.
Hoteliers were thinking that due to war and tension in the Middle East, rich people would get their luxury weddings done in Rajasthan instead of Dubai or Abu Dhabi. But suddenly a new problem has emerged – shortage of commercial LPG cylinders (large gas cylinders used for cooking in hotels and restaurants).
Why was there a shortage of LPG cylinders?
This war is affecting the oil and gas ships passing through the Strait of Hormuz. India buys a lot of LPG from abroad, and mostly it comes from Gulf countries. Due to the war the movement of ships stopped. The Government of India decided that first priority should be given to domestic gas (Domestic LPG) used in homes. Therefore, the supply of commercial 19 kg large cylinders was reduced or stopped in many places.
Hotel, caterers and banquet hall owners are very worried. The wedding season is going on, where a lot of food has to be prepared for hundreds and thousands of guests. Now if you are not getting gas:
- The food menu may have to be shortened.
- Cooking costs are increasing
- Some hotels are trying to use induction, electric stoves or wood, but it is difficult on a large scale.
The price of 19 kg commercial cylinder has also increased by about Rs 115. There is a delay of 2 to 8 days in refill. If this problem continues for more than a week, weddings and big events will be adversely affected.
Further impact on Rajasthan’s economy: This war is not limited to gas only. The economy of Rajasthan is linked to the Gulf countries in many ways:
1. Problem of migrant workers
Thousands of people from many areas of Rajasthan, especially the tribal districts like Dungarpur, Banswara and Pratapgarh of southern Rajasthan, work in Gulf countries like Kuwait, Dubai. They work in construction, hotel and service sectors. It is estimated that around 30,000 people from Rajasthan are in Kuwait. Due to the war, flights are being stopped and tension is increasing. These people send about Rs 5,000 crore home every year, which helps the families in the villages survive. Now jobs are in danger, people are returning. Some groups have already returned, like 106 people from Jodhpur who came from Dubai via Kochi or Ahmedabad.
2. Impact on export business
10% of Rajasthan’s exports (handicrafts, furniture, textiles, stones, jewellery) go to Gulf countries. Business slowed down due to stoppage of shipping and expensive insurance. Wooden furniture and metal craft of Jodhpur are most affected. Jaipur’s gemstone and jewelery industry is also in trouble, as trade from hubs like Dubai and Hong Kong is being affected. Changing air routes made cargo expensive and slow. Exporters say that the warehouses are full and they are not able to send the goods.
3. Mixed effect on tourism
Something good may also happen, because of the war, people may consider Rajasthan as a safe place instead of Dubai and plan weddings or tours here. But due to expensive flights and changing routes, tourists coming from Europe and America are decreasing. Many people are postponing trips. Last-minute cancellations have increased in cities like Jaipur, Udaipur.
What is happening overall?
This war is showing a state like Rajasthan how much our local economy is connected to global events. Everything from villages to hotel kitchens, export warehouses and tourist spots is affected. If the war ends soon and ships start moving through the Strait of Hormuz, then many problems can be reduced. But if this continues for a long time, energy will become expensive, business will stop, workers will lose their jobs and inflation will increase. Hoteliers, caterers and traders of Rajasthan are hoping that the government will soon provide some relief, like increasing the supply or making alternative arrangements. Right now the wedding season seems to be in danger, and people are worried.
Comments are closed.