Bengaluru (PTI): The Karnataka State Hotels Association on Saturday urged the government to immediately reduce the GST on 19 kg commercial LPG cylinders from 18 per cent to 5 per cent.

The demand has come in the wake of the price of commercial LPG being hiked by the steepest ever Rs 993 per 19-kg cylinder on Friday, marking the third straight monthly increase due to rising global energy prices linked to the West Asia conflict.

G K Shetty, President of the Association, in a statement, said the hike of Rs 1,308 in 60 days announced by the government (via oil marketing companies) is the sharpest increase in recent times.

Prices have risen from the roughly Rs 1,800 - Rs 2,000 range in March to Rs 3,100 plus now, he said, with the total increase ranging from 50 per cent to 70 per cent within 60 days, depending on the base city and timing.

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"If immediate corrective measures are not taken, businesses will have no option but to pass on the increased costs to consumers, making eating out more expensive and affecting overall demand," he said.

Highlighting that the hotel and restaurant industry was facing an unprecedented crisis triggered by global disruptions, including the ongoing war, which has severely impacted supply chains, he further said, the shortage of commercial LPG, coupled with steep price increases, has significantly escalated operational costs for hotels and eateries across the state.

"The recent hike in commercial LPG prices will further intensify inflationary pressures," Shetty stated.

Noting that the hospitality sector, still recovering from the setbacks of recent years, is now grappling with multiple challenges, the association said, in addition to rising fuel costs, businesses are burdened with local levies such as garbage collection charges in Bengaluru and other regulatory expenses.

These cumulative pressures have already forced several small and medium establishments to shut down, while many others are struggling to sustain operations, it said.

The Association emphasised that reducing GST on commercial LPG is a critical step to contain the cascading effect of rising costs across the value chain.

Lower taxation would provide immediate relief to the industry, help stabilise prices, and protect both businesses and consumers from further financial strain, it said, urging the government to immediately reduce the GST on 19 kg commercial LPG cylinders from 18 per cent to 5 per cent.

KSHA has called upon the state and central governments to act swiftly and decisively.

"The hospitality industry is a major contributor to employment and the economy. Supporting this sector during such challenging times is essential to ensure its survival and long-term sustainability," Shetty said.

The Association reiterated its commitment to working collaboratively with policymakers to find viable solutions but stressed that urgent intervention is necessary to prevent further closures and economic distress within the sector.

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Jabalpur (PTI): Army divers and disaster response teams on Saturday expanded their search at Bargi Dam in Madhya Pradesh to locate a man and three children still missing after the cruise boat tragedy that claimed nine lives two days ago, officials said.

With 28 of the 41 identified passengers onboard the ill-fated cruise boat rescued safely, police are preparing to register an FIR in connection with the accident that occurred at the reservoir in Jabalpur district on Thursday evening, they said.

The search radius has been expanded to 5 km in the backwaters of the Bargi Dam, located downstream of the Narmada River, area sub-divisional officer of police (SDOP) Anjul Ayank Mishra told PTI.

Nine people drowned in the incident, while 28 were rescued, and efforts are ongoing to trace the missing persons, he said.

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According to the police, more than 200 rescuers, including around 20 Army divers airlifted from Agra, began the search operation at 5 am on Saturday to trace Kamraj, an employee of the Ordnance Factory in Khamaria, his son Tamil (5), Vijay Soni (6) and Mayuram (5).

Mishra said that an inquest case has been registered and the post-mortem of nine deceased persons has been completed.

"Our priority is to search for the missing persons. We will soon register an FIR," he said.

Investigators have said that CCTV footage near the boarding point showed 43 people heading towards the ill-fated boat, and the names of 41 persons, who boarded the vessel, have been ascertained so far.

Collector Raghvendra Singh confirmed that a search is underway for four missing persons.

The rescue operation, being carried out by the National Disaster Response Force (NDRF), State Disaster Response Force (SDRF) and local divers, was briefly affected around 9 am due to strong winds.

The state government on Friday ordered a probe into the incident and dismissed three crew members after survivors alleged negligence and safety lapses, including failure to provide life jackets.

The government also banned the operation of similar vessels in the state.

The boat, operated by the state tourism department, sank during a sudden storm around 6 pm on Thursday, and the wreckage was retrieved from the dam water on Friday, after the rescuers confirmed that there were no more bodies inside.

Eyewitnesses have said that strong winds made the water choppy, prompting passengers to raise an alarm and ask the crew to steer the vessel towards the riverbank.

A survivor alleged negligence by the crew and described a last-minute scramble for life jackets.