The triple squeeze on food trucks
Food trucks and mobile food businesses face higher costs from three directions:
1. Fuel to drive: Gas prices are up 17% since the war started, from $2.98 to $3.48/gallon. Food trucks that drive 100+ miles per week feel this immediately.
2. Fuel to cook: Propane and LPG prices are surging. In India, 90% of restaurants rely on LPG cylinders and face potential closure. U.S. food trucks using propane face similar cost increases.
3. Food ingredients: Oil prices affect every stage of the food supply chain — from fertilizer in fields to diesel trucks delivering ingredients.
Real-world impact
Small food business owners report they cannot keep raising prices on customers who are also feeling the pinch. Many haven’t raised prices since the last inflation wave and have no more room to absorb costs.
Survival strategies for food truck owners
- Optimize routes: Reduce unnecessary driving to cut fuel costs
- Adjust menus: Shift to ingredients with stable pricing
- Negotiate with suppliers: Lock in prices where possible
- Raise prices gradually: Small frequent increases are easier for customers to absorb than big jumps
- Consider electric: Electric food trucks eliminate fuel cost volatility