India LPG production has increased by around 10% as Indian refineries ramp up output amid concerns over commercial LPG shortages triggered by the ongoing West Asia conflict.
According to government officials, refineries operated by Indian Oil, Bharat Petroleum, and Hindustan Petroleum have increased production to stabilise supply across the country.
India LPG Production Increased to Support Household Demand
Officials said the rise in LPG production is aimed at ensuring uninterrupted supply for domestic consumers.
Household LPG demand remains the government’s top priority. As a result, restaurants and other commercial establishments may face temporary supply constraints.
Industry sources said some commercial enterprises across several states have reported shortages of blue LPG cylinders used by restaurants and hotels.
LNG and LPG Imports to Support India LPG Production
Fresh LNG and LPG cargoes have started arriving from countries including Algeria, Australia, Canada and Norway.
Officials believe these imports will support the increase in India LPG production and help stabilise supply in the coming weeks.
Committee Monitoring Commercial LPG Shortage in India
The Ministry of Petroleum and Natural Gas has formed a committee to monitor commercial LPG shortages.
The committee includes three executive directors from Indian Oil, Bharat Petroleum and Hindustan Petroleum. It will review supply requests from restaurants and other commercial users.
Officials said the committee will assess requirements on a case-by-case basis.
Middle East Still Key for LPG Production and Imports
India’s energy security remains closely tied to imports from the Middle East.
Qatar accounts for about 42.22% of India’s LNG imports, followed by the United States, UAE, Angola and Nigeria.
For LPG imports, the UAE and Qatar together supply more than 62% of India’s total imports, followed by Saudi Arabia and Kuwait.
The United States is also emerging as a strategic supplier and is expected to account for around 10% of India’s LPG supply by 2026.
