The India LPG shortage has intensified due to the ongoing West Asia war, disrupting key supply routes and delaying deliveries across the country. To ease the situation, Argentina has increased LPG shipments to India.
Argentina shipped 50,000 tonnes of LPG in the first three months of 2026, more than double the 22,000 tonnes supplied in 2025.
According to The Economic Times, about 39,000 tonnes were dispatched from the Port of Bahia Blanca before the war escalated. Another 11,000-tonne cargo was shipped on March 5, 2026.
India LPG Shortage: Argentina Becomes a New Supply Partner
Argentina had no LPG exports to India before 2024. However, it has quickly emerged as a key supplier helping to address the LPG shortage.
Bilateral trade between the two countries is also growing. It rose 36.77% to $6.34 billion between January and November 2025.
India is now Argentina’s fifth-largest trading partner, strengthening energy cooperation.
India LPG Shortage Caused by Strait of Hormuz Disruption
The LPG shortage is mainly linked to disruptions in the Strait of Hormuz.
This route previously handled around 85% of India’s LPG imports, mainly from Qatar and other Middle East countries.
However, tensions in West Asia and the closure of the Strait have disrupted shipments and increased supply uncertainty.
India LPG Shortage Impact on Households
TheLPG shortage has directly affected households across the country.
Earlier, LPG cylinders were delivered within a few days. Now, delivery times have increased to two to three weeks in many areas.
In some regions, delays are even longer. This has made daily cooking difficult for many families.
India LPG Shortage Hits Restaurants and Small Businesses
Commercial establishments are struggling due to the LPG shortage.
Restaurants, small eateries, and catering services are cutting operations or shutting down temporarily.
Irregular supply has made it difficult to run businesses efficiently.
India LPG Shortage Slows Industrial Production
The LPG shortage is also impacting industries, especially in Gujarat.
Factories using LPG have reduced output or halted operations. This has led to job losses and uncertainty.
Many migrant workers are returning to their hometowns due to reduced employment opportunities.
Conclusion
Argentina’s increased exports are offering short-term relief from the LPG shortage. However, the ongoing West Asia conflict continues to threaten supply stability.
India may need to diversify its LPG import sources to avoid future disruptions.
