India is facing a tightening LPG supply situation as both imports and domestic production decline sharply.
According to recent data, monthly LPG imports have dropped to nearly half of February levels, continuing a downward trend seen in March. At the same time, domestic LPG output has fallen by around 10% from its March peak, further worsening supply conditions.
The decline is largely linked to disruptions in global energy supply chains, particularly due to tensions in West Asia and challenges in key shipping routes like the Strait of Hormuz, which is critical for India’s fuel imports.
India relies heavily on imports to meet its LPG demand, with a significant portion sourced from Middle Eastern countries. Any disruption in this region has a direct impact on domestic availability.
The combined fall in imports and output is tightening overall supply, raising concerns for households, restaurants, and industries that depend on LPG as a primary fuel.
As the situation evolves, India is exploring alternative sourcing options and boosting domestic production, but supply pressures are likely to persist in the near term.
