India’s LPG supply chain has come under stress after rising tensions in the Middle East disrupted shipping through the Strait of Hormuz, one of the world’s most critical energy routes. Reports of long queues outside gas agencies, delays in cylinder deliveries, and restaurant closures have raised concerns about a cooking gas shortage. While the government says there is no overall shortage and calls the panic “demand-driven,” commercial LPG sales have been restricted to prioritize household consumption.
India consumes over 31 million tonnes of LPG annually, and more than half of it is imported—mostly from Middle Eastern countries such as the UAE, Qatar, Saudi Arabia, and Kuwait. Around 80–90% of LPG shipments to India pass through the Strait of Hormuz, making the supply highly vulnerable to disruptions in the region. When maritime traffic slowed due to the conflict, LPG supplies felt the impact almost immediately.
Petrol and diesel supplies remain largely unaffected because they are produced from crude oil sourced from a much wider range of countries. About 70% of India’s crude imports now come from routes outside Hormuz, including significant supplies from Russia. India also maintains strategic crude oil reserves and has strong refining capacity, which helps cushion any short-term disruptions in fuel supply.