LPG supply fears rise across India

New Delhi, March 12, 2026:
Concerns over a potential shortage of cooking gas are growing across India after escalating conflict in West Asia disrupted shipping through the Strait of Hormuz, one of the world’s most important energy routes.

The disruption has slowed the movement of oil and gas tankers in the region, affecting supplies of liquefied petroleum gas (LPG) to several countries, including India. Industry experts warn that prolonged disruption could impact cylinder availability, prices, and supply chains across the country.

Heavy dependence on Gulf imports

India relies heavily on imports to meet its cooking gas demand. Around 60% of the country’s LPG requirement is imported, and a large portion of these shipments come from Gulf nations such as Qatar, Saudi Arabia, and the United Arab Emirates.

Most of these cargoes travel through the Strait of Hormuz, making the route critical for India’s energy security. The ongoing conflict in the region has caused tanker traffic to drop sharply, delaying shipments and raising concerns about supply shortages.

Impact already visible in some sectors

Early signs of disruption are emerging in several parts of the country. Restaurants, hotels, and catering businesses that rely on commercial LPG cylinders have reported delays in deliveries and reduced supplies.

In some cities, eateries have started modifying menus or cutting down operations due to limited cooking gas availability. Some kitchens are switching to simpler meals or electric cooking equipment to cope with the shortage.

Industry associations warn that if supplies do not stabilise soon, the hospitality sector could face operational challenges, particularly during the upcoming wedding and festival seasons.

Government steps to prevent shortage

The Indian government has initiated emergency measures to prevent a major supply crisis. Oil refineries have been instructed to increase LPG production and operate at full capacity, while supplies are being prioritised for household consumption.

Authorities have also urged citizens not to panic-book LPG cylinders and to conserve energy while the situation stabilises.

Officials say domestic output has been ramped up and additional cargoes are being sourced from alternative markets to maintain supply.

Global energy markets under pressure

The crisis has also affected global energy markets. The Strait of Hormuz normally handles a significant portion of global oil and gas shipments, and disruptions there have pushed crude oil prices higher while increasing shipping risks for energy companies.

Energy analysts warn that prolonged instability in the region could lead to higher fuel costs worldwide and supply uncertainties for major importing countries such as India.

Situation under close watch

Government agencies and oil marketing companies are closely monitoring LPG stocks and supply chains to ensure households continue receiving cylinders without major disruption.

For now, officials maintain that domestic consumers will remain the top priority, even as India navigates the impact of the West Asia conflict on global energy routes.