India’s LPG imports stood at around 20.67 million tonnes (mt) in FY25 and 10.84 mt in H1 FY26
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CV SUBRAHMANYAM
India’s LPG imports stood at around 20.67 million tonnes (mt) in FY25 and 10.84 mt in H1 FY26. India imports around 80–85 per cent of its LPG needs, with the majority sourced from Gulf suppliers — almost entirely transiting the Strait of Hormuz.
Supply review
Top sources brushed aside reports of the situation becoming “alarming” for India’s LPG stocks. They assured that the government is constantly reviewing the situation and is in touch with several market players to keep track of supplies.
“We have around 25-30 days of LPG stocks. Besides, we are now also sourcing from Norway and the US. In fact, US cargoes started coming in last month. We are constantly reviewing the market. OMCs have been scouting for more LPG stocks even before the US-Israel-Iran conflict, as there was an issue with the LPG pipeline in Saudi Arabia (India’s main supplier), which created a deficit of 120,000 tonnes,” said one of the sources.
Regular supplies of LPG are important for India as the country does not have strategic reserves for the key cooking fuel. India consumed more than 31 mt of LPG in FY25, with almost 90 per cent consumed in households for cooking. During the April-January period
India has around 33.08 crore active domestic consumers of LPG, which includes around 10.51 crore beneficiaries under the PM Ujjwala Yojana (PMUY).
LNG Cushion
Government sources said that it has comfortable stocks of liquefied natural gas (LNG) — a key input for industries such as fertilisers, city gas distribution (CGD) and refineries.
“We expect the pause in LNG shipments to last for 7-10 days. Domestic stock position is comfortable with stocks for 2-3 weeks. Besides, India is also contracting the commodity from the US and is exploring supplies from other sources, if the need arises,” said one of the sources.
India imports more than half of its domestic consumption of natural gas, which is supplied in tankers laden with the super-chilled commodity. ICRA points out that roughly 50 per cent of India’s crude oil and 54 per cent of liquefied natural gas (LNG) imports were routed through the Strait of Hormuz in FY25.
Qatar Shock
India’s problems with LNG compounded after QatarEnergy said on Monday that it is closing its LNG production due to the escalating conflict in West Asia. The company accounts for roughly one-fifth of the global trade in the commodity.
QatarEnergy’s 77 million tonne per annum (mtpa) export facility at Ras Laffan is among the world’s largest. The news has already rattled markets with European benchmark gas futures surging to multi-year highs.
The world’s fourth-largest LNG importer bought 35.72 billion standard cubic meters (BSCM) of the super-chilled commodity in FY25 for $14.9 billion, of which around 40-42 per cent was from Qatar.
Published on March 3, 2026