Indian companies have increased the price of liquefied petroleum gas (LPG), which is mainly used for cooking, for the first time in about a year. The price hike comes as global LPG prices rise due to the ongoing conflict involving the United States and Israel against Iran, which has disrupted energy supplies from the Middle East.
Indian Oil Corporation (IOC), the country’s largest oil refiner and LPG supplier, raised the price of a 14.2-kilogram LPG cylinder in Delhi by 7%. The new price is 913 Indian rupees (about $9.93), according to the company’s website. Other state-owned companies, including Bharat Petroleum Corporation and Hindustan Petroleum Corporation, have also increased their LPG prices at the same time.
India is the world’s second-largest importer of LPG. Last year, the country consumed about 33.15 million metric tons of cooking gas, which is made from a mixture of propane and butane. Around two-thirds of this amount is imported from other countries. A large portion of these imports, about 85% to 90%, comes from the Middle East.
Due to concerns about possible supply problems, the Indian government has asked oil refiners to increase LPG production to prevent any shortage of cooking gas in the country.
In addition to household LPG cylinders, companies have also increased the price of commercial LPG cylinders that weigh 19 kilograms and are mostly used by hotels and restaurants. The price of these cylinders has been raised from 1,768.50 rupees to 1,883 rupees.
