Amid the shortage of LPG cylinders due to the effective suspension of maritime traffic through the Strait of Hormuz, the government on Saturday, March 14, started the commercial distribution of LPG cylinders in all states and Union Territories (UTs).
“After extensive discussions, the government has decided that commercial consumers will also get LPG. Commercial distribution of cylinders has started in various states and consumers have started receiving them,” said Sujata Sharma, Joint Secretary, Ministry of Petroleum and Natural Gas.
The move is expected to provide much-needed relief to the Indian industry, especially the hospitality sector, which is facing major difficulties due to shortage of LPG cylinders.
Panic buying on the rise
However, Sharma also said that panic buying continued to rise — LPG bookings by household consumers jumped nearly 60% on Friday — despite sufficient stocks being available to meet domestic demand for LPG by households.
The government has also asked oil marketing companies (OMCs) to launch a campaign promoting digital booking of LPG refills and spread awareness among consumers to prevent panic buying.
Indian LPG needs
India depends on imports to meet around 60% of its LPG needs, with 90% of LPG imports coming via the Middle East through the crucial Strait of Hormuz, where maritime traffic continues to remain halted due to the conflict between the US and Israel on one side and Iran on the other.
Even as two Indian-flagged tankers passed through the disputed strait early on Saturday, US President Donald Trump pledged the US Navy’s support to keep traffic moving through the key strait.
As the situation in the Middle East continues to evolve, follow LIVE updates on LPG cylinder prices and supplies right here.
