India raises LPG supplies to industries, government says

NEW DELHI: India has increased ​supplies of liquefied ​petroleum gas (LPG) to non-household users and removed ​caps on supplies to various commercial sectors after increased availability, the government said in a statement issued on Thursday.

"The restoration ‌follows the ⁠recent ⁠improvement in the LPG supply situation," the government said.

India has ​decided to restore 50% LPG supplies to commercial and industrial ​customers whose allocation had been suspended.


The South Asian nation has also decided to increase the supply of ​propane, butane, and other molecules for ⁠petrochemical production, ‌the government said.

Before the conflict, ​India was ​buying 90% of its LPG imports from ⁠Middle Eastern producers. Those supplies were hit ​following the closure of the Strait of ​Hormuz, forcing India to diversify its purchases raising imports from the U.S.

India's LPG imports from the U.S. are set to top 1 million metric tons in June, a record high. The nation ‌has decided to produce at least 40,000 metric tons daily, the government said.

Due to ​the disruption, ​India had ⁠curtailed LPG supplies to some industries and commercial consumers as it prioritised sales to households. In India LPG, ​a mix of propane and butane, is used as cooking fuel.

The government had also instructed petrochemical makers to divert their feedstock to refiners to maximise local LPG output.