India's May fuel consumption up 2.4%; LPG demand drops 20% amid Hormuz disruptions

India's fuel consumption rose to 19.93 million metric tons in May, while liquefied petroleum gas consumption continued to decline, data from the Petroleum Planning and Analysis Cell (PPAC) of the oil ministry showed.

Fuel consumption inched up from 19.47 million metric tons in April, but fell 6.5% from May last year.

Data ‌also showed ⁠that ⁠LPG consumption fell about 20% from a year earlier to 2.13 million tons.


The country was facing its worst LPG supply crisis in decades due to shipping disruptions in the Strait of Hormuz amid the U.S.-Israeli war with Iran.

India buys about 90% of its LPG imports - mainly used for cooking - from the Middle East.

The U.S. Treasury ⁠Department said ‌that it had imposed sanctions on a network of individuals, entities, and tankers smuggling Iranian-origin liquid petroleum gas disguised as ⁠Omani LPG to South and East Asia.

Data showed gasoline sales were down 6.1% from April and down 3.4% from a year earlier. Meanwhile, diesel consumption was up 1.6% from a year earlier and gained 4.8% month-on-month.

India's state-owned fuel retailers increased diesel prices by 2.71 rupees ($0.0283) per litre and petrol by 2.61 rupees, dealers said, the fourth hike in May to recoup ‌some losses driven by higher crude costs.

Naphtha sales fell 29% year-on-year, while bitumen consumption, used primarily in road construction, fell 32% from April and ⁠was down about 39% on an annual basis.

Fuel oil usage jumped about 24% from a year earlier.

India is expected to see slower growth in gasoline and diesel demand this year after a series of price hikes last month, reflecting higher oil costs triggered by the war in Iran, with early signs of stress already visible in the trucking sector.

Domestic sales

Product	May 2026	Apr 2026	Mar 2026	May 2025	Apr 2025	Mar 2025
Diesel	8.73	8.33	8.73	8.59	8.26	8.08
Petrol	3.91	3.68	3.78	3.78	3.45	3.51
LPG	2.13	2.21	2.38	2.68	2.55	2.73
Naphtha	0.67	0.76	0.94	0.95	0.94	1.03
Jet fuel	0.78	0.77	0.81	0.78	0.77	0.80
Kerosene	0.03	0.03	0.04	0.04	0.03	0.03
Fuel Oil	0.63	0.49	0.65	0.50	0.49	0.50
Bitumen	0.52	0.58	1.02	0.86	0.86	1.09
TOTAL	19.93	19.47	21.37	21.31	20.23	20.70