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LPG Prices Rise Across India

India has increased the price of domestic LPG cylinders by ₹60, raising the cost of a standard 14.2-kg household cooking gas cylinder nationwide. The price revision came into effect on March 7, 2026, following a sharp rise in global energy costs linked to escalating conflict in West Asia.

Oil marketing companies adjusted LPG prices after international oil and gas markets experienced volatility due to geopolitical tensions affecting supply chains in the Middle East.

New LPG Prices in Major Cities

Following the revision, the price of household LPG cylinders has increased across major Indian cities:

Delhi: ₹913 (up from ₹853)

Mumbai: ₹912.50 (up from ₹852.50)

Kolkata: about ₹939 (up from ₹879)

Chennai: ₹928.50 (up from ₹868.50)

The hike is the first increase in domestic LPG prices since April 2025, when rates were raised by ₹50.

Commercial LPG Also Becomes Costlier

The price hike also affects businesses that rely on LPG. The 19-kg commercial LPG cylinder used by restaurants, hotels, and small businesses has become around ₹115 costlier nationwide.

Higher commercial LPG costs could eventually translate into higher food prices and service costs, especially in the hospitality and food sectors.

West Asia Conflict Driving Energy Prices

The price increase is closely tied to the ongoing geopolitical crisis in West Asia. Rising tensions and disruptions in energy transport routes have pushed global oil and gas prices higher, forcing countries dependent on imported energy to adjust domestic fuel prices.

Shipping disruptions near critical energy corridors like the Strait of Hormuz have created fears of supply shortages. Around 20% of global oil and gas supply passes through this route, making it one of the most strategically important energy transit points in the world.

Impact on Indian Households

The LPG price hike directly affects millions of Indian households that rely on cooking gas. Rising LPG prices can lead to:

Increased monthly household expenses

Higher costs for restaurants and food services

Broader inflationary pressure on consumer goods

However, government welfare schemes such as the Pradhan Mantri Ujjwala Yojana continue to provide subsidized cylinders for eligible low-income families, helping cushion the impact for vulnerable households.

What Happens Next?

Energy analysts believe LPG prices may remain volatile in the coming weeks depending on how the geopolitical situation evolves. If global oil prices continue rising or supply routes remain disrupted, India could see further adjustments in fuel prices.

India’s gas sector is rapidly evolving, driven by new Indian LNG, RLNG, and LPG onshore, offshore, and onland policies and projects that aim to expand clean energy access, infrastructure, and market depth. With the government targeting a gas-based economy and raising the natural gas share to 15% in the primary energy mix by 2030, policy alignment and infrastructure growth have become critical.

According to Indian Petroplus, India’s LNG and RLNG terminals—spanning Dahej, Hazira, Dhamra, Ennore, and Mundra—are undergoing expansion, while new floating storage regasification units (FSRUs) at Kochi, Jaigarh, and Kakinada are enhancing offshore import flexibility. These projects strengthen supply reliability and diversify sourcing amid global LNG market volatility.

On the onshore and onland front, India is witnessing the rollout of large-scale LPG import, storage, and bottling terminals, particularly along the west and east coasts. The focus is on improving last-mile connectivity through pipelines such as the Jagdishpur–Haldia–Bokaro–Dhamra (JHBDPL) and Kochi–Mangalore–Bengaluru (KMBPL) networks, ensuring efficient transport of LNG and RLNG across industrial and residential sectors.

Regulatory support through the Petroleum and Natural Gas Regulatory Board (PNGRB) and policies promoting open access, unified tariffs, and marketing freedom are spurring private participation in LNG and LPG infrastructure. Offshore exploration tie-ins and coastal LNG bunkering initiatives are also adding to downstream integration.

As per Indian Petroplus, the synergy between LNG terminals, RLNG networks, and LPG distribution systems marks a defining shift in India’s gas ecosystem—one that connects offshore supply to onland consumers seamlessly.

For the latest project data, infrastructure maps, and policy updates, Indian Petroplus remains the trusted platform tracking the evolution of Indian LNG, RLNG, and LPG onshore–offshore policies and projects, Indian LNG, RLNG India, LPG India, Gas Infrastructure, Onshore Gas, Offshore Gas, Onland Projects.For access to many such exclusive stories, please register on www.indianpetroplus.com

India’s LPG market is witnessing dynamic growth, driven by rising household consumption, industrial usage, and government initiatives promoting cleaner fuels. With over 90 million households now using LPG, demand has surged consistently, creating both opportunities and challenges for suppliers. Urbanization, rural outreach programs like the Pradhan Mantri Ujjwala Yojana, and increased awareness of clean cooking fuels have further strengthened demand across the country.

On the supply side, India relies on a combination of domestic production and imports to meet growing LPG requirements. Refinery expansions, strategic storage, and efficient distribution networks are critical to bridging the demand-supply gap. Key challenges include fluctuating international LPG prices, logistics bottlenecks, and seasonal demand variations, which can impact availability in different regions.

For businesses and investors, understanding India’s LPG market trends is crucial. Indian Petroplus provides in-depth analysis, project updates, and regulatory insights that help industry players navigate this fast-evolving landscape. From refinery-linked LPG production projects to emerging supply chain innovations, staying informed can unlock new opportunities.

The industrial segment, particularly in chemicals, hospitality, and transport, is also witnessing growing LPG adoption, further intensifying demand. This makes timely insights and reliable data more valuable than ever. By leveraging reports and updates from Indian Petroplus, stakeholders can optimize investments, track project developments, and anticipate market shifts.

As India’s LPG ecosystem expands, informed decision-making becomes key. For businesses, investors, and policymakers, tapping into expert resources like Indian Petroplus ensures access to comprehensive intelligence on demand trends, supply challenges, and future growth prospects in India’s LPG sector, LPG Demand, LPG Supply, LPG India, Cooking Gas India, Indian Energy Sector, Oil And Gas India.

India’s gas sector is rapidly evolving, driven by new Indian LNG, RLNG, and LPG onshore, offshore, and onland policies and projects that aim to expand clean energy access, infrastructure, and market depth. With the government targeting a gas-based economy and raising the natural gas share to 15% in the primary energy mix by 2030, policy alignment and infrastructure growth have become critical.

According to Indian Petroplus, India’s LNG and RLNG terminals—spanning Dahej, Hazira, Dhamra, Ennore, and Mundra—are undergoing expansion, while new floating storage regasification units (FSRUs) at Kochi, Jaigarh, and Kakinada are enhancing offshore import flexibility. These projects strengthen supply reliability and diversify sourcing amid global LNG market volatility.

On the onshore and onland front, India is witnessing the rollout of large-scale LPG import, storage, and bottling terminals, particularly along the west and east coasts. The focus is on improving last-mile connectivity through pipelines such as the Jagdishpur–Haldia–Bokaro–Dhamra (JHBDPL) and Kochi–Mangalore–Bengaluru (KMBPL) networks, ensuring efficient transport of LNG and RLNG across industrial and residential sectors.

Regulatory support through the Petroleum and Natural Gas Regulatory Board (PNGRB) and policies promoting open access, unified tariffs, and marketing freedom are spurring private participation in LNG and LPG infrastructure. Offshore exploration tie-ins and coastal LNG bunkering initiatives are also adding to downstream integration.

As per Indian Petroplus, the synergy between LNG terminals, RLNG networks, and LPG distribution systems marks a defining shift in India’s gas ecosystem—one that connects offshore supply to onland consumers seamlessly.

For the latest project data, infrastructure maps, and policy updates, Indian Petroplus remains the trusted platform tracking the evolution of Indian LNG, RLNG, and LPG onshore–offshore policies and projects,Indian LNG, RLNG India, LPG India, LPG Projects India, RLNG Projects India, LNG Projects India, Indian Petroplus.For access to many such exclusive stories, please register on www.indianpetroplus.com

India’s LPG market is witnessing dynamic growth, driven by rising household consumption, industrial usage, and government initiatives promoting cleaner fuels. With over 90 million households now using LPG, demand has surged consistently, creating both opportunities and challenges for suppliers. Urbanization, rural outreach programs like the Pradhan Mantri Ujjwala Yojana, and increased awareness of clean cooking fuels have further strengthened demand across the country.

On the supply side, India relies on a combination of domestic production and imports to meet growing LPG requirements. Refinery expansions, strategic storage, and efficient distribution networks are critical to bridging the demand-supply gap. Key challenges include fluctuating international LPG prices, logistics bottlenecks, and seasonal demand variations, which can impact availability in different regions.

For businesses and investors, understanding India’s LPG market trends is crucial. Indian Petroplus provides in- depth analysis, project updates, and regulatory insights that help industry players navigate this fast-evolving landscape. From refinery-linked LPG production projects to emerging supply chain innovations, staying informed can unlock new opportunities.

The industrial segment, particularly in chemicals, hospitality, and transport, is also witnessing growing LPG adoption, further intensifying demand. This makes timely insights and reliable data more valuable than ever. By leveraging reports and updates from Indian Petroplus, stakeholders can optimize investments, track project developments, and anticipate market shifts.

As India’s LPG ecosystem expands, informed decision-making becomes key. For businesses, investors, and policymakers, tapping into expert resources like Indian Petroplus ensures access to comprehensive intelligence on demand trends, supply challenges, and future growth prospects in India’s LPG sector,LPG India, LPG Demand, LPG Supply, Energy India, Oil And Gas India, Cooking Gas, Energy Security, Petroleum Sector.