LPG Shortage: The shortage of LPG gas amid the US-Iran war has exacerbated difficulties. Hotels have been particularly affected. Long queues for gas are being seen in many cities across the country. However, the government has clarified that the supply of cooking gas (LPG) will not be disrupted due to the war. Indian gas companies have been asked to increase its production. Now the question is where does India get its LPG from and how is it produced.
Amid the US-Iran war, the shortage of cooking gas (LPG) is in the news. The hotel and restaurant industries in Bengaluru, Chennai, and Mumbai have raised the issue of a shortage of gas cylinders due to supply disruptions caused by the ongoing war in the Middle East. The central government responded by stating that the war will not disrupt the supply of cooking gas in the country. Indian gas companies have been asked to increase production.
The Iran-Israel-US war and the resulting disruption of major transportation routes, including the Strait of Hormuz, have led to a price increase of ₹60 for domestic LPG cylinders and ₹115 for commercial LPG cylinders. The question now is where does India get its LPG and how is it produced?
Where does India get domestic gas LPG?
The country obtains cooking gas in two ways: first, through its production in India and second, through imports from other countries. India imports approximately 60 percent of its LPG from other countries. 90 percent of the imported cooking gas comes through the Strait of Hormuz.
India buys most of its cooking gas from the Gulf countries, primarily Saudi Arabia, Qatar, and the United Arab Emirates. These countries account for 60 to 70 percent of its total cooking gas imports. Gas is also imported from the United States, Algeria, and Nigeria. This is why India is so dependent on Middle Eastern countries for gas imports.
In addition to imports, India also produces its own gas. LPG (liquefied petroleum gas) is produced primarily in crude oil refineries and natural gas processing plants. India produces approximately 40-45% of its total gas needs.
Both public and private sector companies manufacture LPG in the country. Public companies include Indian Oil Corporation, Bharat Petroleum Corporation Limited (BPCL), Hindustan Petroleum Corporation Limited (HPCL), Oil and Natural Gas Corporation (ONGC), and Oil India Limited. Some private sector companies also produce LPG, including Reliance Industries' Jamnagar Refinery and Nyara Energy's Vadinar (Gujarat) Refinery.
Video of long queue for cooking gas goes viral
Impact off iran US war,
— 💝🌹💖🇮🇳jaggirmRanbir🇮🇳💖🌹💝 (@jaggirm) March 7, 2026
People are queueing up for. LPG gas agencies
Government should do a press conference and ask people not to worry about petrol Diesel & LPG pic.twitter.com/V8Iygr5f0e
How is LPG made?
LPG is primarily a mixture of two gases – propane and butane – produced during the refining of crude oil and the processing of natural gas.
- Process of producing LPG from crude oil: When crude oil arrives at the refinery, it is heated in a distillation tower. Crude oil is heated to 350-400°C. As the heat builds up, different parts of the oil vaporize and rise. Different products are produced at different heights in the distillation tower. LPG, being the lighter gas, is the first to separate.
- Crude oil
- Process for producing LPG from natural gas: LPG is sometimes produced from natural gas fields. This is the case in many parts of the country, where natural gas is extracted from land or sea. In a processing plant, the gas is cooled and pressurized. Propane and butane are separated from it, which is then converted into LPG.
How big a crisis?
On Monday, the Pune Municipal Corporation temporarily closed the city's gas crematoriums until further notice. However, an official said that electric crematoriums equipped with air pollution control systems and wood-fired crematoriums would continue to operate as usual. Restaurant owners in Maharashtra and Karnataka have also complained that the war has disrupted cooking gas supplies and that they will be forced to close if the situation continues.
Vijay Shetty, president of the India Hotels and Restaurants Association, said, "The gas shortage is spreading rapidly and could soon bring the sector to a standstill. If the shortage continues, Mumbai restaurants will close in the next two days." He said his affiliate organization has written to Petroleum Minister Hardeep Singh Puri, warning that if the situation continues, all restaurants will be forced to close in two days.
Looking at India's LPG imports, we find that approximately 60% of cooking gas is imported from other countries, but India is not completely dependent on imports. 40 to 45% of LPG is produced domestically. However, the government has made it clear that production capacity is being increased so that people will not face a significant gas shortage.
PC:TV9Bharatvarsh
