India raises jet fuel, commercial LPG prices as Middle East crisis drives global surge
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India, the world's second-largest LPG importer, is battling its worst gas crisis in decades.
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NEW DELHI – Indian fuel retailers raised jet fuel and commercial liquefied petroleum gas (LPG) prices on April 1, following a sharp spike in global prices due to the US-Israeli war on Iran.
India, the world’s second-largest LPG importer, is battling its worst gas crisis in decades, with the government cutting supplies for industries to shield households from a shortage of cooking gas.
Domestic fuel retailers have hiked prices of aviation turbine fuel by 8.58 per cent to 104,927 rupees (S$1,430) per kilolitre and commercial LPG by 10.38 per cent to 2,078.50 rupees per 19kg cylinder in the capital city of New Delhi, Indian Oil Corporation’s website showed.
“In order to insulate the domestic travel costs from the substantial increase in international prices, PSU Oil Marketing Companies of the Ministry of Petroleum, in consultation with Ministry of Civil Aviation, have passed only a partial and staggered increase of 25 per cent to the airlines”, the ministry said in a post on social media platform X.
The price increase in commercial cylinders is due to a 44 per cent surge in the Middle Eastern benchmark Saudi Contract Price, as 20 per cent to 30 per cent of global LPG supplies are stuck in Strait of Hormuz, the ministry said.
The country consumed 33.15 million metric tons of LPG, or cooking gas, in 2025, with imports accounting for about 60 per cent of the total.
About 90 per cent of those imports came from the Middle East.
The consumption of commercial cylinders, used by industries and hotels, is less than 10 per cent of the total LPG consumed in the country and the prices are revised on a monthly basis, the ministry said.
The 14.2kg domestic gas cylinder prices have been kept unchanged to protect domestic customers from the price surge, the ministry added.
To tackle the LPG crisis, India has increased domestic daily LPG production by 40 per cent to 50,000 metric tons against a requirement of 80,000 tons and Indian companies have secured 800,000 tons of LPG cargoes from the US, Russia, Australia and other countries. REUTERS
