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India Moves to Secure LPG Supply Amid Middle East Tensions, Orders Refineries to Boost Production

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PM Modi-India increases LPG production to secure cooking gas supply amid Middle East tensions and global energy market uncertainty.
PM Modi-India Boosts LPG Production Amid Middle East Energy Supply Concerns

New Delhi, India — March 10, 2026

India Boosts LPG Production to Safeguard Domestic Supply

Amid rising tensions in West Asia and growing uncertainty in global energy markets, the Government of India has taken steps to secure the country’s supply of liquefied petroleum gas (LPG) used for cooking.

The central government has directed oil refineries across the country to increase LPG production and ensure that domestic consumers receive priority access to cooking gas supplies.

Officials say the move is part of a precautionary strategy as geopolitical tensions in the Middle East could potentially disrupt global energy supply chains.

Government Warns of Possible Energy Supply Risks

The Ministry of Petroleum and Natural Gas said the ongoing conflict in West Asia could impact international energy flows.

India meets a significant portion of its LPG demand through imports, and a large share of those supplies pass through the Strait of Hormuz, one of the world’s most critical energy shipping routes.

Because of this dependency, authorities have instructed refineries to maximize LPG output and ensure additional supply is directed toward household consumption.

Why Domestic Consumers Are Being Prioritized

Government officials clarified that household consumers will be given top priority if international disruptions affect LPG availability.

To prevent panic buying and stockpiling, authorities have introduced a rule requiring a minimum 25-day gap between bookings of domestic LPG cylinders.

The measure aims to ensure that supplies remain stable and that cylinders are distributed fairly among households.

Strategic Importance of the Strait of Hormuz

A substantial share of India’s crude oil and LPG imports originate from West Asia, and much of that energy cargo travels through the Strait of Hormuz.

This narrow maritime passage connects the Persian Gulf to global shipping routes and is considered one of the most strategically important energy corridors in the world.

Any escalation of conflict in the region could raise security risks for shipping traffic passing through the strait, potentially disrupting energy supply to major importing countries, including India.

Possible Impact on Industry and Hospitality Sector

Authorities have also begun reviewing non-domestic LPG consumption, particularly in sectors such as hotels, restaurants, and industrial facilities.

Officials said that if the geopolitical situation worsens, supply to these sectors could be restricted temporarily to prioritize household demand.

However, essential services such as hospitals and educational institutions will continue receiving uninterrupted gas supplies.

Government Monitoring Global Energy Markets

The government’s current strategy focuses on boosting LPG production, tightening distribution controls, and prioritizing household consumption.

At the same time, officials are closely monitoring developments in global energy markets and geopolitical conditions in West Asia.

Energy experts note that cooking gas is an essential household necessity for millions of families across India, making it critical for the government to maintain stable supply even during international disruptions.