India LPG cylinder price jumps to 942 rupees amid West Asia crisis

The Indian government announced that the price of a standard 14.2 kg domestic LPG cylinder increased by 29 rupees, taking the retail price in Delhi from 913 rupees to 942 rupees. The rise reflects an import‑linked cost of more than 1,600 rupees per cylinder and a loss of about 700 rupees per unit for oil marketing companies.

The increase is attributed to higher global energy prices caused by the West Asia (Red Sea) crisis, which disrupted maritime trade routes and pushed up raw‑material costs. To offset the loss, the government approved a compensation of 30,000 crore rupees for the oil firms and continues to provide a 300‑rupee per‑cylinder subsidy to Ujjwala beneficiaries, covering over 10 million connections.

Domestic LPG production was raised from roughly 32 TMt to 52 TMt, and imports were expanded to include supplies from the United States, Canada and Algeria. Measures to curb misuse of subsidised LPG, such as OTP‑based delivery verification, were also strengthened. Opposition parties have criticized the hike as an added burden on low‑income households, calling it a new “inflation strike” on the public.