| Market News | LPG | 03-Apr-2026 |
US LPG price recap
US LPG (Non-TET) prices increased sharply by 1.24% on 2nd Apr’26 compared to the previous closing price. On a weekly basis, prices decreased by 6% W-o-W to USD 421 per ton, down from USD 448 per ton in the week ending 31st Mar’26 after some ease in supply as selected LPG vessels reached key destinations like India.
India’s LPG import slump in March’26 signals Gulf disruption impact, triggers strategic shift toward US supply
- India’s LPG import profile shifted sharply in March, with total volumes declining 31.5% MoM to 1,462 KT (down 674 KT), driven by a steep 59.9% drop in Gulf supplies (ex-Iran) to 788 KT (-1,177 KT), reducing their share from 92.0% to 53.9% amid disruptions around the Strait of Hormuz. This was partially offset by a surge in imports from the United States, which rose 374% MoM to 533 KT (+421 KT), lifting its share to 36.5%, alongside incremental volumes from Iran (42 KT, +139%), the Russian Federation (32 KT), Indonesia (23 KT, +27.9%), and Argentina (23 KT). Despite this rebalancing, the shift toward long-haul cargoes implies higher freight intensity and longer supply chains, reinforcing near-term tightness and upward pressure on delivered LPG costs.
- India’s LPG balance under pressure as Hormuz disruptions persist, with vessel arrivals providing short-term supply relief;
India’s LPG supply–demand balance remains under near-term pressure amid geopolitical disruptions, with domestic demand estimated at 92.6–95.0 KT/day (~33 MMT annually), of which 55–60 KT/day (60–65%) is met through imports and ~35 KT/day from domestic production; notably, ~90% of imports transit through the Strait of Hormuz, creating significant exposure to ongoing disruptions. Recent vessel inflows have provided partial relief, with Hellas Gladiator (24 KT, Netherlands) and Gas Jupiter (24 KT, United States) having arrived on March 30 at Ennore Port and Visakhapatnam Port respectively, followed by BW TYR reaching Mumbai on March 31; BW ELM has arrived on Indian seas on April 1 after successfully transiting the Strait of Hormuz under Indian Navy escort as part of Operation Urja Suraksha. Earlier arrivals of Jag Vasant and Pine Gas (combined 92.6 KT; March 26–27) added roughly one day of national demand cover, along with the previously discharged Shivalik and Nanda Devi cargoes (92.5 KT; March 15–16) offering temporary relief despite persistent structural supply risks.
Commercial LPG Price Hike — 1st April 2026 (Delhi)
- Commercial LPG prices increased by ₹195.50 per 19-kg cylinder on April 1, 2026. A 19-kg cylinder now costs ₹2,078.50 in Delhi — up from ₹1,883 earlier. This is the second monthly increase, following a ₹114.50 rise in March. The hike affects restaurants, hotels, and small businesses. The adjustment indicates that prior increases in international prices, along with possible margin realignments, are still being passed through in the domestic market. In comparison, the 14.2 kg domestic LPG cylinder price has increased by only ₹60 (7%), with no change in the latest revision. This indicates a relatively controlled and stable pricing approach for household consumers in contrast to the continued upward adjustments in the commercial segment. International LPG benchmarks have also seen increases over the period, with Mont Belvieu prices rising by ₹110 (25%) and Landed CIF prices by ₹125 (20%) on 1st Apr’26 as compared to 1st Feb’26. However, the magnitude of increase in commercial LPG prices, particularly in absolute terms, remains notably higher than that of domestic cylinders.