🔗 Share this article ‘An Alarming State of Affairs’: Conflict on Iran Constricts India's LPG Supplies. People queue up to buy LPG tanks for home cooking in a major Indian city. The repercussions of a military engagement being fought nearly 3,000km away are now reaching India's households. As US-Israeli strikes on Iran impede energy transports through the vital shipping lane, availability of kitchen fuel are shrinking across India, pushing restaurants to shorten food lists, close earlier and in some cases close completely. Social media is filled with video clips showing queues outside LPG distributors across Indian urban and rural areas as anxieties over fuel supplies grow. Commercial LPG users appear the most affected: the biggest crunch is in food service establishments. "The situation is dire. Kitchen fuel simply cannot be found," says a representative of the National Restaurant Association of India. Most food outlets run either on business-grade gas tanks or direct gas lines, and the lack of supply are now being felt across the country. "Many restaurants have ceased operations - some in northern India, many in the southern region. People are turning to solid fuels and induction stoves to keep their operations going." Localized Effects In Mumbai, media reports say up to a 20% of hospitality businesses are already operating at reduced capacity as commercial LPG supplies dwindle. In the southern cities of Bangalore and Madras, some restaurants say their fuel reserves have dwindled with scarce alternatives. "Our menu is reduced to coffee and nothing else - it is truly dismal. Businesses are going to suffer," says a restaurant owner in Bengaluru. A food joint in Chennai which has ceased operations due to a scarcity of LPG. Restaurant operators are scrambling to adapt. "Food options are being cut, some are opening only for dinner and reducing hours," an industry representative says, adding that stoppages are changing as supplies wax and wane. "Several establishments in Delhi were shut yesterday - a couple are back in business. It's a fluid situation." Retailers observe a spike in sales of induction stoves, with some saying they are selling out quickly. Government Stance Yet, the officials insists there is sufficient stock. India has more than 30 crore home fuel subscribers and spokespersons say cylinders are being redirected to households as geopolitical strain from the regional hostilities ripple through energy markets. About a majority of India's LPG is sourced from abroad, and about nine out of ten of those shipments pass through the key maritime route, the vital passage now effectively closed by the war. The petroleum ministry says that it ordered refineries to boost LPG output for household consumption, enhancing domestic production by about 25%. Business-grade fuel is being prioritised for vital industries such as hospitals and educational institutions, while distribution will be "fair and transparent". "Unnecessary hoarding and hoarding has been triggered by rumors. The standard supply timeline for home fuel remains about two-and-a-half days," says a government spokesperson. Growing Panic Now the concern is extending beyond kitchens. On online networks, a widely shared video from Chennai shows a lengthy, winding line of motorbikes outside a gas outlet. "Concern is genuine," the caption reads. India imports up to most of the oil it uses, leaving it particularly vulnerable to problems in global supplies. According to data from energy specialists, concerns about India's broader fuel supplies may be exaggerated. India imports the overwhelming majority of its petroleum. Around 50% of its petroleum shipments - about 2.5-2.7 million barrels a day - travel through the waterway, largely from regional suppliers. Even if crude flows through the Strait of Hormuz are hindered, the shortfall could be partly compensated for by higher imports of Russian petroleum, according to a sector expert. Based on shipping data and expert analysis, increased Russian crude imports could reach around a significant volume of barrels a day, lessening India's effective shortfall from exposure to the Strait of Hormuz to about a substantial volume of barrels a day. "Around 25-30 million Russian oil barrels are currently floating on ships in the Indian Ocean and, with only two major Asian economies as major buyers, those barrels remain a viable alternative," an analyst noted. Kitchen Fuel: The Primary Concern The primary concern is kitchen fuel, analysts say. India consumes roughly a million barrels a day, but produces only less than half domestically, importing the rest - 80–90% through the Strait. Refineries can tweak operations to produce a bit more LPG, but even a moderate increase would only increase domestic supply to about around half of demand, leaving the country heavily reliant on imports. In short: "Petroleum shortage concerns can be moderately reduced through diversification. Processed petroleum stocks remains relatively comfortable. Cooking gas supply is the critical issue to watch in the coming weeks." What may be intensifying the concern on the ground is not just limited availability but uneven distribution - and the familiar spectre of panic buying. An industry representative claims opportunistic profiteering. "Retailers are taking advantage of the situation - black-marketing cylinders and selling them at a inflated price. In one small town, I heard of cylinders being hoarded and auctioned off." For now, India's petroleum stocks may be protected by international market dynamics. But in restaurants across the country, the more urgent issue is simple: how to get the next cylinder.
People queue up to buy LPG tanks for home cooking in a major Indian city. The repercussions of a military engagement being fought nearly 3,000km away are now reaching India's households. As US-Israeli strikes on Iran impede energy transports through the vital shipping lane, availability of kitchen fuel are shrinking across India, pushing restaurants to shorten food lists, close earlier and in some cases close completely. Social media is filled with video clips showing queues outside LPG distributors across Indian urban and rural areas as anxieties over fuel supplies grow. Commercial LPG users appear the most affected: the biggest crunch is in food service establishments. "The situation is dire. Kitchen fuel simply cannot be found," says a representative of the National Restaurant Association of India. Most food outlets run either on business-grade gas tanks or direct gas lines, and the lack of supply are now being felt across the country. "Many restaurants have ceased operations - some in northern India, many in the southern region. People are turning to solid fuels and induction stoves to keep their operations going." Localized Effects In Mumbai, media reports say up to a 20% of hospitality businesses are already operating at reduced capacity as commercial LPG supplies dwindle. In the southern cities of Bangalore and Madras, some restaurants say their fuel reserves have dwindled with scarce alternatives. "Our menu is reduced to coffee and nothing else - it is truly dismal. Businesses are going to suffer," says a restaurant owner in Bengaluru. A food joint in Chennai which has ceased operations due to a scarcity of LPG. Restaurant operators are scrambling to adapt. "Food options are being cut, some are opening only for dinner and reducing hours," an industry representative says, adding that stoppages are changing as supplies wax and wane. "Several establishments in Delhi were shut yesterday - a couple are back in business. It's a fluid situation." Retailers observe a spike in sales of induction stoves, with some saying they are selling out quickly. Government Stance Yet, the officials insists there is sufficient stock. India has more than 30 crore home fuel subscribers and spokespersons say cylinders are being redirected to households as geopolitical strain from the regional hostilities ripple through energy markets. About a majority of India's LPG is sourced from abroad, and about nine out of ten of those shipments pass through the key maritime route, the vital passage now effectively closed by the war. The petroleum ministry says that it ordered refineries to boost LPG output for household consumption, enhancing domestic production by about 25%. Business-grade fuel is being prioritised for vital industries such as hospitals and educational institutions, while distribution will be "fair and transparent". "Unnecessary hoarding and hoarding has been triggered by rumors. The standard supply timeline for home fuel remains about two-and-a-half days," says a government spokesperson. Growing Panic Now the concern is extending beyond kitchens. On online networks, a widely shared video from Chennai shows a lengthy, winding line of motorbikes outside a gas outlet. "Concern is genuine," the caption reads. India imports up to most of the oil it uses, leaving it particularly vulnerable to problems in global supplies. According to data from energy specialists, concerns about India's broader fuel supplies may be exaggerated. India imports the overwhelming majority of its petroleum. Around 50% of its petroleum shipments - about 2.5-2.7 million barrels a day - travel through the waterway, largely from regional suppliers. Even if crude flows through the Strait of Hormuz are hindered, the shortfall could be partly compensated for by higher imports of Russian petroleum, according to a sector expert. Based on shipping data and expert analysis, increased Russian crude imports could reach around a significant volume of barrels a day, lessening India's effective shortfall from exposure to the Strait of Hormuz to about a substantial volume of barrels a day. "Around 25-30 million Russian oil barrels are currently floating on ships in the Indian Ocean and, with only two major Asian economies as major buyers, those barrels remain a viable alternative," an analyst noted. Kitchen Fuel: The Primary Concern The primary concern is kitchen fuel, analysts say. India consumes roughly a million barrels a day, but produces only less than half domestically, importing the rest - 80–90% through the Strait. Refineries can tweak operations to produce a bit more LPG, but even a moderate increase would only increase domestic supply to about around half of demand, leaving the country heavily reliant on imports. In short: "Petroleum shortage concerns can be moderately reduced through diversification. Processed petroleum stocks remains relatively comfortable. Cooking gas supply is the critical issue to watch in the coming weeks." What may be intensifying the concern on the ground is not just limited availability but uneven distribution - and the familiar spectre of panic buying. An industry representative claims opportunistic profiteering. "Retailers are taking advantage of the situation - black-marketing cylinders and selling them at a inflated price. In one small town, I heard of cylinders being hoarded and auctioned off." For now, India's petroleum stocks may be protected by international market dynamics. But in restaurants across the country, the more urgent issue is simple: how to get the next cylinder.