LPG Cylinder Price Update: Check Latest Commercial And Domestic Rates In Metro Cities

Liquefied Petroleum Gas (LPG) prices in India have seen a sharp rise in recent weeks, reflecting the impact of global oil market volatility. The ongoing conflict in the Middle East has disrupted supply chains, leading to increased fuel costs worldwide.

As a result, LPG cylinder prices-especially commercial ones-have gone up again in April.

Second Price Hike in Just One Month

After a significant increase in March, LPG prices were revised again on April 1 by state-owned oil companies such as Indian Oil, Bharat Petroleum, and Hindustan Petroleum.

• The price of 19 kg commercial LPG cylinders increased by nearly ₹200
• The 5 kg Free Trade LPG (FTL) cylinder saw a hike of ₹51, reaching ₹549 per refill

This marks the second consecutive price hike within a short period, adding to the financial burden on businesses and small establishments.

Domestic LPG Prices Remain Unchanged

Despite the global surge, the government has not increased the price of domestic 14.2 kg LPG cylinders this month.

The decision aims to protect households from rising international fuel costs and keep inflation under control. Authorities have chosen to absorb some of the pressure instead of passing it directly to consumers.

Why Are LPG Prices Rising?

The increase in LPG prices is mainly due to global factors:

• Rising Saudi Contract Price (CP): The benchmark price jumped by nearly 44%, from $542 per metric tonne in March to $780 in April.
• Supply disruptions: Around 20-30% of global LPG supplies have been affected due to tensions in the Middle East.
• Strait of Hormuz concerns: This key route handles a large share of global energy shipments, and disruptions here have pushed prices higher.

These factors have significantly increased the cost of importing LPG into India.

Commercial LPG Prices Are Market-Linked

The government clarified that commercial LPG cylinder prices are deregulated and depend on market conditions. These prices are revised monthly based on global trends.

Since commercial LPG accounts for less than 10% of total consumption in India, price fluctuations in this segment are allowed to reflect international market realities.

Aviation Fuel Prices Also Rising

The global fuel crisis is not limited to LPG. Aviation Turbine Fuel (ATF) prices have also increased across major Indian cities.

This rise is linked to the same supply chain disruptions affecting crude oil and LPG, further highlighting the widespread impact of the ongoing geopolitical tensions.

Increased Activity in Strait of Hormuz

Interestingly, despite tensions, shipping activity through the Strait of Hormuz has increased in recent days.

• Several LPG carriers, including Indian vessels, have successfully transported large quantities of gas
• On April 3, at least 13 ships crossed the route, with most exiting the Persian Gulf

This shows that while supply routes remain active, uncertainty and risks continue to influence prices.

Impact on Consumers and Businesses

While households are currently protected from price hikes, businesses using commercial

LPG are feeling the impact:

• Restaurants and small businesses may face higher operating costs
• Increased fuel costs could lead to higher prices for goods and services

If global prices remain high, the pressure may eventually affect domestic LPG rates as well.