🔗 Share this article ‘A Critical Scenario’: Hostilities on Iran Squeezes India's LPG Supplies. People line up to buy fuel canisters for home cooking in Chennai. The shockwaves of a military engagement being fought nearly 1,864 miles away are now reaching India's households. As military actions on Iran hinder energy shipments through the key maritime chokepoint, availability of cooking gas are dwindling across India, forcing restaurants to shorten food lists, reduce operating times and in some cases cease operations entirely. Social media is filled with video clips showing crowds outside fuel suppliers across Indian metros and localities as anxieties over fuel supplies spread. Commercial LPG users appear the hardest struck: the sharpest squeeze is in food service establishments. "The situation is dire. LPG simply isn't available," says a spokesperson of the a major restaurant body. Most restaurants run either on business-grade gas tanks or piped gas, and the shortages are now being noticed across the country. "A lot of restaurants have shut down - some in northern India, many in the southern states. People are adopting coal and wood and electric cookers to keep their operations going." Localized Effects In a western metro, local news say up to a significant portion of hospitality businesses are already operating at reduced capacity as commercial LPG supplies dry up. In the southern cities of tech and coastal hubs, some restaurants say their fuel reserves have depleted with scarce alternatives. "We can only make coffee and no food items - it is extremely difficult. Commerce will take a hit," says a restaurant owner in Bengaluru. A food joint in Chennai which has shut down due to a lack of kitchen fuel. Restaurant managers are scrambling to adapt. "Menus are being curtailed, some are cutting lunch service and reducing hours," an industry representative says, adding that stoppages are fluctuating as supplies ebb and flow. "Three restaurants in Delhi were shut yesterday - a couple are back in business. It's a changing landscape." Retailers note a increase in sales of induction stoves, with some saying they are facing stockouts. Government Stance Yet, the officials insists there is no shortage. India has more than 30 crore domestic LPG users and spokespersons say cylinders are being redirected to households as geopolitical strain from the war in the Gulf ripple through energy markets. Approximately six out of ten of India's LPG is brought in from overseas, and about 90% of those shipments pass through the critical waterway, the narrow Gulf chokepoint now largely blocked by the conflict. The oil ministry says that it ordered refineries to boost LPG output for household consumption, lifting domestic production by about a significant margin. Business-grade fuel is being reserved for critical services such as healthcare and education, while distribution will be "fair and transparent". "Unnecessary hoarding and stockpiling has been sparked by false reports. The standard supply timeline for home fuel remains about under three days," says a government spokesperson. Growing Panic Now the worry is spreading beyond kitchens. On online networks, a widely shared video from Chennai shows a lengthy, winding line of scooters outside a petrol pump. "Concern is genuine," the text reads. India sources up to a vast majority of the oil it consumes, leaving it particularly vulnerable to problems in international markets. According to data from industry analysts, concerns about India's broader fuel supplies may be premature. India imports almost all of its crude oil. Around 50% of its petroleum shipments - about 2.5 to 2.7 million barrels a day - travel through the waterway, largely from Middle Eastern nations. Even if oil shipments through the Strait of Hormuz are hindered, the gap could be partly made up by higher imports of discounted Russian crude, according to a refinery and oil markets analyst. Based on vessel tracking and industry information, incremental Russian crude imports could reach around 1-1.2 million barrels a day, narrowing India's effective shortfall from exposure to the Strait of Hormuz to about 1.6 million barrels a day. "Around 25-30 million Russian oil barrels are currently on the water in the Indian Ocean and, with only key buyers as major buyers, those barrels remain a ready fallback," an analyst noted. Kitchen Fuel: The Primary Concern The primary concern is LPG, commentators observe. India consumes roughly one million barrels a day, but produces only less than half domestically, importing the rest - most of it through the Strait. Refineries can tweak operations to extract a bit more LPG, but even a limited rise would only increase domestic supply to about 47-50% of demand, leaving the country heavily reliant on imports. In short: "Petroleum shortage concerns can be moderately reduced through varied suppliers. Fuel availability remains largely sufficient. Kitchen fuel stocks is the critical issue to monitor in the coming weeks." What may be heightening the anxiety on the ground is not just limited availability but erratic supply chains - and the usual problem of hoarding. An industry representative alleges opportunistic profiteering. "Distributors are misusing the situation - illegally trading canisters and selling them at a premium. In one small town, I heard of cylinders being accumulated and auctioned off." For now, India's energy imports may be buffered by global trade flows. But in kitchens across the country, the more immediate question is simple: how to get the next gas canister.
People line up to buy fuel canisters for home cooking in Chennai. The shockwaves of a military engagement being fought nearly 1,864 miles away are now reaching India's households. As military actions on Iran hinder energy shipments through the key maritime chokepoint, availability of cooking gas are dwindling across India, forcing restaurants to shorten food lists, reduce operating times and in some cases cease operations entirely. Social media is filled with video clips showing crowds outside fuel suppliers across Indian metros and localities as anxieties over fuel supplies spread. Commercial LPG users appear the hardest struck: the sharpest squeeze is in food service establishments. "The situation is dire. LPG simply isn't available," says a spokesperson of the a major restaurant body. Most restaurants run either on business-grade gas tanks or piped gas, and the shortages are now being noticed across the country. "A lot of restaurants have shut down - some in northern India, many in the southern states. People are adopting coal and wood and electric cookers to keep their operations going." Localized Effects In a western metro, local news say up to a significant portion of hospitality businesses are already operating at reduced capacity as commercial LPG supplies dry up. In the southern cities of tech and coastal hubs, some restaurants say their fuel reserves have depleted with scarce alternatives. "We can only make coffee and no food items - it is extremely difficult. Commerce will take a hit," says a restaurant owner in Bengaluru. A food joint in Chennai which has shut down due to a lack of kitchen fuel. Restaurant managers are scrambling to adapt. "Menus are being curtailed, some are cutting lunch service and reducing hours," an industry representative says, adding that stoppages are fluctuating as supplies ebb and flow. "Three restaurants in Delhi were shut yesterday - a couple are back in business. It's a changing landscape." Retailers note a increase in sales of induction stoves, with some saying they are facing stockouts. Government Stance Yet, the officials insists there is no shortage. India has more than 30 crore domestic LPG users and spokespersons say cylinders are being redirected to households as geopolitical strain from the war in the Gulf ripple through energy markets. Approximately six out of ten of India's LPG is brought in from overseas, and about 90% of those shipments pass through the critical waterway, the narrow Gulf chokepoint now largely blocked by the conflict. The oil ministry says that it ordered refineries to boost LPG output for household consumption, lifting domestic production by about a significant margin. Business-grade fuel is being reserved for critical services such as healthcare and education, while distribution will be "fair and transparent". "Unnecessary hoarding and stockpiling has been sparked by false reports. The standard supply timeline for home fuel remains about under three days," says a government spokesperson. Growing Panic Now the worry is spreading beyond kitchens. On online networks, a widely shared video from Chennai shows a lengthy, winding line of scooters outside a petrol pump. "Concern is genuine," the text reads. India sources up to a vast majority of the oil it consumes, leaving it particularly vulnerable to problems in international markets. According to data from industry analysts, concerns about India's broader fuel supplies may be premature. India imports almost all of its crude oil. Around 50% of its petroleum shipments - about 2.5 to 2.7 million barrels a day - travel through the waterway, largely from Middle Eastern nations. Even if oil shipments through the Strait of Hormuz are hindered, the gap could be partly made up by higher imports of discounted Russian crude, according to a refinery and oil markets analyst. Based on vessel tracking and industry information, incremental Russian crude imports could reach around 1-1.2 million barrels a day, narrowing India's effective shortfall from exposure to the Strait of Hormuz to about 1.6 million barrels a day. "Around 25-30 million Russian oil barrels are currently on the water in the Indian Ocean and, with only key buyers as major buyers, those barrels remain a ready fallback," an analyst noted. Kitchen Fuel: The Primary Concern The primary concern is LPG, commentators observe. India consumes roughly one million barrels a day, but produces only less than half domestically, importing the rest - most of it through the Strait. Refineries can tweak operations to extract a bit more LPG, but even a limited rise would only increase domestic supply to about 47-50% of demand, leaving the country heavily reliant on imports. In short: "Petroleum shortage concerns can be moderately reduced through varied suppliers. Fuel availability remains largely sufficient. Kitchen fuel stocks is the critical issue to monitor in the coming weeks." What may be heightening the anxiety on the ground is not just limited availability but erratic supply chains - and the usual problem of hoarding. An industry representative alleges opportunistic profiteering. "Distributors are misusing the situation - illegally trading canisters and selling them at a premium. In one small town, I heard of cylinders being accumulated and auctioned off." For now, India's energy imports may be buffered by global trade flows. But in kitchens across the country, the more immediate question is simple: how to get the next gas canister.