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LPG Supply Chain in India

From Import to Cylinder

Liquefied Petroleum Gas (LPG) in India is a mix primarily of propane (C3H8) and butane (C4H10), stored under pressure in liquid form. India's domestic LPG production is approximately 38–40% of total consumption, while imports account for 60–62%. LPG reaches consumers through a network of three public sector oil marketing companies (OMCs): Indian Oil Corporation Ltd (IOCL), Bharat Petroleum Corporation Ltd (BPCL), and Hindustan Petroleum Corporation Ltd (HPCL). The government regulates supply through the Pradhan Mantri Ujjwala Yojana (PMUY) beneficiaries and the universal ₹200 subsidy credit under PAHAL/DBT mechanism.

Key details
  • India's LPG consumption (FY2024-25): ~31.3 million tonnes
  • Domestic production: ~12.8–13 million tonnes; remainder imported
  • Import sources: UAE + Qatar (~62%), Saudi Arabia (~18%), Kuwait (~16%), USA (~10%)
  • Domestic LPG refill cycle (normal): Every 15–21 days for households; extended to 25 days under current directive
  • Distribution: ~6,000 LPG distributors across India managing ~35 crore household connections
  • PMUY (Pradhan Mantri Ujjwala Yojana): Launched 2016, Ministry of Petroleum and Natural Gas; provides free LPG connections to BPL women — over 10 crore connections as of 2024
  • DBT/PAHAL Scheme: Subsidy directly credited to beneficiary bank accounts; LPG sold at market price
In the news

Tracked since March 10, 2026 · last seen March 30, 2026 · updates as the daily brief publishes

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