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Govt ramping up domestic LPG production to ensure supply of cooking gas to households: FM

India imports about 60 percent of its LPG consumption and out of these imports about 90 percent come through the Strait of Hormuz

Finance Minister Nirmala Sitharaman has said that the domestic production of liquefied petroleum gas (LPG) is being ramped up to ensure a consistent supply of cooking gas to households, amid disruptions linked to the West Asia crisis. India imports about 60 percent of its LPG consumption and out of these imports about 90 percent come through the Strait of Hormuz. 

The minister said the West Asia crisis has come up with a new challenge, and Prime Minister Narendra Modi's focus towards self-reliance and increasing production to meet India's basic demands has helped the country. On March 8, 2026, the government issued an order directing refineries and petrochemical complexes to maximise LPG production by diverting propane, butane, propylene and butenes streams to the LPG pool. As a result of these measures, domestic LPG production has increased by about 25 percent and the entire domestic LPG production is being directed towards household consumers.  

She said ‘so to ensure that households don't suffer, not only are there steady streams of shipping lines coming in, but domestically we have also ramped up the capacity for production of the LPG, diverting from other hydrocarbon material to LPG production. As a result, domestic supplies will be adequately streamlined, and supplies will remain steady’.