Your cooking gas cylinder costs more than it did a month ago. Restaurants and dhabas are getting a fraction of what they normally use. And the reason for all of it traces back to a single waterway thousands of kilometres away.
Here is what is happening and where things stand right now.
How It Started
On February 28, the US and Israel carried out joint strikes on Iran. That triggered a wider conflict across the Middle East and effectively shut down commercial shipping through the Strait of Hormuz — the narrow passage through which a massive chunk of the world’s oil and gas moves.
For India, that created an immediate problem. The country imports around 60 percent of its LPG from overseas, and 90 percent of those imports come through the Middle East, via the Strait of Hormuz. When tankers stopped moving through that route, supplies to India took a direct hit.
What the Government Did
To manage the shortage, the Centre moved quickly on a few fronts. Cooking gas was brought under the Essential Commodities Act, 1955 — a move that gives the government tighter control over how it is stored and distributed. A rationing system was also put in place, with household kitchens getting priority and commercial establishments — hotels, restaurants, dhabas — receiving only one fifth of their usual supply.
Prices were also revised. In early March, the 14.2 kg domestic cylinder went up by ₹50 and the 19 kg commercial cylinder by ₹144. No further changes have been made since then.
One group was kept out of the price hike entirely — households covered under the Pradhan Mantri Ujjwala Yojana. The scheme covers over 10 crore low-income families across the country, and their prices have not changed.
Current LPG Prices Across Major Cities
LPG cylinder prices vary across major Indian cities depending on local VAT rates and freight charges. Currently, a 14.2 kg domestic cylinder costs Rs 913 in Delhi, ₹912.50 in Mumbai, Rs 915.50 in Bengaluru, Rs 928.50 in Chennai, Rs 939 in Kolkata, Rs 950.50 in Lucknow, Rs 965 in Hyderabad, and Rs 1,002.50 in Patna. For 19 kg commercial cylinders, prices stand at Rs 1,836 in Mumbai, Rs 1,884.50 in Delhi, Rs 1,958 in Bengaluru, Rs 1,988.50 in Kolkata, Rs 2,007 in Lucknow, Rs 2,043.50 in Chennai, Rs 2,105.50 in Hyderabad, and Rs 2,133.50 in Patna.
The price differences between cities come down to local VAT rates and how far the gas has to travel to get there.
Supply Is Improving — Slowly
On Saturday, the Petroleum Ministry wrote to all state and UT Chief Secretaries with some relatively good news. Gas allocations to states are being increased to 50 percent of pre-crisis levels, with an additional 20 percent supply kicking in from Monday, March 23.
Petroleum Secretary Neeraj Mittal, in his letter, said the priority for this additional supply will go to — restaurants, dhabas, hotels, industrial canteens, food processing units, dairy units, government-run subsidised canteens, community kitchens, and 5 kg free trade LPG cylinders for migrant labourers.
So while supply is not back to normal, it is moving in the right direction.
The Bigger Picture
India’s dependence on Middle Eastern energy has always been a vulnerability. This crisis has simply made it more visible. Nearly 88 percent of crude oil, 50 percent of natural gas, and 60 percent of LPG that India uses comes from imports.
With the Strait of Hormuz still effectively closed to normal shipping traffic, the government has been looking at alternative sources — including the US, from where a fresh LPG cargo recently arrived at New Mangalore Port.
For now, household kitchens will keep running. Commercial kitchens will manage with less. And everyone is watching the Strait of Hormuz, hoping traffic starts moving again soon.
