Imports of liquefied petroleum gas (LPG) during the April-June quarter in the current financial year were lowest for the period in the last eight years as closure of the Strait of Hormuz (SoH) choked out more than half of India’s domestic consumption.According to the Petroleum Planning & Analysis Cell (PPAC), India imported roughly 2.85 million tonnes of LPG in Q1 FY27 on a provisional basis, which is a de-growth of 45 per cent Y-o-Y and 34 per cent compared to Q1 FY25. India imported a record 5.2 mt of the key cooking fuel during Q1 FY26. Prior to Q1 FY27, the lowest import for the period was recorded during Q1 FY19 (2.82 mt).The world’s top LPG consumer imports roughly 60 per cent of its domestic demand, of which 90 per cent comes from the MEG with majority of the cargoes transiting the SoH.LPG imports fell sharply from above 2 mt per month in January-February 2026 to around 1-1.2 mt a month in March-May, with lower MEG availability partly offset by higher US inflows.Washington, which was India’s fifth largest LPG supplier till January 2026, jumped a spot to become the fourth largest, replacing Kuwait a month later. However, the fresh conflict in West Asia (from February 28) propelled the North American country to become the top supplier to world’s second largest LPG consumer for four consecutive months, beginning March 2026.Sumit Ritolia, Kpler’s Kpler’s Lead Research Analyst for Refining & Modeling, recently told businessline that India remains structurally dependent on Gulf supply, though sourcing patterns shifted during recent disruptions. LPG was impacted the most, with Gulf suppliers losing market share to the US. “The US has become a major LPG supplier for India as Gulf flows were recently disrupted. While this improves diversification, it can raise delivered costs due to longer-haul freight” he had pointed out.The American Petroleum Institute (API) in a July 6 energy insight said that based on estimates from Vortexa, India’s LPG imports from the Middle East declined around 85 per cent from February 2026 to June. “India has partially offset the lost flows from the Middle East by increasing imports from other countries, including more than doubling imports from the United States,” it added.The noted institute also pointed out that India sharply reduced LPG consumption, as alternative supplies have only partially offset disrupted flows from the Middle East. “Based on data through June, LPG consumption was down roughly 300,000 barrels per day, or 32 per cent, from February 2026. This has primarily affected households and businesses, which use the fuel for cooking,” it added.The International Energy Agency (IEA) also pointed out that the SoH blockade adversely impacted 430,000 b/d of LPG cargoes to India during March-April 2026.Published on July 22, 2026