‘The Situation is Dire’: War on Iran Squeezes India's LPG Supplies.

The ripple effects of a war being fought nearly 1,864 miles away are now being felt in India's homes.

As military actions on Iran disrupt energy transports through the Strait of Hormuz, stocks of cooking gas are dwindling across India, pushing restaurants to cut menus, reduce operating times and in some cases cease operations entirely.

Social media is filled with video clips showing crowds outside cooking-gas dealers across Indian cities and towns as concerns over fuel supplies escalate. Businesses appear the most affected: the biggest crunch is in restaurant kitchens.

"The situation is dire. Kitchen fuel simply cannot be found," says a representative of the National Restaurant Association of India.

Most restaurants run either on commercial LPG cylinders or direct gas lines, and the lack of supply are now being experienced across the country. "Many restaurants have shut down - some in Delhi, many in the south. People are switching to coal and wood and electric cookers to keep their operations going."

Localized Effects

In a financial hub, media reports say up to a fifth of eateries are already completely or partially closed as cylinder availability tighten. In the southern cities of Bengaluru and Chennai, some eateries say their cylinder inventory have depleted with minimal reserves. "We can only make coffee and no food items - it is extremely difficult. Operations will be impacted," says a restaurant owner in Bengaluru.

Restaurant owners are scrambling to adapt. "Offering lists are shrinking, some are opening only for dinner and reducing hours," an industry representative says, adding that shutdowns are varying as supplies wax and wane. "Several establishments in Delhi were shut yesterday - a couple are back in business. It's a fluid situation."

Retailers report a surge in sales of induction stoves, with some saying they are running out of them.

Government Stance

Yet, the officials states there is adequate supply.

India has more than 300 million household consumers and spokespersons say cylinders are being reallocated to households as geopolitical strain from the Middle East conflict affect energy markets.

Approximately six out of ten of India's LPG is sourced from abroad, and about the vast majority of those shipments pass through the key maritime route, the strategic bottleneck now significantly disrupted by the war.

The oil ministry says that it ordered refineries to maximise LPG output for domestic use, raising domestic production by about 25%. Business-grade fuel is being allocated for critical services such as hospitals and educational institutions, while distribution will be "fair and transparent".

"Unnecessary hoarding and stockpiling has been sparked by misinformation. The standard supply timeline for domestic LPG remains about two-and-a-half days," says a ministry representative.

Widening Concern

Now the anxiety is moving beyond kitchens. On digital platforms, a widely shared video from Chennai shows a extended procession of motorbikes outside a fuel station. "Anxiety is palpable," the caption reads.

According to data from energy specialists, concerns about India's broader petroleum stocks may be premature.

India imports almost all of its crude oil. Around a significant portion of its crude oil imports - about 2.5 to 2.7 million barrels a day - travel through the waterway, largely from regional suppliers.

Even if crude flows through the Strait of Hormuz are hindered, the deficit could be partly made up by higher imports of competitively priced oil from Russia, according to a sector expert.

Based on vessel tracking and expert analysis, additional Russian crude imports could reach around a significant volume of barrels a day, reducing India's effective gap from exposure to the Strait of Hormuz to about a substantial volume of barrels a day.

"A large quantity of Russian oil barrels are currently on the water in the Indian Ocean and, with only key buyers as major buyers, those barrels remain a available backup," an analyst noted.

Cooking Gas: The Critical Weakness

The real vulnerability is cooking gas, experts note.

India consumes roughly one million barrels a day, but produces only a minority share domestically, importing the rest - 80–90% through the Strait.

Refineries can modify output to squeeze out a bit more LPG, but even a moderate increase would only raise domestic supply to about under half of demand, leaving the country significantly leaning on imports.

In short: "Petroleum shortage concerns can be partially mitigated through alternative sourcing. Processed petroleum stocks remains fairly adequate. LPG availability is the key factor to watch in the coming weeks."

What may be heightening the concern on the ground is not just tight supply but erratic supply chains - and the common threat of stockpiling.

An industry representative alleges price gouging.

"Distributors are misusing the situation - black-marketing cylinders and selling them at a high cost. In one small town, I heard of cylinders being stockpiled and sold at a premium."

For now, India's petroleum stocks may be buffered by international market dynamics. But in homes across the country, the more pressing concern is simple: how to get the next gas canister.