The ongoing conflict in West Asia and the resulting global oil supply disruptions are now impacting India, with commercial LPG prices witnessing a sharp hike. The Central Government has increased the price of a 19 kg commercial LPG cylinder by ₹993, taking the new rate in Delhi to ₹3,071. The revised prices will come into effect from Friday, according to official sources. This marks the sixth revision in commercial LPG rates since January 1 this year.
The steep hike is expected to significantly affect the hospitality sector, particularly hotels and restaurants, which rely heavily on commercial LPG for daily operations. Industry stakeholders have warned that the increased fuel cost may eventually be passed on to consumers, leading to a rise in food and beverage prices across outlets.
In other major cities, the revised rates have also seen a substantial jump. In Mumbai, the price of a 19 kg commercial LPG cylinder has risen to ₹3,024. Oil companies have already implemented multiple price revisions in recent months, including a ₹114 hike on March 1 and a ₹195 increase on April 1, driven by volatility in global crude oil markets.
According to Indian Oil Corporation (IOC) data, commercial LPG prices have seen significant fluctuations over the years. In 2008, the price of a cylinder in Delhi stood at ₹831, followed by a sharp decline in 2009. However, since then, prices have followed a consistent upward trend, with monthly revisions reflecting global energy market movements and geopolitical tensions.
Meanwhile, the government has clarified that petrol and diesel prices remain unchanged despite the global volatility. Aviation Turbine Fuel (ATF) rates have also not been revised, offering some relief to the aviation sector. Officials attribute the recent LPG price surge to disrupted supply chains and a more than 50% rise in crude oil prices in international markets due to ongoing geopolitical tensions.