Commercial liquefied petroleum gas prices rose on Wednesday in a major development in India amid the ongoing conflict in West Asia. The latest revision is driven by global energy supply disruptions.
However, domestic cylinder prices remain high after the recent rise earlier this month.
This is the second upward revision in commercial LPG prices in less than a month, adding cost pressures on businesses such as hotels, restaurants and lodges.
What changed this time?
The highest jump was seen in the price of the widely used 19kg commercial LPG cylinder. In Delhi, the rate increased by $195.5 – from $1883 on March 7 to $2,078.50 now – registering a 10.4% increase, HT reported earlier.
Earlier on March 7, commercial LPG prices were already hiked $114.50. On the same day, home cooking gas (14.2 kg cylinder) was increased by $60 across the country, bringing the Delhi price to $913 – the highest since August 2023.
LPG prices by city (as of Wednesday)
Here is a clear breakdown of LPG prices in four major cities, according to a report by Good Returns:
The recurring increase in commercial LPG prices is likely to impact SMEs the most.
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Organizations that rely heavily on LPG in large quantities – especially in the food and hospitality sector – face high operating costs over a short period of time.
ATF prices are rising sharper
Besides LPG, aviation turbine fuel (ATF) prices saw a rise on Wednesday.
For domestic airlines in Delhi, ATF prices have jumped from $96,638.14 per kiloliter on March 1 to $207,341.22 per kiloliter – an increase of 114.55%, HT reported earlier.
For international airlines, prices rose from $816.91 per kiloliter to $1,690.81 per kiloliter, representing a 107% increase.
Who controls fuel prices?
The retail LPG and ATF market in India is dominated by three state-run oil marketing companies: Indian Oil Corporation, Bharat Petroleum Corporation Limited, and Hindustan Petroleum Corporation Limited.
As prices rise across cities, families and businesses are feeling the impact.
