India currently has sufficient reserves of crude oil and petroleum products, with no immediate risk to fuel availability despite disruptions triggered by the ongoing West Asia conflict, the Ministry of Petroleum and Natural Gas said on Friday. The Ministry also confirmed that supplies of liquefied petroleum gas (LPG) and liquefied natural gas (LNG) remain stable, with commercial LPG distribution now restored to 70 per cent.
The Ministry stated that the country’s crude oil inventories are adequate and fuel supplies have been secured for at least the next two months. Refineries across India are operating at full capacity or higher to meet domestic demand, while production of LPG within the country has increased by around 20 per cent.
The Ministry acknowledged that the ongoing geopolitical tensions in West Asia have impacted global energy markets, leading to a rise in international prices of crude oil, LPG and LNG. However, it maintained that timely and calibrated steps have helped India manage the situation without major disruptions.
#WATCH | Delhi: Sujata Sharma, Joint Secretary (Marketing & Oil Refinery), Ministry of Petroleum & Natural Gas, says, “… The conflict in the Middle East has affected India’s supplies of crude oil, LPG, and LNG. Crude prices, along with other petroleum products, have risen in… pic.twitter.com/EcnE9UlA0K
— ANI (@ANI) March 27, 2026
Domestic LPG needs prioritised
Highlighting India’s heavy reliance on LPG imports, the Ministry noted that nearly 90 per cent of shipments pass through the Strait of Hormuz, a key global energy corridor affected by the conflict. In response, the government temporarily restricted commercial LPG supplies to prioritise household consumption.
Commercial LPG distribution was initially reduced and then gradually restored in phases. Supplies were first resumed at 20 per cent, followed by incremental increases, eventually reaching 70 per cent at present.
Supply to key sectors ramped up
As part of the phased restoration, the Ministry said around 30,000 tonnes of commercial LPG have been supplied since March 14. Priority has been given to essential services and industries, including restaurants, hotels, roadside eateries, industrial canteens, and migrant workers.
Key sectors such as steel, automobiles, textiles, chemicals and plastics have also been prioritised to ensure industrial activity remains unaffected.
In addition, nearly 30,000 small 5-kg LPG cylinders have been distributed to migrant workers under the Free Trade LPG category to support vulnerable groups.
Situation stable despite global volatility
The Ministry emphasised that these measures have stabilised fuel supply chains across the country. It reiterated that India remains well-prepared to handle any further disruptions arising from the West Asia crisis, with adequate reserves and operational readiness in place.