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

The repercussions of a conflict being fought nearly 1,864 miles away are now reaching India's homes.

As aerial attacks on Iran impede energy transports through the Strait of Hormuz, stocks of liquefied petroleum gas (LPG) are dwindling across India, forcing restaurants to shorten food lists, reduce operating times and in some cases shut down altogether.

Social media is awash with video clips showing lines outside fuel suppliers across Indian cities and towns as concerns over fuel supplies escalate. Restaurant kitchens appear the hardest struck: the sharpest squeeze is in restaurant kitchens.

"The situation is dire. Cooking gas simply cannot be found," says a representative of the an industry group.

Most food outlets run either on commercial LPG cylinders or pipeline-supplied fuel, and the scarcities are now being noticed across the country. "Many restaurants have closed - some in the capital, many in the southern states. People are adopting solid fuels and induction stoves to keep their operations going."

City-Specific Fallout

In a western metro, accounts say up to a 20% of hotels and restaurants are already fully or partly shut as business fuel stocks tighten. In the southern cities of Bangalore and Madras, some restaurants say their fuel reserves have shrunk with scarce alternatives. "We can only make coffee and no other dishes - it is truly dismal. Commerce will take a hit," says a chain proprietor in Bengaluru.

Restaurant owners are seeking alternatives. "Food options are being cut, some are skipping midday meals and reducing hours," an industry representative says, adding that shutdowns are varying as supplies wax and wane. "Several establishments in Delhi were shut yesterday - two have already reopened. It's a changing landscape."

Retailers note a surge in sales of electronic cooking appliances, with some saying they are selling out quickly.

Official Position

Yet, the officials states there is sufficient stock.

India has more than a vast number of domestic LPG users and officials say cylinders are being redirected to households as geopolitical strain from the Middle East conflict affect energy markets.

Approximately six out of ten of India's LPG is brought in from overseas, and about 90% of those imports pass through the key maritime route, the narrow Gulf chokepoint now effectively closed by the war.

The petroleum ministry says that it ordered refineries to increase LPG output for home needs, lifting domestic production by about a significant margin. Business-grade fuel is being allocated for vital industries such as medical and academic centers, while distribution will be "fair and transparent".

"Some panic booking and stockpiling has been triggered by misinformation. The regular refill period for household cylinders remains about under three days," says a government spokesperson.

Growing Panic

Now the worry is extending beyond kitchens. On digital platforms, a widely shared video from Chennai shows a long, snaking queue of two-wheelers outside a fuel station. "Anxiety is palpable," the description reads.

According to reports from market experts, concerns about India's broader petroleum stocks may be exaggerated.

India imports almost all of its crude oil. Around half of its petroleum shipments - about 2.5 to 2.7 million barrels a day - travel through the passage, largely from Middle Eastern nations.

Even if petroleum transit through the Strait of Hormuz are blocked, the gap could be partly made up by higher imports of Russian petroleum, according to a sector expert.

Based on maritime intelligence and expert analysis, incremental Russian crude imports could reach around a significant volume of barrels a day, lessening India's effective deficit from exposure to the Strait of Hormuz to about 1.6 million barrels a day.

"A large quantity of Russian oil barrels are currently in transit at sea in the Indian Ocean and, with only India and China as major buyers, those barrels remain a available backup," an analyst noted.

Cooking Gas: The Critical Weakness

The real vulnerability is kitchen fuel, commentators observe.

India consumes roughly 1 million barrels a day, but produces only a minority share domestically, importing the rest - most of it through the Strait.

Refineries can adjust processes to squeeze out a bit more LPG, but even a 10-20% boost would only increase domestic supply to about under half of demand, leaving the country heavily reliant on imports.

In short: "Oil import vulnerability can be somewhat alleviated through alternative sourcing. Refined product supply remains relatively comfortable. LPG availability is the real variable to monitor in the coming weeks."

What may be heightening the concern on the ground is not just limited availability but patchy deliveries - and the usual problem of hoarding.

An industry representative alleges opportunistic profiteering.

"Distributors are exploiting the situation - black-marketing cylinders and selling them at a high cost. In one small town, I heard of cylinders being hoarded and auctioned off."

For now, India's petroleum stocks may be cushioned by worldwide shipping. But in homes across the country, the more pressing concern is simple: how to get the next cylinder.