Oil marketing companies and LPG suppliers are facing challenges in maintaining smooth distribution across India due to global tensions arising from the Iran conflict. Nitin Khara, the Chairman and Managing Director of Confidence Petroleum India Limited (CPIL), emphasized the company’s commitment to ensuring uninterrupted LPG availability for dealers and consumers in the country. CPIL is closely monitoring the LPG supply situation on a daily basis to address the emerging difficulties.
Khara highlighted the logistical issues being encountered by LPG importers, with two LPG vessels stranded near sea ports, disrupting the regular supply chain. This has led to a limited availability of LPG, impacting the company’s usual import volume of around 40,000 metric tonnes per month. Despite facing challenges, CPIL is exploring options to utilize the available LPG within India to support domestic consumers, as suggested by state governments.
The ongoing global conflict and supply disruptions have significantly affected LPG production and distribution. Khara mentioned that even if the situation stabilizes swiftly, it could take up to four months for the entire supply chain to normalize due to refinery damage, production constraints, and a shortage of LPG vessels. The company is evaluating various strategies to mitigate the impact of these challenges and ensure a steady supply of LPG in the Indian market.
