India is set to take a major step to strengthen its energy security. According to reports, the government is planning to buy about 25% of the country’s total LPG (cooking gas) imports from the US from 2027. The main objective of this decision is to reduce dependence on the Middle East, secure gas supplies and move forward with the proposed trade deal with the US. Let’s know about it in detail…
The fact is that India had to face a severe shortage of cooking gas this year due to the Iran war and supply disruptions in the Strait of Hormuz. The situation had become so serious that the government was forced to divert petrochemical feedstock used in industries towards domestic gas supply to maintain LPG supply for domestic consumers.
India is the world’s third largest crude oil importer and consumer. According to official data, India imported about 21.8 million tonnes of LPG in 2025, of which about 90% of the gas came from Middle Eastern countries. Similarly, about 66% of the total LPG consumed in the country is met through imports. In such a situation, any geopolitical tension directly affects India’s gas supply.
According to sources, Indian Oil (IOC), Bharat Petroleum (BPCL) and Hindustan Petroleum (HPCL) are likely to issue tenders to buy LPG from the US for 2027 in the next 1-2 months. In addition, a delegation of these companies is also likely to visit the US next month to discuss gas supplies.
Trade relations between India and the US are steadily strengthening. India has already pledged to increase energy purchases from the US from $10 billion to $25 billion in the near future. Both countries have also set a bilateral trade target of $500 billion by 2030. In such a situation, buying more LPG from the US is considered an important step in this direction.
On the other hand, Union Minister of State for Petroleum Suresh Gopi also said in Parliament that India is diversifying its sources of LPG imports so that gas supplies are not affected by any regional crisis or geopolitical events in the future. The government says that this strategy of buying LPG from different countries will strengthen India’s energy security and help in making gas accessible to consumers.
