Why was the price of commercial LPG increased? Ministry of Petroleum provided data to explain why the price of commercial LPG was increased.

New Delhi. Petroleum companies have increased the price of commercial LPG (LPG) cylinder by Rs 195.50 from April 1, 2026. Due to this, the price of commercial LPG cylinder has crossed Rs 2000. Earlier on March 1, 2026, petroleum companies had increased the price of commercial LPG by Rs 114.50. The Petroleum Ministry has now given figures as to why the price of commercial LPG cylinders had to be increased. The Petroleum Ministry has said that the prices of commercial LPG are decided by the market. The share of commercial cylinders in the total LPG used in the country is less than 10 percent.

Prices of Commercial LPG cylinders, used by industries and hotels, are deregulated, market determined and revised normally on a monthly basis. Their consumption is less than 10% of the total LPG consumed in the country.

April 1 price increase in Commercial cylinder price is due…

— Ministry of Petroleum and Natural Gas #MoPNG (@PetroleumMin) April 1, 2026

The Petroleum Ministry has said that the LPG contract price from Saudi Arabia has increased by 44 percent. Its price in March was $542 a tonne. Which increased to $780 in April. According to the ministry, 20 to 30 percent of the worldwide LPG supply is stuck in the Strait of Hormuz. The Petroleum Ministry has said that due to the commitment of PM Narendra Modi, domestic LPG customers are being given LPG cylinders at Rs 913 and beneficiaries of Ujjwala scheme at Rs 613. According to the Petroleum Ministry, at current prices, petroleum companies are facing a loss of Rs 380 on every LPG cylinder. Which will become Rs 40484 crore by the end of May.

The ministry has said that even in 2025, petroleum companies had suffered a loss of Rs 60,000 crore. Out of which half of the burden i.e. Rs 30,000 crore was borne by the Modi government. So that the countrymen can be saved from the rising prices of LPG. The ministry has informed that the price of domestic LPG gas cylinder in Pakistan is Rs 1046, in Sri Lanka it is Rs 1242 and in Nepal it is Rs 1208. Whereas, domestic LPG cylinder price in India is one of the lowest prices in the world. The statement of the Petroleum Ministry indicates that due to increase in the price of LPG and crude oil, the prices of petroleum products may increase further. Apart from commercial LPG cylinders, the prices of jet fuel i.e. ATF, premium petrol and high speed diesel have increased from April 1. Earlier, the price of domestic LPG cylinder was increased by Rs 60. Whereas, the price of premium petrol and industrial diesel also increased.