‘An Alarming State of Affairs’: War on Iran Constricts India's Kitchen Fuel Stock.
The ripple effects of a war being fought nearly 1,864 miles away are now reaching India's kitchens.
As military actions on Iran impede energy transports through the Strait of Hormuz, availability of cooking gas are tightening across India, pushing restaurants to reduce offerings, reduce operating times and in some cases cease operations entirely.
Social media is awash with video clips showing queues outside LPG distributors across Indian metros and localities as anxieties over fuel supplies spread. Businesses appear the most affected: the sharpest squeeze is in commercial eateries.
"The state of affairs is alarming. Cooking gas simply isn't available," says a spokesperson of the National Restaurant Association of India.
Most food outlets run either on business-grade gas tanks or direct gas lines, and the shortages are now being experienced across the country. "Numerous restaurants have closed - some in Delhi, many in the southern region. People are adopting solid fuels and electronic appliances to keep kitchens going."
City-Specific Fallout
In a financial hub, local news say up to a 20% of eateries are already completely or partially closed as commercial LPG supplies dwindle. In the southern cities of Bengaluru and Chennai, some establishments say their fuel reserves have depleted with minimal reserves. "We can only make coffee and nothing else - it is extremely difficult. Commerce will take a hit," says a business operator in Bengaluru.
Restaurant owners are rushing to adjust. "Menus are being curtailed, some are skipping midday meals and operating solely in the evening," an industry representative says, adding that stoppages are varying as supplies wax and wane. "Several establishments in Delhi were shut yesterday - some have resumed operations. It's a changing landscape."
Retailers report a spike in sales of induction stoves, with some saying they are running out of them.
Authority's View
Yet, the government maintains there is sufficient stock.
India has more than 300 million domestic LPG users and spokespersons say cylinders are being redirected to households as conflict-related stress from the regional hostilities affect energy markets.
Roughly a majority of India's LPG is brought in from overseas, and about 90% of those imports pass through the key maritime route, the strategic bottleneck now significantly disrupted by the hostilities.
The relevant department says that it instructed refineries to increase LPG output for household consumption, enhancing domestic production by about a quarter. Commercial stock is being prioritised for vital industries such as hospitals and educational institutions, while distribution will be "just and open".
"Unnecessary hoarding and stockpiling has been caused by misinformation. The regular refill period for household cylinders remains about two-and-a-half days," says a senior official.
Widening Concern
Now the concern is moving beyond kitchens. On online networks, a widely shared video from Chennai shows a long, snaking queue of motorbikes outside a gas outlet. "The panic is real," the description reads.
According to reports from market experts, concerns about India's broader energy security may be premature.
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 regional suppliers.
Even if oil shipments through the Strait of Hormuz are hindered, the gap could be partly compensated for by higher imports of discounted Russian crude, according to a refinery and oil markets analyst.
Based on shipping data and credible market sources, increased Russian crude imports could reach around 1-1.2 million barrels a day, narrowing India's effective gap from exposure to the Strait of Hormuz to about 1.6 million barrels a day.
"Around 25-30 million Russian oil barrels are currently floating on ships in the Indian Ocean and, with only India and China as major buyers, those barrels remain a available backup," an analyst noted.
Kitchen Fuel: The Primary Concern
The primary concern is cooking gas, analysts say.
India consumes roughly a million barrels a day, but produces only a minority share domestically, importing the rest - the vast majority through Hormuz.
Refineries can tweak operations to produce a bit more LPG, but even a moderate increase would only raise domestic supply to about around half of demand, leaving the country heavily reliant on imports.
In short: "Petroleum shortage concerns can be somewhat alleviated through alternative sourcing. Processed petroleum stocks remains relatively comfortable. LPG availability is the critical issue to monitor in the coming weeks."
What may be heightening the panic on the ground is not just limited availability but patchy deliveries - and the common threat of stockpiling.
An industry representative states opportunistic profiteering.
"Retailers are taking advantage of the situation - illegally trading canisters and selling them at a high cost. In one small town, I heard of cylinders being stockpiled and sold to the highest bidder."
For now, India's oil supplies may be protected by international market dynamics. But in restaurants across the country, the more urgent issue is simple: how to get the next gas canister.
