India’s LPG import patterns shifted significantly in September, with a notable rebound in supplies from the UAE and a sharp decline in shipments from the United States. The UAE’s LPG exports to India surged by 182% to 547,000 tonnes, while US shipments dropped by 58% to 323,000 tonnes, reducing its market share from 53% to 23%. Other Gulf suppliers, such as Kuwait and Qatar, also saw increases in their LPG exports to India, with Kuwait’s shipments rising by 15.6% and Qatar’s by 76%. However, India’s overall LPG imports fell by 4% to 1.39 million tonnes, indicating that the recovery in Gulf supplies had not yet boosted total import volumes.
The disruption in the Strait of Hormuz earlier in the year had initially pushed India to rely more heavily on the US for LPG imports. However, the latest data suggests a rebalancing of supply sources as Gulf countries resume normal shipping levels. Kpler noted that physical supply flows from the Gulf had shown greater resilience than expected, with combined crude volumes returning to near pre-conflict levels when diverted shipments were included.
India’s LNG imports also saw a shift, with Oman emerging as the leading supplier in September. Oman provided 585,000 tonnes of LNG, accounting for 27% of India’s imports, up 11.6% from August. In contrast, US LNG shipments fell by 59%, reducing its share to 16%, while Qatar’s share dropped to 4.3%. Overall, India’s LNG imports declined by 14% to 2.17 million tonnes. Oman’s export facilities at Qalhat, located outside the Strait of Hormuz, offer a strategic shipping advantage but have limited export capacity, making it unable to fully replace Qatar’s supplies.
Analysts emphasize the importance of diversifying energy supply sources to mitigate risks associated with geopolitical tensions and shipping bottlenecks. While West Asia remains a critical supplier, Indian refiners are expected to continue exploring alternative sources to ensure supply chain resilience.