India's LNG Price Exposure Set to Soar as Global Costs Rise

India's reliance on liquefied natural gas (LNG) imports has increased its exposure to fluctuations in international prices. According to a report by Equirus, LNG imports accounted for 59% of India's total gas consumption in July 2026, the highest share since July 2021.

The report also notes that domestic gas production remains flat, making India vulnerable to rising global costs. With spot LNG prices above $20 per million British thermal units (MMBtu), Indian companies may face margin compression due to higher input costs.

Equirus warns of a prolonged supply disruption in the Middle East, which could lead to a net contraction of around 5 million tonnes (mt) in global LNG exports. This scenario could push back the anticipated easing of global supply conditions until 2027.