LPG price today in your city: Domestic and commercial cylinder rates in Delhi, Mumbai, Bengaluru, Kolkata on 23 June
LPG price today in your city: Domestic and commercial Liquefied Petroleum Gas (LPG) cylinder rates remained steady on Tuesday, 23 June, across several Indian cities
LPG price today in your city: Domestic and commercial Liquefied Petroleum Gas (LPG) cylinder rates remained steady on Tuesday, 23 June, across several Indian cities. The last rate hike was implemented on 7 June when price of 14.2 kg domestic LPG cylinder price increased by ₹29. This was the second revision in three months, after the first revision of ₹60 that came about on 7 March. Earlier this month, the price of 19 kg commercial cylinder surged by around ₹42 in the wake of global energy disruptions, marking the fourth hike since 28 February. Hence, the cost of commercial cylinder surged by nearly 79% in the last four months since it is based on international fuel benchmarks, freight costs and foreign exchange movements.
On 1 June, oil marketing companies (OMCs) also increased prices of 5-kg Free Trade LPG (FTL) cylinders by ₹11. Also Read | US dominates India’s LPG basket as West Asia war reshapes energy flows Notably, commercial LPG cylinder prices are revised monthly by state-run OMCs, including Indian Oil Corporation, Bharat Petroleum Corporation and Hindustan Petroleum Corporation. Due the West Asia war and the blockade of the Strait of Hormuz, LPG supplies have been worst-affected. India was highly dependent on imports for 60% of its LPG needs before the war. About 90% these imports came from West Asia which tracked the Saudi Contract Price (CP), set by Saudi Aramco at the start of each month.
In June, the Saudi CP was set at $790 a tonne, about 46% higher than pre-war levels. In the wake of global energy crisis, India is making efforts to diversify its LPG imports, tapping the Russia, Norway and others while US emerged as its top supplier. Also Read | RBI governor asks banks to treat MSMEs as long-term partners Crude prices tumble as investors focus on Hormuz Brent crude prices tumbled on Tuesday as investors expected progress in US-Iran peace talks and a restoration of crude flows through the Strait of Hormuz. According to Reuters, Brent crude futures declined 0.3% by 20 cents and stood at $77.70 a barrel.
The United States on Monday granted Iran a 60-day sanctions waiver following which crude prices inched down more than 3%. "The gradual increase in oil flows through the Strait of Hormuz continues to weigh on the market," Reuters quoted ING analysts' note. Positive sentiment flooded the market as two crude tankers with under 2 million barrels of oil sailed through the Strait of Hormuz on Monday, signaling that traffic was picking up following weaker flows on Sunday.
The BriefWire