West Asia conflict: Only 2 Indian-flagged LPG vessels in Strait of Hormuz

State-run refiners defer maintenance and ramp up LPG output as vessels clear Strait of Hormuz, while government tightens supply monitoring amid ongoing West Asia tensions

Another Indian-flagged liquefied petroleum gas (LPG) tanker has transited the Strait of Hormuz, leaving just two LPG vessels stranded in the Persian Gulf, the government said on Monday. 

Green Asha, the latest vessel to cross the Strait of Hormuz, is carrying about 15,405 million tonnes (mt) of LPG with 26 seafarers onboard and is expected to reach Indian shores by April 9, said Mukesh Mangal, additional secretary at the Ministry of Ports, Shipping & Waterways. 

Over the past two days, two Indian-flagged LPG vessels, Green Sanvi and Green Asha, have safely transited the Strait of Hormuz, leaving only two such vessels in the Persian Gulf, one of which is empty. 

 

Of the Indian vessels stranded in Hormuz, the government is prioritising safe passage of LPG tankers amid an acute shortage of cooking fuel in the country. So far, six other Indian-flagged LPG carriers have crossed the region and reached Indian ports. Despite the safe passage of several LPG tankers, India continues to face a cooking gas shortage amid the ongoing conflict in West Asia. 

Sixteen vessels remain in the Persian Gulf, including one liquefied natural gas (LNG) carrier, six crude oil tankers, and two LPG vessels, with the rest comprising container, chemical, and bulk carriers. 

Meanwhile, some state-run oil-marketing companies (OMCs), including Indian Oil, have decided to postpone maintenance shutdown of their refineries to ensure LPG availability in the country. Refineries have maximised LPG production to more than 46,000 tonnes, said Sujata Sharma, joint secretary at the Ministry of Petroleum and Natural Gas. 

Private player Nayara Energy, however, will begin maintenance shutdown from April 9, which is likely to impact domestic LPG 

production, Sharma added. 

State-run OMCs have issued over 1,500 show-cause notices, imposing penalties on 118 LPG distributorships and suspending 

41, the government said. BPCL suspended four LPG distributors for alleged malpractices and initiated disciplinary proceedings against several others. 

Meanwhile, the Ministry of Consumer Affairs, Food, and Public Distribution is closely monitoring the prices of essential commodities in light of the West Asia conflict. “Prices are monitored daily, and we have not seen any unusual volatility in these so far. On the supply side, too, production of pulses has been higher this year than the previous year,” Anupam Mishra, additional secretary, Department of Consumer Affairs, told mediapersons on Monday. 

Speaking of horticulture crops, which include onion, potato, and tomato, Mishra said: “There are no supply-side constraints. We have also started procurement of onion for the buffer stock, which would take care of unusual volatility that we have in onion.”  The government claimed it has adequate stocks of wheat and rice to meet the requirements of the public distribution system.