UAE Leads India’s LPG Imports, While Oman Tops LNG Supplies In September

New Delhi, Oct 10 (KNN) The United Arab Emirates (UAE) emerged as India’s largest liquefied petroleum gas (LPG) supplier in September, accounting for 39 per cent of imports, as shipments from the United States declined sharply, according to data from maritime intelligence firm Kpler.

The UAE’s share rose from 13 per cent in August, while the US share fell to 23 per cent from 53 per cent, ending its six-month run as India’s largest supplier.

UAE shipments increased 182 per cent month-on-month to 547,000 tonnes in September, compared with 193,000 tonnes in August. In contrast, US shipments declined 58 per cent to 323,000 tonnes.

India’s total LPG imports fell 4 per cent to 1.39 million tonnes during the month, indicating that the recovery in Gulf supplies has not yet translated into higher overall imports, reported Money Control.

Gulf Supplies Recover

The shift follows disruptions to shipping through the Strait of Hormuz amid the US-Iran conflict, which had affected supplies from Gulf countries and prompted India to increase imports from the US.

Other Gulf suppliers also recorded growth in September. Kuwait’s shipments rose 15.6 per cent to 132,544 tonnes, while Qatar’s supplies increased 76 per cent to 115,340 tonnes.

India did not import LPG from Saudi Arabia during the month. Other suppliers included Iran, with 89,000 tonnes, Algeria with 24,000 tonnes, Oman and the Republic of the Congo with 23,000 tonnes each, and Brunei with 4,000 tonnes.

Kpler said physical supply flows from the Gulf had proved more resilient than initially expected, with combined crude shipments from the region recovering to around pre-conflict levels when diverted cargoes were included.

Import Diversification Remains Important

India imports around 60 per cent of its LPG requirements, with approximately 90 per cent of its imports historically sourced from Gulf countries through the Strait of Hormuz.

The disruption has highlighted the vulnerability of energy supply chains to geopolitical tensions and shipping bottlenecks, reinforcing the importance of diversifying import sources.

Matt Wright, lead and principal freight analyst, Kpler, said freight costs remained elevated due to continued risks to vessels transiting the Strait of Hormuz.

Oman Leads India’s LNG Imports

India’s liquefied natural gas (LNG) imports also shifted in September, with Oman emerging as the largest supplier, according to Kpler data.

Oman supplied 585,000 tonnes, accounting for 27 per cent of India’s LNG imports, up 11.6 per cent from August. US shipments fell 59 per cent month-on-month, reducing its share to 16 per cent, while Qatar’s share declined to 4.3 per cent.

India’s total LNG imports fell 14 per cent to 2.17 million tonnes during the month.

Oman’s export facilities at Qalhat are located outside the Strait of Hormuz, allowing shipments to avoid the key shipping route. However, the country’s limited export capacity restricts its ability to replace Qatar’s supplies on a large scale.

(KNN Bureau)