India Delays US LPG Import Tender Deadline to October 17

India has extended the deadline for its first joint long-term tender to import liquefied petroleum gas (LPG) from the United States in 2026, as per the news reports. The new closing date is October 17, according to reports. The extension gives state refiners additional time to finalise deliveries.

State Refiners and Tender Details

The tender is being issued jointly by Indian Oil Corp (IOC), Bharat Petroleum Corp (BPCL), and Hindustan Petroleum Corp (HPCL). They are seeking delivery of about 48 very large gas carriers, equal to roughly 2 million metric tons of LPG in 2026. LPG, a mix of propane and butane, is mainly used as cooking fuel and sold at subsidised rates to households.

Current LPG Imports

India relies heavily on the Middle East for LPG. Over 90% of its roughly 20.5 million metric tons of imports in 2024 came from the region. The U.S. tender could reduce this dependence. Saudi Aramco has recently lowered official selling prices for propane to $495 per ton and for butane to $475 per ton.

Trade Context

The plan to import LPG from the U.S. comes as India plans to raise energy purchases from the country. This is expected to help balance trade and reduce concerns over tariffs on other goods under past U.S. trade policies.

India aims to source about 10% of its cooking gas imports from the U.S. starting in 2026. The outcome of the tender will decide how much LPG is actually supplied and the delivery schedule.

Read More: WeWork India Makes Tepid Debut on NSE and BSE Amid Weak Investor Sentiment!

Conclusion

The extension of the tender deadline allows refiners more time to finalise contracts. Securing U.S. LPG would give India an additional supply option while continuing to meet domestic demand for cooking fuel.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.