LPG price today: Check commercial and domestic cooking gas cylinder rate as oil rebounds amid Hormuz blockade

LPG price today, 15 July: Commercial and domestic cooking gas retail rates stood steady on Wednesday, despite soaring crude prices. The flare-up in West Asia conflict in recent days caused major price fluctuation in benchmark Brent crude price but consumers in India remain insulated to global volatility as state-run Oil Marketing Companies (OMCs) determine cooking gas rates.

The price of commercial Liquefied Petroleum Gas (LPG) cylinders is adjusted monthly and was last revised on 1 July when the price of a 19-kg cylinder was reduced by ₹183.50. This marked first reduction in commercial cylinder price since onset in of US-Iran war in late February. Meanwhile, domestic LPG underwent last price revision on 7 June when price of 14.2-kg domestic cylinder was increased by ₹29.

LPG cylinder price today in your city

Trump withdraws 20% toll plan for Hormuz after reinstating blockade

The recent escalation in US-Iran hostilities injected fresh risk into the market with the blockade of the Strait of Hormuz increasing the uncertainty over energy flows. Oil rose for a third day, registering 1.72% gains at 0029 GMT on Wednesday to trade around $86.19 a barrel. The extended gain in oil price follows 11% gain in the previous two sessions.

Following the collapse of US-Iran ceasefire, the renewed crossfire between the two adversaries deepened supply disruption in the Persian Gulf, the crucial waterway through which one-fifth of the world’s oil and liquefied natural gas transited prior to the war. US President Donald Trump on Tuesday withdrew proposed plans for Hormuz toll citing Gulf investments a day after he announced 20% fee for cargos.

Over volatility in oil prices, KCM Trade chief market analyst Tim Waterer said, “The chances of oil moving back toward $100 in the reasonably near term are still meaningful if hostilities intensify which damages energy infrastructure around the Gulf,” Reuters reported.

Suggesting that Brent prices could remain at $75-$80 a barrel if diplomatic efforts helped reopen the Strait, he added, “For now, the risk premium is still embedded, but it’s not a one-way bet given that there remain incentives for both sides to find a diplomatic solution.”

Crude oil prices to remain elevated?

Crisil report recently took account of inflation data and observed that inflation in LPG and piped natural gas doubled to 4.6 per cent. At the same time, it noted cumulative impact of ₹7.5 per litre increase in petrol and diesel prices announced in mid-May. As per the findings, fuel-related inflation rose to 4.5 per cent from 1.9 per cent in May and inflation in personal transport fuels climbed to 7.6 per cent from 3.1 per cent.

According to the study, crude oil prices are expected to remain elevated this fiscal year at an average of $ 82-87 per barrel. While a weaker rupee is increasing imported inflation, producers are gradually passing on higher energy, transportation and input costs to consumers, which is likely to push up core inflation over time.