India-United States LPG Import Deal

India has signed a historic one-year agreement to import approximately 2.2 million tonnes per annum (MTPA) of liquefied petroleum gas (LPG) from the United States for the 2026 contract year. This marks the first structured long-term arrangement for US-origin LPG destined for India, covering nearly 10% of India's annual LPG imports. Union Petroleum and Natural Gas Minister Hardeep Singh Puri announced the deal, emphasizing its role in diversifying India's energy sourcing and ensuring affordable supplies for its citizens, particularly beneficiaries of the Pradhan Mantri Ujjwala Yojana. Public sector oil companies, including Indian Oil Corporation, Bharat Petroleum, and Hindustan Petroleum, finalized the contract after discussions with major American producers. The pricing for the deal is benchmarked to United States — Mont Belvieu, Texas, a key global reference point for LPG. The Indian government, under Prime Minister Narendra Modi, has also absorbed over ₹40,000 crore to protect consumers from international price volatility, ensuring LPG cylinders remain affordable.