Indian oil companies secure their first ever deal to import U.S. LPG into India

India’s public-sector oil companies have successfully concluded a one-year deal to import liquified petroleum gas (LPG) from the U.S. Gulf coast, Union Minister for Petroleum and Natural Gas Hardeep Singh Puri said on Monday (November 17, 2025).

In his post on X, Mr. Puri elaborated that India would source about 2.2 million tonnes per annum (MTPA) of liquified petroleum gas from the U.S. Gulf Coast for the contract year 2026 — making it the “first structured contract of U.S. LPG for the Indian market”.

He further said that the 2.2 MTPA LPG import would represent 10% of India’s annual imports in the sector during the mentioned period.

“The purchase is based on using Mount Belvieu as the benchmark for LPG purchases and a team of our officials from Indian Oil, Bharat Petroleum and Hindustan Petroleum had visited the U.S. and engaged in discussions with major U.S. producers over the last few months, which have concluded now,” he stated.

The announcement come against the backdrop of India facing 50% tariffs on its exports to the U.S., which also includes a 25% penalty for procuring Russian oil, and several Indian ministers’ statements that India would like to import more energy from the U.S.