Ministry of Petroleum & Natural Gas
Inter-Ministerial Briefing on Recent Developments in West Asia
8 States/UTs getting additional LPG allocation for PNG reforms; applications from 3 States under consideration
Government permits supply of C3 & C4 streams to critical sectors including pharmaceuticals, food & public distribution, and chemicals & petrochemicals as per CHT Allocation
More than 55,000 PNG connections gasified in last five days
Over 4.3 Lakh - 5 Kg FTL cylinders sold since 23rd March
Government grants full customs duty exemption on critical petrochemical products in view of ongoing conflict in West Asia
Exemption to benefit sectors dependent on petrochemical feedstock and intermediates such as plastics, packaging, textiles, pharmaceuticals, chemicals, automotive components and other manufacturing segments
Proactive Measures taken to safeguard trade and support exporters
Inter-Ministerial coordination, exporter facilitation, logistics support and targeted relief measures initiated to ensure continuity of trade
Safe repatriation of more than 975 Indian seafarers facilitated so far from the region, including 11 in the past 24 hours
External Affairs Ministry continues to closely monitor the evolving situation in region; safety, security and welfare of the Indian community remain priority
Around 6,24,000 passengers having travelled to India since 28 February; Flight situation improving
Posted On:
02 APR 2026 6:19PM by PIB Delhi
Amid the evolving situation in West Asia, the Government of India continues its efforts to keep citizens informed through regular updates. In this regard, a media briefing was held today at the National Media Centre, where officers from the Ministries of Petroleum and Natural Gas, Ports, Shipping and Waterways, and External Affairs provided updates on fuel availability, maritime operations, assistance extended to Indian nationals in the region, and measures being taken to maintain overall stability. Officers from the Central Board of Indirect Taxes and Customs (CBIC), Ministry of Finance and Ministry of Commerce and Industry also participated, with the CBIC outlining tax and duty-related interventions, while the Ministry of Commerce and Industry highlighted steps being taken to safeguard trade and support exporters in view of the ongoing disruptions in West Asia.
Energy Supply and Fuel Availability
The Ministry of Petroleum and Natural Gas provided an update on the current fuel supply situation, outlining measures being taken to ensure uninterrupted availability of petroleum products and LPG in the context of the evolving situation in West Asia. It was noted that:
Crude and Refineries
· All refineries are operating at high capacity, with adequate crude inventories in place, and sufficient stocks of petrol and diesel are being maintained.
· Domestic LPG production from refineries has been increased to support domestic consumption.
Retail Outlets
· All retail outlets are operating normally across the country.
· The Middle East crisis has resulted in an abnormal increase in crude prices. To protect consumers from this impact, the Government of India has reduced excise duty on petrol and diesel by ₹10 per litre.
· The Government of India has imposed an export levy of ₹21.5 per litre on diesel and ₹29.5 per litre on aviation turbine fuel (ATF) to ensure availability of these products in the domestic market.
· Instances of panic buying due to rumours have been reported in certain areas, resulting in unusually high sales and crowding at retail outlets. However, adequate stocks of petrol and diesel are available across all petrol pumps in the country.
- Regular Retail Prices for Petrol and Diesel are unchanged. There is under recovery of Rs. 24.40/Ltr on Petrol and Rs. 104.99/Ltr on Diesel to PSU OMCs.
- The Government has reiterated its advice to the public not to believe rumours and has requested State Governments to disseminate accurate information through regular press briefings.
Natural Gas
· Priority allocation continues with 100% supply to domestic PNG and CNG (transport).
· Supply to industrial and commercial consumers connected to the grid is being maintained at around 80% of average consumption.
· CGD entities have been advised to prioritise PNG connections for commercial establishments such as restaurants, hotels and canteens.
· Supply to operating urea plants is steady at around 70–75% of their last six-month average consumption. Additional LNG and RLNG supplies are being sourced to maintain pipeline operations.
· Industrial consumers, including fertiliser plants, have been advised to indicate additional requirements on a spot basis.
· CGD companies such as IGL, MGL, GAIL Gas and BPCL are offering incentives for domestic and commercial PNG connections.
· The Government of India has requested States/UTs and Central Ministries to expedite approvals required for CGD network expansion.
- An additional 10% allocation of commercial LPG has been offered to States/UTs, linked to the transition from LPG to PNG, with further allocations being recommended for reform-oriented States. At present, eight States/UTs are being provided with this additional allocation, and applications received from three other States are currently under consideration.
· PNGRB has directed CGD entities to prioritise PNG connections for residential schools, colleges, hostels, community kitchens and anganwadi kitchens within five days, wherever feasible.
· Ministry of Road Transport and Highways has adopted an accelerated approval framework for CGD infrastructure with reduced timelines for a period of three months.
· The Government of India has notified the Natural Gas and Petroleum Products Distribution Order, 2026, providing a streamlined and time-bound framework for expansion of pipeline infrastructure and enhancing last-mile connectivity.
· Ministry of Defence has issued a temporary policy modification to expedite PNG infrastructure installation in defence residential areas till 30 June 2026.
· PNGRB has extended National PNG Drive 2.0 till 30 June 2026 to sustain momentum in PNG expansion.
· More than 55,000 PNG connections have been gasified across 110 geographical areas in the last five days.
LPG
· Supply of LPG is affected due to prevailing geopolitical situation.
Domestic LPG Supply:
· No reported dry-out at LPG distributorships.
· Online LPG cylinder bookings have increased to 95% on industry basis yesterday.
· To prevent diversion at the distributor level, Delivery Authentication Code (DAC) based deliveries have been increased from 53% (Feb-2026) to 85% yesterday.
· Delivery of Domestic LPG Cylinders is normal.
Commercial LPG supply:
· Govt. of India vide order dated 01.04.2026 has permitted Refining companies including Petrochemical Complexes in India to make available certain minimum quantities of C3 & C4 streams for critical sectors like Department of Pharmaceuticals, Department of Food & Public Distribution, Department of Chemicals & Petro Chemicals etc. based on specific quantity and refinery source as determined by the Centre for High Technology (CHT).
· Govt. had already restored Partial Commercial LPG supply (20%) to consumers. Further, Govt. of India vide letter dated 18.03.2026 had proposed to allocate additional 10% of Commercial LPG to States/UTs based on ease of doing business reforms for PNG expansion.
· Govt. of India vide letter dated 21.03.2026 has allowed another 20% allocation of commercial LPG to States, which would take overall allocation to 50% (incl. 10% allocation based on ease of doing reforms for PNG expansion). This additional 20% allocation shall be given on priority to sectors like restaurants, dhabas, hotels, industrial canteens, food processing/dairy, subsidised canteens/outlets run by State Govt. or local bodies for food, community kitchens, 5 Kg FTL for migrant labourers.
· Govt. of India vide letter dated 27.03.2026 has decided to allocate an additional 20% for commercial LPG (this would bring the total commercial allocation to 70% of the pre-crises level incl. 10% reform based). This additional 20% allocation would be given to industries with priority to steel, automobile, textile, dye, chemicals and plastics. Among this, priority shall be given to process industries or those requiring LPG for specialised heating purposes that cannot be substituted by natural gas.
· Since 23rd March 2026, more than 4.3 Lakh - 5 Kg FTL cylinders have been sold.
· Most of the States/UTs have issued orders to allocate the Non-domestic LPG in line with the guidelines issued by the Govt. of India. A total of 60370 MT has been uplifted since 14th March 2026 by commercial entities in the States/UTs.
Kerosene
· An additional allocation of 48,000 KL of kerosene has been made to all States/UTs over and above regular allocation.
· Distribution of PDS SKO has been facilitated in SKO-free States/UTs, with up to two designated PSU OMC service stations per district allowed to store up to 5,000 litres.
· 17 States/UTs have issued SKO allocation orders, while Himachal Pradesh and Ladakh have indicated no requirement.
Role of State Governments / UTs
· Under the Essential Commodities Act, 1955 and LPG Control Order, 2000, State Governments are empowered to act against hoarding and black marketing and play a primary role in regulating supply of essential commodities.
· States/UTs have been requested to:
Ø Institutionalise daily press briefings and issue regular public advisories.
Ø Set up dedicated control rooms and helplines.
Ø Actively monitor and counter misinformation on social media.
Ø Intensify enforcement drives and conduct regular raids and inspections.
Ø Issue commercial LPG and SKO allocation orders.
Ø Fast-track CGD expansion, including RoW/RoU approvals.
Ø Promote PNG adoption and alternate fuels.
Ø Nominate senior nodal officers for coordination with the Ministry.
· 17 States/UTs are currently conducting regular press briefings.
Enforcement Action
· Enforcement drives are ongoing across States/UTs, with more than 2,600 raids conducted and around 700 LPG cylinders seized on the previous day.
· PSU Oil Marketing Companies are conducting daily surprise inspections across retail outlets and LPG distributorships.
· More than 600 show cause notices have been issued to LPG distributorships.
Government Measures
· The Government continues to prioritise domestic LPG and PNG supply, along with critical sectors such as hospitals and educational institutions.
· Measures include enhanced refinery production, revised booking intervals and prioritised allocation of supplies.
· Alternate fuels such as kerosene and coal are being promoted to ease LPG demand.
· Ministry of Coal has directed Coal India and Singareni Collieries to increase supply for distribution to small and medium consumers.
· States have been advised to facilitate new PNG connections for domestic and commercial users.
Public Advisory
· The Government is making all efforts to ensure availability of petrol, diesel and LPG. Citizens are advised to avoid panic purchases.
· Citizens are advised to rely only on official sources and not believe rumours.
· For LPG, consumers are requested to use digital modes for booking and avoid visiting LPG distributors unnecessarily.
· Citizens are encouraged to use alternate fuels such as PNG and electric or induction cooktops.
· All citizens are requested to conserve energy in their daily usage.
Tax & Duty Measures
CBIC briefed the media on tax and duty-related measures being undertaken in view of the evolving situation. It was stated that:
· The Government of India has taken measures for reduction of duties on certain items in the petrochemical sector in view of the ongoing situation.
· In light of the conflict in West Asia and disruptions in global supply chains, a full customs duty exemption has been granted on critical petrochemical products for a temporary period of three months, i.e., until 30th June 2026.
· This measure has been taken as a temporary and targeted relief aimed at ensuring continuous availability of essential petrochemical inputs for domestic industries; reduce cost pressures on downstream sectors and safeguard supply stability across the country.
· A wide range of sectors dependent on petrochemical feedstock and intermediate products are expected to benefit, including plastics, packaging, textiles, pharmaceuticals, chemicals, automotive components and other manufacturing industries.
· The measure is also expected to provide relief to consumers of final products.
· The estimated revenue loss over the three-month period is approximately ₹1,800 crore, subject to variation based on the evolving situation.
· The decision has been taken after consultations with concerned ministries, industry stakeholders and trade representatives.
· Critical products essential for downstream industries have been identified, and customs duty on these products has been reduced to zero for the specified period.
· The measure is expected to ensure price stability for these sectors, strengthen supply chains and support continued production of essential goods.
Measures to support Trade & Exporters
The Ministry of Commerce and Industry apprised the media of the steps being taken to address the impact of disruptions in West Asia on trade, with a focus on safeguarding supply chains, supporting exporters, and ensuring continuity of trade through timely interventions. As per Ministry:
· The Department of Commerce, Ministry of Commerce and Industry, has taken timely, proactive and coordinated steps to address the impact of the evolving situation in West Asia on India’s trade, logistics and supply chains. Recognising the strategic importance of the region for India’s exports, imports and connectivity, a whole-of-government approach has been adopted to ensure continuity of trade, reduce operational stress on exporters and maintain stability in critical supply chains.
· Given the significance of the Gulf and West Asia region in India’s external trade, disruptions in this corridor have implications for freight movement, insurance costs, delivery schedules and working capital cycles of exporters. The Department of Commerce has therefore put in place an institutional mechanism for real-time monitoring, stakeholder coordination and resolution of emerging bottlenecks.
· On 2 March 2026, the Department of Commerce constituted an Inter-Ministerial Group (IMG) to monitor developments arising from the West Asia situation and to coordinate necessary interventions. The IMG brings together DPIIT, Ministry of Petroleum and Natural Gas, Ministry of Ports, Shipping and Waterways, Department of Financial Services, CBIC, RBI, Ministry of External Affairs and Ministry of Railways.
· The IMG has focused on three core areas which include maintaining supply chain and logistics continuity, monitoring critical exports and imports, and enabling pre-emptive mitigation measures. This has ensured timely attention to issues relating to shipping routes, freight escalation, insurance availability, customs clearances and movement of cargo impacted by disruptions.
· A dedicated West Asia Crisis Desk has been operationalised, supported by a toll-free helpline and email-based grievance redressal mechanism, to provide timely support to exporters facing disruptions. A focused sub-group for perishable cargo has also been constituted to address the special requirements of agricultural and other time-sensitive exports.
· Indian Missions in the region have also been engaged for field-level feedback and support to facilitate resolution of issues on the ground and ensure timely coordination with exporters and stakeholders.
· In coordination with CBIC, customs-related interventions have been initiated, including handling of return cargo, holding regular Customs Clearance Facilitation Committee meetings and allowing relaxation for Back-to-Town movement in affected cases. These measures have helped ease procedural bottlenecks and facilitate smoother cargo movement.
· In coordination with the Ministry of Ports, Shipping and Waterways and DG Shipping, steps have been taken to ensure operational continuity at ports, improve transparency in shipping-related pricing and discourage arbitrary freight practices. Relief in storage, dwell time and certain container-related charges has also been facilitated in appropriate cases.
· The Department of Commerce has worked closely with the Ministry of Railways, CONCOR and ICD operators to support container availability, inland movement and handling of export cargo affected by routing disruptions. Alternate routing options, including suitable transshipment pathways, have been continuously examined and enabled wherever feasible to reduce delays and uncertainty.
· A major intervention coordinated by the Department of Commerce has been the launch of RELIEF, Resilience and Logistics Intervention for Export Facilitation, under the Export Promotion Mission on 19 March 2026 with ECGC as the nodal agency. The initiative provides enhanced risk coverage, premium stability and special support for MSME exporters, including assistance for extraordinary logistics-related surcharges in deserving cases. The RELIEF initiative is designed to protect export momentum while ensuring that smaller exporters are not disproportionately affected by external shocks and disruptions arising from the situation in West Asia.
· Trade policy and procedural measures have also been undertaken to ease the burden on exporters. Exporters holding Advance Authorisations and EPCG authorisations have been granted additional time for fulfilment of export obligations, thereby preventing hardship arising from shipment delays beyond their control.
· Restoration of RoDTEP rates to 100 percent has further supported cost competitiveness and provided confidence to exporting sectors during a period of uncertainty. In parallel, DGFT has launched a nationwide drive for expedited issuance of Export Obligation Discharge Certificates to help unlock working capital and improve liquidity for exporters.
· Sector-specific support measures have also been taken in areas such as gems and jewellery and agricultural exports, where the impact of disruption has been particularly significant.
· The Department of Commerce remains in close engagement with Export Promotion Councils, industry associations, logistics stakeholders and concerned Ministries. Its approach continues to be practical, responsive and solution-oriented, with emphasis on trade facilitation, rapid grievance redressal and continuous monitoring of emerging risks.
· The Government remains committed to ensuring that India’s trade ecosystem remains resilient, responsive and competitive. The Department of Commerce will continue to take all necessary steps, in coordination with partner Ministries and agencies, to safeguard national trade interests and support exporters during this challenging period.
Maritime Safety and Shipping Operations
The Ministry of Ports, Shipping and Waterways provided an update on the prevailing maritime situation in the Persian Gulf, detailing the measures being undertaken to ensure the safety and security of Indian vessels and crew in the region. It was stated that:
· The Ministry of Ports, Shipping and Waterways continues to closely monitor the evolving situation in the West Asia region.
· All Indian seafarers in the region are safe, and no incident involving Indian-flagged vessels has been reported in the past 24 hours. The situation remains stable with no incidents reported in the recent period.
· A total of 18 Indian-flagged vessels with 485 Indian seafarers continue to remain in the western Persian Gulf region. The Directorate General of Shipping (DG Shipping), in coordination with ship owners, RPSL (Recruitment & Placement) agencies, and Indian Missions, is actively monitoring the situation.
· The DG Shipping Control Room remains operational 24x7 and has handled a cumulative 4,885 calls and over 9,934 emails since activation, including 116 calls and 335 emails in the past 24 hours.
· DG Shipping has facilitated the safe repatriation of more than 975 Indian seafarers so far from the region, including 11 in the past 24 hours.
· Port operations across India remain normal, with no congestion reported in the past 24 hours. State Maritime Boards of Gujarat, Maharashtra, Goa, Keralam, Andhra Pradesh, and Puducherry have confirmed smooth functioning.
- The Ministry Ports, Shipping and Waterways continues to maintain close coordination with the Ministry of External Affairs, Indian Missions, and maritime stakeholders to ensure seafarer safety, welfare, and uninterrupted maritime operations.
Safety of Indian Nationals in the Region
An update on the latest developments in the region, including ongoing assistance through Indian Missions, was also shared by the Ministry of External Affairs. It was informed that:
· Indian Embassy in Tehran has so far facilitated 1200 Indian nationals, including 845 Indian students, to exit Iran via the land border into Armenia and Azerbaijan. Of these, 996 have crossed over into Armenia and 204 into Azerbaijan.
· Several Indian nationals have also been relocated to safer places within Iran.
· The Ministry thanked the authorities in Armenia and Azerbaijan for their support in facilitating the safe transit of Indian nationals from Iran.
· The Ministry of External Affairs continues to closely monitor the evolving situation in the Gulf and West Asia region, with the safety, security and welfare of the Indian community remaining the highest priority.
· A dedicated special control room is operational to assist Indian nationals and their families, with regular coordination being maintained with State Governments, Union Territories, Embassies and Consulates.
· Indian Missions and Posts across the region are operating 24x7 helplines and remain actively engaged with Indian community associations, organizations and companies.
· Regular advisories are being issued for nationals, students, seafarers and resident Indian communities, with Missions maintaining close coordination with local governments.
· Missions continue to proactively address issues raised by Indian nationals, including visa facilitation, consular services, transit support through neighbouring countries and logistical assistance wherever required.
· The welfare of Indian students in the Gulf region remains a high priority, with efforts being made to ensure that their academic year is not impacted.
· Missions are coordinating with local authorities, Indian schools, CBSE, ICSE, Kerala Boards and the National Testing Agency to address concerns related to JEE and NEET examinations.
· Missions are in continuous contact with Indian crew members on vessels in the region, providing support including coordination with local authorities, consular assistance, communication with families and facilitation of return to India.
· The overall flight situation is improving, with additional flights operating from the region to India, and around 6,24,000 passengers having travelled to India since 28 February.
· In the UAE, limited non-scheduled flights continue to operate, with around 90 flights expected to operate to India.
· Flights are operating from various airports in Saudi Arabia and Oman to destinations in India.
· With Qatar airspace partially open, Qatar Airways is expected to operate around 8 to 10 flights to India today.
· Kuwait and Bahrain airspaces remain closed, with Jazeera Airways and Gulf Air operating flights from Dammam Airport in Saudi Arabia to India.
- Due to airspace restrictions, Indian nationals are being facilitated through alternate routes including:
- From Iran, through Armenia and Azerbaijan to India.
- From Israel, through Egypt and Jordan to India.
- From Iraq, through Jordan and Saudi Arabia to India.
- From Kuwait and Bahrain, through Saudi Arabia to India.
· An Indian national was injured in an attack in Umm Al Quwain in the UAE and is currently under treatment, with the Consulate extending all necessary assistance.
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MN
(Release ID: 2248537)
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