Natural Gas Supply to Fertilizer Plants Increased to 90% Amid Geopolitical Tensions
Gas supply to fertiliser plants raised to 90% of demand
News 18
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Natural gas supplies to fertilizer plants in India have been raised to 90% of demand following disruptions in energy flows due to geopolitical tensions in the Strait of Hormuz. The government has implemented measures to secure alternative liquefied natural gas (LNG) supplies from the US, Australia, and Russia.
- 01Gas supply to fertilizer plants increased to 90% of demand.
- 02Initial supply was restricted to 60% due to geopolitical tensions.
- 03LNG is being procured from alternative sources after suspension from Qatar.
- 04Commercial LPG allocation has been increased to 70% of pre-crisis levels.
- 05Enforcement actions against hoarding and black marketing have intensified.
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Natural gas supplies to fertilizer plants in India have been elevated to 90% of their requirements as of April 6, 2026, following significant disruptions in energy supplies linked to geopolitical tensions in the Strait of Hormuz. Initially, the government restricted gas supply to about 60%, which was later increased to 75-80% through alternative arrangements. With liquefied natural gas (LNG) supplies from Qatar suspended, Indian companies are now sourcing LNG from the US, Australia, and Russia to meet demand. Additionally, gas supply to other industrial sectors, including city gas distribution networks, will see an increase of 10% starting Monday. The government has also raised commercial LPG allocation to 70% of pre-crisis levels, ensuring that essential services, such as hospitals and educational institutions, receive priority in gas supply. Enforcement actions against hoarding and black marketing have intensified, with over 100,000 raids conducted and 220 arrests made. The government urges citizens to avoid panic buying and rely on official information sources.
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The increase in gas supply will help stabilize fertilizer production, which is crucial for agriculture. This may lead to more stable prices for fertilizers and ultimately benefit farmers and consumers.
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