Oil companies in India have reduced the price of 19 kg commercial LPG cylinders by Rs 24, bringing the new rate down to Rs 1,723.50, effective June 1, 2025. This follows an earlier cut of Rs 41 on April 1. These periodic revisions are based on fluctuations in international crude oil prices and overall market conditions.
The latest price adjustment does not affect domestic LPG cylinders used for household cooking, which remain unchanged. While the reduction in commercial LPG prices is modest, it offers some economic relief to businesses nationwide.
LPG prices in India differ across states, influenced by local taxes and transportation costs. Roughly 90% of LPG consumption in the country is for household cooking, with the remaining 10% used in commercial, industrial, and automotive applications.
India’s pricing policy for domestically produced natural gas links rates to crude oil prices, set at 10% of the average price of the Indian crude basket. In May 2025, the average crude price fell to $64.5 per barrel—the lowest in more than three years. If prices hover near $65 per barrel, oil marketing companies could see their LPG-related losses drop by around 45% in FY26.
Domestic LPG usage has surged over the past decade, with the number of consumers doubling. As of April 1, 2025, India has approximately 33 crore LPG users.
Jet fuel prices slashed for third month
The price of jet fuel, or Aviation Turbine Fuel (ATF), was cut by nearly 3 per cent on Sunday, marking the third consecutive monthly reduction amid falling international benchmark prices. ATF prices in Delhi, home to one of India’s busiest airports, were lowered by Rs 2,414.25 per kilolitre (2.82%), bringing the new rate to Rs 83,072.55 per kilolitre, according to state-run fuel retailers.
This latest cut follows a 4.4 per cent drop (Rs 3,954.38 per kl) on May 1 and a steeper 6.15 per cent cut (Rs 5,870.54 per kl) on April 1. Cumulatively, these reductions have now more than compensated for the price hikes seen earlier in the year.
The price revision is expected to ease cost pressures on commercial airlines, where fuel accounts for nearly 40 per cent of operational expenses. However, airlines have not yet issued any official statements in response to the new prices.
In Mumbai, ATF prices fell to Rs 77,602.73 per kl from Rs 79,855.59. In Chennai and Kolkata, rates were cut to Rs 86,103.25 and Rs 86,052.57 per kl, respectively.