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๐Ÿ‡ณ๐Ÿ‡ต Nepal /Economy & Trade

LPG imports are up, but consumers still queue for cooking gas in Nepal

From Kathmandu Post · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Sources not specified Context piece
  • Nepal's liquefied petroleum gas (LPG) imports have increased recently, according to officials and industry representatives.
  • Despite higher imports, consumers face long queues for cooking gas due to supply chain issues, not a lack of supply.
  • A previous policy of selling half-filled cylinders to manage demand during regional tensions has contributed to pent-up demand upon the return of full cylinders.

Despite an increase in liquefied petroleum gas (LPG) imports, consumers in Nepal are still facing severe shortages, leading to long queues for cooking gas cylinders. Government officials and industry representatives confirm that imports have risen in recent weeks, suggesting the problem lies deeper within Nepal's supply chain rather than a simple lack of product.

The current difficulties stem partly from a policy implemented in February due to escalating tensions in West Asia. Fearing supply disruptions, the state-owned Nepal Oil Corporation (NOC) decided on March 13 to sell only half-filled cylinders (7.1 kg instead of the usual 14.2 kg). This measure, which lasted about four months, reduced consumption and eased immediate market pressure, allowing the supply system to cope.

However, when full 14.2 kg cylinders resumed sales on July 15, suppressed demand returned almost instantly, bringing back the shortages. Industry operators estimate that imports have actually increased by 15 to 25 percent recently. The issue appears to be concentrated in cylinder management, storage capacity, distribution, and transportation, rather than the volume of gas entering the country.

Supplies are currently regular.

โ€” Nagendra SahThe NOC managing director states that Nepal is receiving a consistent supply of LPG from India.
DistantNews Editorial

Originally published by Kathmandu Post in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.