LPG ships from Gulf idle; foreign ships bring U.S. cargoes
ECONOMY – ENERGY
23 APRIL 2026
Indian LPG carriers from Gulf idle
- Many of the nine Indian-flagged LPG carriers evacuated from the Persian Gulf are drifting empty after unloading.
- Barring BW Elm, now anchored off Trincomalee in Sri Lanka, the rest are stationed off India’s west coast near Mumbai, Kandla and nearby areas.
- The vessels have likely completed cargo operations and are ready to load but are awaiting instructions — possibly with an eye on a quick resolution allowing a return to Persian Gulf routes.
India diversifies
- Meanwhile, India has been diversifying LPG sourcing.
- Several foreign-flagged ethane and LPG carriers loaded at Houston and Texas, USA are headed to Indian ports such as Visakhapatnam, Mangaluru and Ennore for deliveries.
Cape of Good Hope route
- Many of the vessels are taking the longer route around Cape of Good Hope rather than the shorter Suez Canal.
- Though the Suez route is more direct—and likely more economical given surging ship fuel costs — high canal transit fee and security concerns, including risk of Houthi attacks on U.S.-origin cargoes, may be pushing operators to the longer route.
Spot purchases
- Many of the current shipments are spot purchases, which come with elevated freight rates.
- India’s LPG import deficit was about 1 million tonne in March and about 9 lakh tonne in April.
