Argentina, in the South American continent, has emerged as a crucial energy partner for India, ramping up supplies of liquefied petroleum gas (LPG) at a time when disruptions in West Asia have strained the country's cooking gas imports.
The crisis has been triggered by instability in the Strait of Hormuz, a crucial maritime passage through which nearly 60% of India's LPG imports are transported. The disruption in shipping has significantly affected energy supplies, prompting urgent steps to secure alternative sources and maintain domestic availability.
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India, which depends on imports for around 60% of its LPG consumption, has witnessed a sharp drop in incoming cargoes. Industry estimates suggest that LPG imports could decline by nearly 46% in March compared to the previous month, underlining the severity of the disruption.
To address the shortfall, Argentina has emerged as a key alternative supplier. In the first quarter of 2026, the South American country exported about 50,000 tonnes of LPG to India—more than double the 22,000 tonnes shipped during the entirety of 2025.
Of these shipments, around 39,000 tonnes had already reached Indian shores from Argentina's Bahia Blanca port before the conflict escalated.
An additional 11,000 tonnes were dispatched on March 5, underscoring Buenos Aires' willingness to support India during the crisis.
Notably, Argentina had not supplied LPG to India prior to 2024.
The supply crunch has also prompted immediate domestic measures. Refineries have stepped up LPG production, while supplies to industrial users have been reduced to prioritise household consumption. Authorities have also urged consumers to avoid panic buying and, where possible, switch to piped natural gas connections.
The partnership is not without challenges. The distance between Argentina's Bahia Blanca and India's Dahej port in Gujarat—close to 20,000 kilometres—makes the route one of the longest for energy shipments.
This significantly raises transportation costs and introduces logistical complexities, including weather-related risks and longer delivery timelines.
Despite these hurdles, the arrangement is strategically important. For India, it represents a critical step in reducing overdependence on traditional supply routes and regions.
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