India signs first LPG term deal with US

To import 2.2 mt cooking gas; development comes at a time when negotiations for India-US BTA gather steam

- SHUBHANGI MATHUR

Ina first, Indian oil public sector undertakings (PSUs) finalised a one-year contract to import around 2.2 million tonnes (mt) of liquefied petroleum gas (LPG) from the US.

The LPG import deal comes at at ime when negotiations for an India-US bilateral trade agreement (BTA) are gathering steam. Earlier in the month, US President Donald Trump had said Washington and New Delhi were “pretty close” to reaching a fair trade deal.

Announcing the contract, Hardeep Singh Puri, Union minister of petroleum and natural gas, said the LPG volumes to be imported from the US Gulf Coast for the contract year 2026 represent close to 10 per cent of India’s annual LPG imports. As India works to narrow trade surplus with the US, the energy sector is likely to be central in the two countries finalising trade agreements.