India has seen a notable increase in the price of liquefied petroleum gas (LPG) used for cooking, marking the first hike in about a year. This increase is attributed to the surge in global energy prices, driven by supply disruptions stemming from the conflict in the Middle East, particularly due to the ongoing American-Israeli war in Iran and the closure of the Strait of Hormuz. The price of a 14.2 kg domestic gas cylinder rose by 7% in the capital, New Delhi, bringing it to 913 rupees (approximately $10.87), according to data from Indian Oil Corp, the country's largest LPG distributor.

The backdrop to this price hike is India's heavy reliance on energy supplies from the Middle East, where it imports over 90% of the LPG it consumes, making it the world's third-largest consumer of this fuel. The closure of the Strait of Hormuz has notably hampered shipping routes, impacting the availability of cooking gas across the country. The implications of these circumstances are significant, especially considering that an estimated 222 million households in India depend on LPG for their cooking needs, which signifies a large portion of the population is affected by rising fuel costs.

As energy prices continue to escalate due to geopolitical tensions, India's domestic consumers may face higher living costs, potentially exacerbating existing economic hardships. The government's response to such increases in energy pricing will be crucial not only for consumer affordability but also in terms of maintaining energy security and stability within the country.