India Petroleum Gases HS2711 Import Data 2025 June Overview

India Petroleum Gases (HS 2711) 2025 June Import: Key Takeaways

India's June 2025 Petroleum Gases (HS Code 2711) imports reveal a strategic reliance on Gulf suppliers, with the UAE and Qatar dominating 65% of volume and value, highlighting a market split between high-volume LNG and premium propane/butane cargoes. The supply chain balances long-term Gulf contracts with opportunistic spot purchases from the US and Africa, leveraging India's recent tariff cuts to optimize costs. This analysis, based on cleanly processed Customs data from the yTrade database, confirms India's dual focus on energy security and price competitiveness in its 2025 import strategy.

India Petroleum Gases (HS 2711) 2025 June Import Background

What is HS Code 2711?

HS Code 2711 covers petroleum gases and other gaseous hydrocarbons, including liquefied natural gas (LNG), propane, and butane. These products are critical for energy production, industrial processes, and household use, driving consistent global demand. India’s reliance on imports under this code reflects its growing energy needs and industrial expansion.

Current Context and Strategic Position

In June 2025, India’s import landscape for HS Code 2711 is shaped by a significant tariff revision: the basic customs duty (BCD) on liquefied propane and butane will drop from 15% to 2.5% starting May 1, 2025 [Union Budget]. This policy shift aims to reduce input costs for industries reliant on these gases, such as petrochemicals and power generation. India’s strategic reliance on petroleum gases imports underscores the need for market vigilance, particularly as global energy dynamics and domestic demand evolve.

India Petroleum Gases (HS 2711) 2025 June Import: Trend Summary

Key Observations

In June 2025, India's imports of Petroleum Gases under HS Code 2711 were valued at 2.89 billion USD with a volume of 1.01 billion kg, marking a continued downward trend from the start of the year.

Price and Volume Dynamics

The monthly data shows a decline in both value and volume from May to June, with value dropping by 2.4% and weight by 4.7%. This decrease is consistent with typical seasonal patterns for petroleum gases, where demand often wanes after the winter heating season, leading to reduced import activity in the second quarter. The peak in March likely reflected end-of-winter stock replenishment, but the subsequent fall aligns with normal industry cycles rather than abrupt shifts.

External Context and Outlook

The tariff reduction on key products like liquefied propane and butane from 15% to 2.5% effective May 1, 2025 [India Budget], was intended to lower import costs. However, the persistent decline in June imports suggests that broader factors, such as global energy price fluctuations or subdued industrial demand, are currently dominating market dynamics. For the remainder of 2025, importers should watch for any policy adjustments or seasonal upticks in demand.

India Petroleum Gases (HS 2711) 2025 June Import: HS Code Breakdown

Product Specialization and Concentration

According to yTrade data, India's import of petroleum gases under HS Code 2711 in June 2025 is highly specialized, with liquefied butanes (27111300) dominating at a 52.60% weight share and a unit price of 1.53 USD per kilogram. Propane (27111200) follows with a 46.47% weight share and a slightly higher unit price of 1.66 USD per kilogram, indicating minor grade variations. Anomalies such as natural gas imports with high value but no weight data are isolated from this analysis.

Value-Chain Structure and Grade Analysis

The non-anomalous imports are grouped into two categories: bulk commodities like butanes and propane, with unit prices around 1.5-1.7 USD per kilogram, indicating they are fungible goods traded on market indices. Another category includes other liquefied gases (27111990) with a unit price of 2.52 USD per kilogram, suggesting possible specialty or higher-grade products. This structure shows a market primarily dealing in standardized bulk commodities with some differentiated offerings.

Strategic Implication and Pricing Power

The focus on bulk gases means importers have limited pricing power due to index-linked prices. The tariff reduction from 15% to 2.5% for propane and butanes, effective from May 1, 2025 [Union Budget], lowers costs and may boost competitiveness for India Petroleum Gases HS Code 2711 Import in 2025 June. Importers should prioritize bulk procurement strategies while assessing opportunities in niche, higher-value segments.

Check Detailed HS 2711 Breakdown

India Petroleum Gases (HS 2711) 2025 June Import: Market Concentration

Geographic Concentration and Dominant Role

India's June 2025 Petroleum Gases (HS Code 2711) imports show strong reliance on Gulf suppliers, with the United Arab Emirates and Qatar together accounting for over 65% of total import weight. The UAE leads in shipment frequency (32.7%) and volume (40.9% weight share), while Qatar delivers the highest value contribution (28.1%) despite lower physical volume, indicating it supplies higher-value LNG variants. This value-to-weight disparity points to a commodity market where pricing and product grade vary significantly by source.

Partner Countries Clusters and Underlying Causes

Three clear supplier groups emerge: regional giants (UAE, Qatar, Saudi Arabia, Kuwait, Oman) providing steady pipeline and LNG flows; value-focused partners (US, Angola) offering high-value cargoes like propane/butane at premium prices; and African spot-trade players (Cameroon, Mozambique, Trinidad) serving niche, low-frequency but high-value shipments. This structure reflects India's strategy to balance long-term contracts with flexible spot purchases to meet energy demand and price optimization.

Forward Strategy and Supply Chain Implications

Buyers should prioritize diversifying across these clusters to mitigate geopolitical and price risks. The May 2025 tariff reduction to 2.5% on propane and butane [Union Budget] makes US and Angolan cargoes more competitive, suggesting increased sourcing from value-driven partners. Maintaining strong ties with Gulf suppliers ensures baseline volume security while leveraging spot markets for cost efficiency, creating a resilient import strategy for India's Petroleum Gases (HS Code 2711) needs in 2025.

Table: India Petroleum Gases (HS 2711) Top Partner Countries (Source: yTrade)

Get Complete Partner Countries Profile

India Petroleum Gases (HS 2711) 2025 June Import: Action Plan for Petroleum Gases Market Expansion

Strategic Supply Chain Overview

India's Petroleum Gases Import under HS Code 2711 in June 2025 operates as a bulk commodity market. Core price drivers are global index-linked pricing for standard grades and slight premiums for specialty products. Geopolitical stability of Gulf suppliers also heavily influences costs. The supply chain implication is a critical need for volume security. India depends on long-term contracts with regional partners for baseline supply, supplemented by spot purchases for price optimization.

Action Plan: Data-Driven Steps for Petroleum Gases Market Execution

• Use shipment frequency data from dominant buyers to plan inventory cycles. This prevents overstock and aligns with their regular purchasing patterns.
• Track competitor import volumes and grades from the US and Angola. This identifies cost-saving opportunities post-tariff reduction.
• Analyze unit prices by supplier country monthly. This ensures you pay fair market rates and avoid overpaying for standard grades.
• Monitor Gulf supplier shipment stability and diversify with African spot cargoes. This reduces risk from any single region's disruptions.

Take Action Now —— Explore India Petroleum Gases Import Data

Frequently Asked Questions

Q1. What is driving the recent changes in India Petroleum Gases Import 2025 June?

India's petroleum gases imports declined by 2.4% in value and 4.7% in volume from May to June 2025, reflecting typical post-winter demand softening. The tariff reduction on propane and butane to 2.5% in May 2025 has yet to reverse this seasonal trend.

Q2. Who are the main partner countries in this India Petroleum Gases Import 2025 June?

The UAE and Qatar dominate, accounting for over 65% of import weight. The UAE leads in volume (40.9% share), while Qatar contributes the highest value (28.1%) due to higher-grade LNG shipments.

Q3. Why does the unit price differ across India Petroleum Gases Import 2025 June partner countries?

Price variations stem from product specialization: bulk commodities like butanes and propane trade at 1.5-1.7 USD/kg, while niche liquefied gases (HS 27111990) command 2.52 USD/kg. Qatar’s higher-value LNG further skews regional averages.

Q4. What should importers in India focus on when buying Petroleum Gases?

Importers should prioritize contracts with dominant high-frequency buyers (70.08% of market value) and diversify sourcing beyond Gulf suppliers to include US/Angolan cargoes, leveraging the new tariff rates for cost efficiency.

Q5. What does this India Petroleum Gases import pattern mean for overseas suppliers?

Suppliers from the UAE and Qatar benefit from stable, large-scale demand, while US and African exporters gain competitiveness post-tariff cut. Niche players can target India’s small but growing premium gas segment.

Q6. How is Petroleum Gases typically used in this trade flow?

Primarily consumed as industrial fuel and feedstock, with bulk propane/butane serving energy needs and specialty gases catering to higher-value chemical or manufacturing applications.