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Market Chatter: India Pushes State-Refiners to Raise US LPG Imports in 2027

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The Indian government has asked state-owned refiners to increase purchases of US liquefied petroleum gas through term contracts to at least 15% of 2027 imports, Bloomberg reported Thursday, citing people familiar with the matter.

Executives from Indian Oil, Bharat Petroleum, and Hindustan Petroleum are currently negotiating LPG supply deals in the US, as they plan to jointly issue a tender following the discussions, sources told the news agency. The move will reportedly help in diversifying fuel supplies and securing a trade deal with the US.

US term supplies to India totaled around 2.2 million tons for the year, making up 10% of its total inbound shipments, according to the report. Meanwhile, total shipments from the US to the country reached a record 3.9 mmt from January through August, making the US its top supplier of LPG.

India's petroleum ministry and the three state-owned refiners did not immediately respond to' requests for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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