Pakistan is facing a worsening liquefied petroleum gas (LPG) shortage, with prices of domestic cylinders surging sharply after the closure of two major border crossings with Iran disrupted imports. The supply crunch has raised concerns among consumers and traders, particularly as the winter season approaches and demand for cooking and heating fuel is expected to increase.
The price of a 12-kg LPG cylinder has climbed to around 7,000 Pakistani rupees from 4,500 rupees within days, according to traders. The situation has also highlighted Pakistan’s dependence on supplies from neighbouring Iran, with the country importing approximately 7,000 metric tonnes of LPG daily through the cross-border trade network.
The Gabd-Rimdan and Taftan crossings were closed on October 17, bringing LPG imports through the affected routes to a halt. Pakistan’s Balochistan provincial government attributed the temporary closure to security concerns and efforts to curb smuggling, while Iran cited technical issues, according to reports.
The disruption has left hundreds of trucks, including LPG tankers, stranded on both sides of the border, affecting the movement of fuel and other commodities. Shamsul Haq, former president of the Gwadar Chamber of Commerce and Industry, said more than 4,000 metric tonnes of LPG entered Pakistan daily through the Gabd-Rimdan crossing alone before the disruption.
The suspension of imports has put additional pressure on the domestic market, with traders warning that prices could rise further if regular supplies are not restored. The impact is already evident in different parts of the country, where consumers are paying varying rates for LPG cylinders.
Pakistan LPG Association chairman Irfan Khokhar said a 12-kg cylinder was selling for approximately 7,000 rupees in Balochistan, 7,500 rupees in Lahore and 8,200 rupees in Skardu. He warned that shortages could intensify if the disruption continued, adding that rising LPG costs were also contributing to increases in the prices of other goods.
Consumers have reported a steep increase in the cost of purchasing fuel. Farhat Abbas, a resident of Lahore, said he had earlier paid around 250 rupees per kilogram for LPG but was now being charged between 500 and 600 rupees per kilogram.
The border restrictions have also affected trade beyond the energy sector. More than 1,000 Pakistani containers carrying potatoes, bananas and rice for Iran were reportedly held up, while transporters faced prolonged waits and difficult conditions with limited access to basic facilities.
The Gabd-Rimdan crossing was reopened on Wednesday to allow Pakistan to export perishable goods, but LPG imports remained suspended at the time of the reports. The Quetta Chamber of Commerce and Industry also advised its members to stop placing fresh orders with Iran until further notice.
The disruption has raised concerns about the broader economic relationship between the two countries. Pakistan-Iran trade was valued at approximately $2.8 billion during the 2023-24 fiscal year, including nearly $684 million in Pakistani exports, according to the Federation of Pakistan Chambers of Commerce and Industry.
Meanwhile, Pakistan’s army chief visited Tehran during the week and held discussions with Iranian officials on border-related matters. Iran’s foreign ministry said consultations were under way to resume trade between the two countries.
With supplies constrained and prices rising, the duration of the border disruption is likely to be a key factor in determining the availability and affordability of LPG in Pakistan in the coming weeks.
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