A reduction in tensions across the Middle East could bring relief to Indian consumers, as the cost of several imported goods and services may fall. From cooking gas to air travel, here are the products that could become more affordable.
India imports nearly 60% of its LPG requirements from Gulf nations. During periods of conflict, international prices of propane and butane, the main components of LPG – rose above USD 800 per metric tonne.
If tensions continue to ease, prices could fall to around USD 550-600 per metric tonne. This may lead to a reduction of Rs 70-100 in domestic LPG cylinder prices. However, as the government already provides subsidies on LPG, it remains to be seen whether the full benefit will be passed on to consumers.
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Will Dates and Figs Become More Affordable?
India imports around 90000 to 100000 metric tonnes of dates every year from Iran and other Gulf countries. Supply disruptions caused by shipping restrictions pushed wholesale prices of popular varieties such as Kimia and Mazafati dates up by 35-40%.
With trade routes reopening and supplies returning to normal, wholesale and retail prices could drop by 25-30%.
Can CNG and PNG Prices Come Down?
India imports nearly half of its natural gas needs in the form of LNG, mainly from Qatar and the UAE. Fears of supply disruptions had pushed spot LNG prices to USD 15-18 per mmBtu.
Global gas prices are now expected to ease to around USD 9-10 per mmBtu. As a result, CNG and PNG prices in India could fall by Rs 4-6 per kilogram or standard cubic metre.
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India imports around 7-8 million tonnes of urea and phosphate-based fertilisers each year, with Oman and Saudi Arabia being major suppliers.
Supply chain disruptions had increased import costs by USD 50-70 per tonne. With shipping routes operating normally again, fertiliser companies could see input costs fall by 12-15%. This may reduce the government’s subsidy burden and help ease shortages in the open market.
The Indian plastics industry imports around 40% of its polymer and plastic raw materials from Gulf-based petrochemical refineries.
When crude oil prices climbed to USD 125 per barrel, polymer prices rose by as much as 20%. If oil prices return to the USD 75-80 range, plastic input costs could fall by up to 15%, making packaging materials cheaper.
Will Airfares Become Less Expensive?
Aviation turbine fuel (ATF) accounts for around 40% of an airline’s operating costs. When crude oil prices surged above USD 125 per barrel, ATF prices reached record highs.
A fall in crude oil prices is expected to reduce ATF costs by 10-12%. Airlines may pass on these savings to passengers through airfare cuts of 8-10%.
How Could Scrap Metal Imports Benefit?
India imports millions of tonnes of aluminium and copper scrap from the UAE and other Gulf countries every year.
During the conflict, freight charges and war-risk insurance premiums rose by as much as 300%. With shipping routes normalising, freight costs could fall by around 30%, making raw materials 8-10% cheaper for domestic recycling units.
Will Industrial Sulphur Prices Drop?
India is a major importer of sulphur, which is widely used in the rubber and chemical industries.
Supply disruptions from Gulf countries pushed domestic sulphur prices up by 18-22%. As refinery production and shipments return to normal, sulphur prices could decline by up to 15%.
Can Paints and Coatings Become More Affordable?
Around half of the raw materials used in paint manufacturing, including resins and solvents, are derived from petrochemicals.
Lower oil and gas prices could reduce production costs for paint manufacturers by 6-8%. Companies may pass these savings on to consumers through lower prices or promotional discounts.
Will Delivery and Logistics Charges Reduce?
India’s logistics sector is heavily influenced by fuel and operational costs. As global energy markets stabilise, freight rates are expected to decline by 7-10%.
This could lower operating costs for e-commerce and food delivery companies, leading to a possible reduction of 5-8% in delivery and courier charges.
First published on: Jun 15, 2026 08:21 PM IST
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