A severe gas crisis has gripped the country, causing widespread hardship for households and businesses alike. Alongside a sharp decline in pressure in piped household gas connections, liquefied petroleum gas (LPG) cylinders have become scarce in many areas. Even where LPG is available, consumers are being forced to pay nearly double the government-fixed price. While the government maintains that the crisis is temporary and that sufficient reserves exist, private importers and distributors attribute the situation to international sanctions, vessel shortages, and complications in opening letters of credit (LCs). Meanwhile, allegations have emerged that dealers and retail sellers are exploiting the situation by charging excessive prices.
Ordinary Citizens Hit Hard by LPG Shortage
A significant portion of the population now relies on LPG for cooking, particularly in areas where household gas connections are unavailable or where gas pressure remains critically low. However, LPG—once considered a reliable alternative—has increasingly slipped beyond the reach of ordinary consumers.
In many parts of the country, a 12-kilogram LPG cylinder, officially priced at BDT 1,306, is being sold for between BDT 2,000 and BDT 2,300. In some locations, even at these inflated prices, cylinders are simply unavailable. As a result, low- and middle-income households, hotels, restaurants, tea stalls, and small businesses are facing acute difficulties.
At Chattogram’s Kazi Dewri area, tea stall owner Alauddin shared his experience:
“Last week, I bought a 12-kg cylinder for BDT 1,800. On Sunday, I had to pay BDT 2,200 for the same cylinder. Even at this price, it’s hard to find.”
Many retail shopkeepers are seen sitting with empty cylinders, claiming that dealers are not supplying gas unless they agree to pay inflated rates.
What Is Behind the Crisis?
Industry insiders say multiple factors are contributing to the current LPG shortage. Former director of the Chattogram Chamber of Commerce and Industry and LPG trader Mahfuzul Haque said the crisis has persisted for over a month.
“Our primary source of LPG is the Middle East,” he explained. “Recently, international sanctions imposed by the U.S. Treasury Department have affected several vessels that used to transport LPG to Bangladesh.”
According to him, these sanctions have led to a shortage of suitable vessels. As a result, even importers who managed to open LCs were unable to bring LPG shipments on time. At the same time, major LPG companies failed to open LCs due to banking complications.
Large importers such as Bashundhara, Beximco, and Unigas were unable to import LPG because of LC-related difficulties, creating a major gap in the supply chain and intensifying the crisis.
Importers Acknowledge Supply Constraints
Officials from LPG marketing companies have also acknowledged the supply challenges. Ekramul Haque Jewel, Area Head of Sun Gas Limited, said seasonal factors typically affect LPG availability.
“During winter, demand for LPG rises sharply in colder countries. At the same time, fuel oil production in the Middle East declines slightly, which also affects LPG output. As a result, some degree of shortage occurs every winter. However, this year’s situation is different and more severe,” he noted.
According to data from LOAB, although 23 companies are authorized to import LPG in Bangladesh, only 10 companies imported LPG in December. Due to banking and LC-related issues, companies such as Bashundhara, Beximco, Unigas, Orion, G-Gas, and Navana were unable to open LCs.
Imports Fall Short of Demand
Data from the National Board of Revenue (NBR) shows that LPG imports declined in 2025 despite steady demand. While total LPG imports stood at 1.61 million tonnes in 2024, the figure dropped to 1.47 million tonnes in 2025.
A similar decline was recorded in December imports. In December 2025, LPG imports amounted to 141,765 tonnes—18,866 tonnes less than in December of the previous year.
Energy experts say this decline in imports is one of the primary reasons behind the ongoing supply shortage.
Uncontrolled Price Hikes
For January, the Bangladesh Energy Regulatory Commission (BERC) set the price of a 12-kg LPG cylinder at BDT 1,306, up from BDT 1,253 in December—an increase of BDT 53 in a single month.
However, this official pricing has little reflection in the actual market. Consumers allege that dealers and retailers are making excessive profits by exploiting the crisis. There are also claims that some traders have amassed huge profits within a very short period, although fear of reprisal has discouraged many from speaking out publicly.
The Consumer Association of Bangladesh (CAB) has criticized BERC for failing to control the market. According to the organization, weak monitoring and enforcement have allowed unscrupulous traders to take advantage of consumers.
Government and BERC’s Position
Despite widespread complaints, government authorities insist that the crisis is temporary. BERC Member (Gas) Md. Mizanur Rahman said the seasonal increase in demand has coincided with global logistical challenges.
“LPG demand naturally rises during winter. The situation has been further complicated by vessel shortages due to international sanctions. However, this is a temporary issue,” he said.
He added that sufficient LPG is currently available in the market and that enforcement drives have been launched against those charging excessive prices.
Ministry’s Explanation
Energy Adviser to the Ministry of Power, Energy and Mineral Resources, Fauzul Kabir Khan, emphasized that the LPG sector is overwhelmingly controlled by the private sector.
“About 98 percent of LPG operations—import, storage, and distribution—are handled by private companies. The government controls only around two percent, which is processed at Eastern Refinery. That facility is currently shut down for maintenance,” he explained.
He said steps have already been taken to import additional LPG to ease the crisis, and new consignments are expected to arrive within a week.
Responding to concerns about reduced LC openings, the adviser said,
“Based on information provided by LPG operators, more LCs have been opened this month compared to last month. We are making continuous efforts to normalize the situation.”
Overall, the LPG crisis in Bangladesh has evolved into a complex, multi-dimensional problem. International sanctions, LC complications, reduced imports, and weak market regulation have combined to create severe hardship for consumers. While the government maintains that the situation is temporary, ground-level realities paint a far more troubling picture. Without swift and effective intervention to stabilize supply and strengthen market oversight, the crisis may deepen further in the coming days, experts warn.