Liquefied Petroleum Gas (LPG) Cost Intelligence Report, 2030

Liquefied Petroleum Gas (LPG) Procurement Intelligence Report, 2023 - 2030 (Revenue Forecast, Supplier Ranking & Matrix, Emerging Technologies, Pricing Models, Cost Structure, Engagement & Operating Model, Competitive Landscape)

  • Published Date: ---
  • Base Year for Estimate: 2022
  • Report ID: GVR-P-UC-159
  • Format: Electronic (PDF)
  • Historical Data: 2020 - 2021
  • Number of Pages: 0

Liquefied Petroleum Gas (LPG) Category Overview

The global liquefied petroleum gas (LPG) category is anticipated to grow at a CAGR of 3.7% from 2023 to 2030. It is driven by growing acceptance of green and renewable energy sources in emerging and developed nations, rising understanding of the benefits of switching to LPG from fossil fuels, and efforts and contributions by local governments to promote the usage of LPG in a variety of applications. In addition, rise in the usage of LPG in automotives as an alternate fuel to diesel and regular gasoline, and as a clean-burning fuel for indoor cooking in residential settings (especially as a smokeless fuel) in various regions is also anticipated to fuel the growth of the category. However, Infrastructure constraints, and concerns pertaining to safety during the storage, handling, and transportation of LPG since it is pressurized and flammable, may hinder the growth of the global category during the forecasted timeframe.

Key technologies that are trending in the liquefied petroleum gas (LPG) industry include internet of things (IoT), artificial intelligence (AI), big data & analytics, robotics & automation, cloud computing, and blockchain.The IoT is being utilized by the industry to monitor remote areas, increase worker safety, optimize equipment, and boost production. Real-time data collection is made possible by sensors installed within choke valves, blowout preventers (BOP), and wells.Utilizing this information, producers can promptly detect malfunctioned machinery, assisting field engineers in anticipating and responding promptly. In addition, AI and data science are being used by the industry more and more to address challenging issues in upstream, middle, and downstream processes. Platforms with AI capabilities assist with decision-making by providing insights from cognitive, prescriptive, and predictive analytics.

The category for liquefied petroleum gas (LPG) exhibits a fragmented landscape, with intense competition among the global suppliers operating in the industry. Key players in the industry are placing a great deal of emphasis on the exploration and production of natural gas with improved operational features. In addition, they are incorporating tactics such as geographics expansion, capacity expansion, mergers & acquisitions, partnerships, etc. to strengthen their position across the globe. For instance, after producing solely oil for many years, Shell U.K. Ltd., a subsidiary of Shell plc, improved the Pierce field in the UK Central North Sea to enable gas production. Majority of the players are focusing on enhancing their Autogas (automotive grade gas) capabilities due to a steadily increasing fleet counts, particularly in Asia-Pacific and Europe. Buyers in the category possess high negotiation capability owing to intense competition which enables switching to better alternative when required.

Cost of raw materials / feedstock (natural gas and crude oil), labor, equipment & machinery, rent & utilities, and transportation & logistics are the key cost components in this category. Raw materials / feedstock forms the largest cost component in the category. Gas offered in the category is the byproduct of both natural gas and crude oil. In the U.S., though LPG is more directly competitive with the other crude oil byproducts, natural gas processors provide around 69.9% of the propane. For this reason, changes in the price of crude oil are reflected in the wholesale price of propane. Since propane is a byproduct, demand and price fluctuations cannot be used to modify the amount of propane made available through the processing of natural gas and crude oil. The majority of propane sold at wholesale in the nation is generated domestically. The average price of LPG in the U.S. during 2023 had been 2.018 USD/US gallon.

Asia-Pacific region dominates the global liquefied petroleum gas (LPG) category, holding substantial share of revenue. It is dominated by China as the biggest market, followed by India and Japan are the key contributing nations.For the past several years, the governments of the nations in the region have encouraged the use of LPG for cooking, which is expected to supplement region’s demand. For instance, the Indian government offers free LPG cylinders and subsidies to rural sections of the nation. Reviewing the supplier’s infrastructure and supply chain management to assess if it’ll be able to provide uninterruptible supply, assessing a supplier’s technical expertise on design and application elements, checking about the safety protocols and support that a supplier offers during transportation and after installation, and comparing the pricing structure of different suppliers are some of the best sourcing practices considered in this category.

Liquefied Petroleum Gas (LPG) Procurement Intelligence Report Scope

Report Attribute


Liquefied Petroleum Gas (LPG) Category Growth Rate

CAGR of 3.7% from 2023 to 2030

Base Year for Estimation


Pricing Growth Outlook

5% - 10% increase (Annually)

Pricing Models

Cost-plus pricing, Demand-based pricing

Supplier Selection Scope

Cost and pricing, Past engagements, Productivity, Geographical presence

Supplier Selection Criteria

Geographical service provision, industries served, years in service, tank sizes for commercial & industrial applications, periodic safety training, audit, and maintenance services, safety provisions & products, regulatory & environmental compliance, lead time, and others

Report Coverage

Revenue forecast, supplier ranking, supplier matrix, emerging technology, pricing models, cost structure, competitive landscape, growth factors, trends, engagement, and operating model

Key Companies Profiled

Bharat Petroleum Corporation Limited, BP p.l.c., Chevron Corporation, China National Petroleum Corporation, Exxon Mobil Corporation, Flaga s r.o., L’Air Liquide S.A., Petrofac Limited, QatarEnergy, Repsol S.A., Shell International B.V., and Vitol Netherlands Coöperatief U.A.

Regional Scope


Revenue Forecast in 2030

USD 156.9 billion

Historical Data

2020 - 2021

Quantitative Units

Revenue in USD billion and CAGR from 2023 to 2030

Customization Scope

Up to 48 hours of customization free with every report.

Pricing and Purchase Options

Avail customized purchase options to meet your exact research needs. Explore purchase options

Frequently Asked Questions About This Report

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Add-on Services

Should Cost Analysis

Component wise cost break down for better negotiation for the client, highlights the key cost drivers in the market with future price fluctuation for different materials (e.g.: steel, aluminum, etc.) used in the production process

Rate Benchmarking

Offering cost transparency for different products / services procured by the client. A typical report involves 2-3 case scenarios helping clients to select the best suited engagement with the supplier

Salary Benchmarking

Determining and forecasting salaries for specific skill set labor to make decision on outsourcing vs in-house.

Supplier Newsletter

A typical newsletter study by capturing latest information for specific suppliers related to: M&As, technological innovations, expansion, litigations, bankruptcy etc.

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