LOAB urges LPG sellers to follow BERC price amid high retail rates
Association says imports are sufficient, while Chattogram dealers report sharp cuts in supplies.
The LPG Operators Association of Bangladesh (LOAB) has directed its member companies, distributors, dealers and retailers to sell liquefied petroleum gas at prices set by the Bangladesh Energy Regulatory Commission (BERC), amid reports of sharp increases in retail prices and supply shortages in some markets.
The directive came as the 12.5kg LPG cylinder, officially priced at Tk1,652 for September 2026, is being sold for Tk2,000–2,200 in some retail markets, according to traders and consumers.
LOAB, however, said there is no shortage of LPG in the country and imports are sufficient to meet domestic demand.
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Bangladesh imported around 156,000 tonnes of LPG in September, compared with 158,000 tonnes in August, according to the association.
"The current level of imports is sufficient to meet demand and there is no scope for an artificial shortage in the market," LOAB President Mohammad Amirul Haque said in a statement today (1 October).
The association warned that selling LPG above the BERC-set price or stockpiling cylinders in violation of regulations would constitute a breach of the law.
"Any LPG operator, distributor, dealer or retailer involved in such activities will face appropriate action under the prevailing laws," he said.
The directive followed a meeting between the Ministry of Power, Energy and Mineral Resources and LOAB leaders on 28 September, chaired by the energy minister, where LPG supply and prices were discussed.
LOAB said it informed the ministry that LPG imports were at a satisfactory level.
The association also said the energy minister instructed deputy commissioners at a virtual meeting on 30 September to closely monitor the LPG market.
Amirul Haque urged member companies, distributors, dealers and retailers to immediately ensure sales at the regulated price.
The association said it would cooperate with administrative authorities and law enforcement agencies to protect consumers and maintain market stability.
Dealers report supply cuts
Despite LOAB's claim that imports are adequate, LPG dealers in Chattogram say they are receiving far less product than their usual requirements.
Mohammad Arif, a Chattogram-based dealer, told The Business Standard that his business normally sells 800–1,000 cylinders a day.
"But over the past week, we have been receiving only around 100 cylinders a day from the operators. Even after making advance payments, we are not getting adequate supplies," he said.
He said the reduced supply has increased their operating costs and left dealers with little choice but to sell cylinders at higher prices.
The conflicting accounts raise questions over where the supply bottleneck lies, as the association points to adequate imports while dealers report significant shortages at the distribution level.
For consumers, the immediate impact is a widening gap between the regulated price and the price they are actually paying in some markets.
The 12.5kg cylinder is widely used by households and businesses for cooking, making LPG prices particularly sensitive to disruptions in the supply chain.
