Gas shortage worries in India spark panic buying for Induction stoves
Indians are buying electric induction cookers at a rapid rate, causing stocks to be depleted online and in stores. This is due to fears that there could be a shortage of cooking gas linked?to the Middle East conflict.
India, which is the second largest importer of LPG in the world, has invoked emergency powers in order to 'boost supply for household users, even though availability is tightening? for commercial users such as canteens, hotels and restaurants.
Some households are worried about higher prices and refill delays, so they buy electric appliances.
On Thursday, Amazon, Walmart's Flipkart, Eternal Blinkit, and Zepto were all out of stock, but some offline stores said that fresh stocks were still a few days away.
A company spokesperson revealed that sales of induction stoves on Amazon India have increased more than 30 times, while those for rice cookers and pressure cookers have also increased four-fold.
TTK Prestige, a kitchen appliances manufacturer, said that demand for induction cooktops has soared beyond supply.
Venkatesh VIJAYARAGHAV, CEO of the company said that there was a "threefold increase" in demand.
The company increased its staff by about 15% and has increased production capacity from 70% to 100%. The company also plans to increase the price of 'induction stoves' in the second quarter of this year, to offset any increased costs.
In 2024-25, TTK's standalone revenue of 25,30 billion rupees (US$274.52 millions) was accounted for by induction stoves.
On online shopping platforms, models from Butterfly, Havells India, and Bajaj Electricals were also marked "currently unavailable".
Google Trends shows that search interest in induction cooktops reached a new high on 12 March. Some restaurant chains such as Wow Momo and California Burrito have said they are exploring induction cookers as a backup plan.
Manish Valecha, an Anand Rathi analyst, said that large kitchen appliance manufacturers with strong distribution and domestic assembly, such as TTK Prestige and Butterfly, would be best positioned to profit from the surge in demand for induction cooktops. He added that reliance on imported components could pose supply risks, especially if the surge in demand continues.
Vijayaraghavan stated that TTK Prestige would switch from sea shipments and airlift components from China or?Southeast Asia. The company will absorb higher costs in order to guarantee supplies if there are any further disruptions.
Middle?East conflict disrupts shipping through Strait of Hormuz, Gulf and has increased costs. It also tightens oil and gas supply from the?Middle East.
LSEG data show that the Suezmax tanker 'Shenlong' arrived in Mumbai on Thursday with Saudi crude. It was the 'first crude carrier from the Middle East to arrive in India since the conflict between Iran, the United States, and Israel erupted late in February.
(source: Reuters)
