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Packed LPG

According to the latest scenario of the Natural Gas Analysis, the Natural Gas market in India is expected to be the one of the fastest growing in the world during the next two decades. Among its segments LPG has made a substantial progress to become the most convenient, cost effective and pollution free means of fuel, especially in the middle class segment. LPG market in India is not at all versatile and competitive.


LPG Demand in India

  • Fourth largest consumer of LPG in the world after USA, China & Japan.
  • Third largest consumer in domestic sector in the world after China & USA.
  • Major marketing of LPG is Domestic Sector.
  • Home Delivery of 3 Million LP Gas cylinders per day (i.e 900 Million / year)
  • steady Growth @ 8% p.a. in LPG Consumption in India.


MARKET:
The LPG market is increasing every year by 11%. As per the present Govt policy, from the recent announcement of Government of India the Government proposed to pay the subsidy amount directly to the account of the person. By this scheme the customers can buy LPG from any suppliers and they will get the fixed subsidy on their account as everybody know the private companies like us will do better service compare with Government companies as in any industry.

(A) Domestic Market
1. PSU companies are giving fixed quantity of subsidized cylinders.
2. PSU companies have cancelled many domestic gas connections due to multiple  connections at the same address. This has led to     shortage of gas connections to many large or joint families.
3. Many people buying refill cylinders illegally (At Higher Price) from the LPG hawkers are not getting refill supply due to shortage of LPG     cylinders due to Govt. regulations.
4. People buying “New PSU Gas Connections” are not entitled for fixed quantity of subsidized cylinders.
5. There is confusion in the minds of general public regarding continuous supply of LPG.

(B) Commercial & Industrial Market
1. The Commercial & Industrial users are facing shortage of LPG cylinders. As the market data shows that, many of them use to buy 14.2 kg     (Domestic) subsidized cylinders illegally for their usage. But now, due to Govt. regulation availability of such cylinders to them has reduced     between 50% to 60%.
2. They are facing shortage problem due to demand supply gap.
3. Industry and commercial users are facing the problem of poor service and lower quality delivered them.

Current Market Opportunity -
1. We can capture the market as there is a huge demand-supply gap in the market.
2. People want good service and they are willing to pay for the same.
3. Many people with good investment capacity are looking for an “Long Term Business” opportunity. The LPG business is a profitable as well     as a long term business.
4. Industry and commercial user needs a cost effective and quality fuel for their process so we can capture this opportunity as a future oriented     business.
5. According to Govt. policy and announcement for oil and gas sector there is a big scope in LPG sector , so present time is golden opportunity     for those people who want to invest in new business. 


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