LPG Crisis in Pakistan: Prices Hit Rs750/kg as Iran Border Closure Halts Imports

By Bilal Ahmed | October 23, 2026 | Updated: October 23, 2026

LPG prices in Pakistan have surged to Rs750 per kilogram in parts of Khyber Pakhtunkhwa, while cylinder prices have crossed Rs10,000 — and the trigger is the closure of the Gabd-Rimdan and Taftan border crossings with Iran on October 17, which halted roughly 7,000 metric tons of daily LPG imports. A 12 kg cylinder that sold for Rs4,500 just days ago now costs Rs7,000 in Balochistan, Rs7,500 in Lahore and Rs8,200 in Skardu, according to the Pakistan LPG Association. The official OGRA rate stands at Rs279.34 per kg — meaning consumers in the worst-hit markets are paying nearly three times the notified price. Here is everything we know: the real rates city by city, why the borders closed, why the regulator is not acting, and what to do about your cooking-gas bill this winter.

Why the LPG Crisis Happened: Two Borders, One Shutdown

On October 17, both the Gabd-Rimdan and Taftan crossings between Pakistan and Iran shut down — the two main arteries for Pakistan’s LPG supply. The two sides are still disagreeing on why. The Balochistan government says the temporary closure was meant to address security concerns and curb smuggling, while Iran’s foreign ministry has cited technical issues, according to Reuters.

The scale of the disruption is enormous. The Pakistan LPG Association says Pakistan imports about 7,000 metric tons of LPG a day from Iran — and former Gwadar Chamber of Commerce president Shamsul Haq told Reuters that more than 4,000 tons a day enters through Gabd-Rimdan alone. “These imports are at halt,” he said. Put simply: the single largest source of Pakistan’s cooking fuel was switched off overnight.

This matters so much because Pakistan is heavily dependent on imported gas. Around 70% of the country’s LPG demand is met through imports, with only 30% produced domestically, a senior OGRA official told The Express Tribune. When the border taps closed, the domestic buffer lasted barely days — the shortage has intensified over the past five to six days, with northern areas of KP recording the highest reported rates.

Pakistani officials have separately linked the Taftan closure to tensions between Iran and the United States, the Tribune and Profit report.

LPG Prices in Pakistan Right Now: City-by-City Rates

The price picture is ugly — and it changes by the hour. Here are the figures reported on October 23 by Reuters, The Express Tribune and Profit Pakistan Today:

Khyber Pakhtunkhwa: LPG has touched Rs750 per kilogram in northern areas of KP — the highest rate in the country right now. In Peshawar, it is selling for around Rs600 per kilogram, while cylinder prices in the province have exceeded Rs10,000.

Punjab: Lahore resident Farhat Abbas told Reuters he paid Rs250 per kg before the border closure and now pays Rs500-600 per kg. Pakistan LPG Association chairman Irfan Khokhar put the 12 kg cylinder at about Rs7,500 in Lahore.

Balochistan: A 12 kg cylinder sells for about Rs7,000 in the province — up from Rs4,500 within days.

Gilgit-Baltistan: Skardu tops the chart at Rs8,200 for a 12 kg cylinder, Khokhar said, warning that “already, LPG is being sold at different prices in Pakistan” and that higher LPG prices were feeding through to other goods.

Compare all of this with OGRA’s official rate of Rs279.34 per kilogram for the current month — a notified price that, right now, exists mainly on paper.

If you are tracking fuel costs in general, our weekly petrol price in Pakistan page follows official pump rates every fortnight — LPG, sadly, is now in a league of its own.

Hundreds of Tankers Stranded at the Border

It is not only gas that is stuck. Shamsul Haq told Reuters that more than 1,000 Pakistani containers carrying potatoes, bananas and rice bound for Iran were stranded when the crossings closed. Hundreds of trucks — including LPG tankers — remain held on both sides of the border.

Drivers caught in the middle describe harsh conditions. “We have been standing here for over a week waiting for the border to open,” truck driver Abdul Ghani Baloch told Reuters, saying drivers had been waiting for days with limited access to basic amenities.

The Quetta Chamber of Commerce and Industry has advised its members to stop placing new orders with Iran until further notice — a sign that traders do not expect normal flows to resume quickly.

There is one small crack of relief: the Gabd-Rimdan crossing reopened on Wednesday for Pakistani exports of perishable goods. But that is exports — the LPG imports Pakistan desperately needs remain blocked, and transport costs across the economy are already under pressure, with goods transporters warning of fare hikes over fuel prices earlier this month.

Why OGRA Is Not Cracking Down (Yet)

The strangest part of this crisis is the silence from the regulator. OGRA has a notified rate of Rs279.34/kg, and retailers are openly charging double or triple — yet the planned crackdown on companies and sellers accused of profiteering has not started.

The reason, according to both the Tribune and Profit: authorities fear that enforcement could trigger strikes, disrupt supplies and aggravate the energy crisis. The absence of effective enforcement, as the Tribune puts it, has left consumers exposed to “the world’s highest LPG prices” as sellers allegedly charge arbitrary rates.

A senior OGRA official warned anonymously that prices could exceed Rs700 per kilogram in affected markets if supply disruptions intensify — northern KP is already past that mark. An OGRA spokesperson acknowledged that the Taftan border closure had created supply difficulties but said the regulator was working to address the situation and expressed confidence it would be brought under control soon.

Petroleum Minister Ali Pervaiz Malik told Geo News on October 21 that Pakistan consumes 6,500 to 7,000 tonnes of LPG a day, of which only 2,000 to 2,500 tonnes is produced locally. He said LPG should be priced between Rs400 and Rs425 a kilogram, predicted improvement within two to three days, and said the government would import LPG itself. By October 23, that improvement had not reached the market.

The Winter Angle: Firewood Prices Are Rising Too

With LPG out of reach and natural gas supplies already inadequate in many areas, lower-income households in Punjab and KP are being squeezed from both sides. The Tribune reports that residents in rural areas and on the outskirts of Peshawar have begun turning to firewood — and that shift is pushing firewood prices up too, from Rs1,400-1,600 per maund to Rs1,600-1,800. It is a worrying sign for winter, when LPG demand peaks — and with Lahore already the world’s most polluted major city this week as smog season sets in, more firewood smoke is the last thing Punjab’s air needs.

What You Can Do About Your LPG Bill Right Now

You cannot fix the border situation, but you can protect your household budget and safety over the next few weeks. Here is what practical experience suggests:

Buy from licensed dealers and demand the official rate first. Many licensed dealers still bill closer to the notified price for regular customers. Ask for a bill — dealers who give receipts are far less likely to overcharge.

Check your cylinder weight. In a seller’s market, under-filled cylinders are the oldest trick in the book. A 12 kg cylinder should weigh about 12 kg of gas plus the tare weight stamped on the cylinder — weigh it at the shop if you can.

Do not stockpile unsafe cylinders. Hoarding is tempting, but old or dented cylinders are dangerous — never keep spares near stoves or in direct sunlight, and always use a certified regulator and hose.

Cut waste in the kitchen. A pressure cooker, lids on pots and simmer settings instead of full flame can stretch a cylinder by days. If you switch to firewood, keep the area ventilated — indoor smoke is a genuine health hazard.

On the diplomatic front, there is movement: Pakistan’s army chief visited Tehran this week to discuss border issues, and Iran’s foreign ministry says consultations on resuming trade are underway. Pakistan-Iran trade totalled about $2.8 billion in FY2023-24, per the FPCCI — both sides have real economic reasons to reopen the crossings soon.

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