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5-kg LPG Cylinder in Kirana Stores
Apr 21, 2014

Running out of cooking gas suddenly won't be such a problem anymore. You can always step out and pick up a refill literally off the shelf at a good Kirana store or a super mart near your home.

Indian Oil Corporation, the country's biggest fuel refiner and retailer, has launched sale of 5-kg cylinders through kirana stores and supermarkets in five cities with the aim of expanding customer base and make the fuel easily accessible.

At present Indian Oil is selling the blue cylinders, called free-trade LPG, through kirana stores and supermarkets in Bangalore, Chennai, Gorakhpur, Lucknow and Aligarh. Altogether, 11 kirana stores in these cities are selling the refills. The sale is to be expanded to 50 more cities in the near future.

The new marketing strategy tops up the initiative of retailing the 5-kg cylinders through select petrol pumps. The kirana stores and supermarts provide easily approachable sales points for consumers. This is seen as a boon for migratory population such as students, info-tech professionals, call centre employees and persons with odd working hours.

This group of population tends to lack in residence proof etc and can enroll for the free-trade scheme with just their ID proof and pick up refills from nearby shops at their convenience. Under the scheme, first time consumers will have to pay the cost of a cylinder and regulator and administrative charges.

The cost of a new 5-kg cylinder will be approximately in the range of Rs 1,600 to Rs 1,700. At the time of subsequent refills, only the cost of the product will be payable, while exchanging the empty cylinder for a filled one.

Indian Oil is marketing 5-kg cylinders from 52 outlets across 32 cities in addition to the 11 stores. Increased availability of the cylinders through more points is leading to growth in sales, with approximately 1,500 customers enrolling for FTL plan with Indian Oil till date.


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