Mar 27, 2025
IndexBox has just published a new report: Middle East – Liquefied Petroleum Gas (LPG) – Market Analysis, Forecast, Size, Trends And Insights.
Driven by increasing demand for LPG in the Middle East, the market is forecasted to experience growth in both volume and value over the next decade. With a projected CAGR of +0.1% in volume and +1.5% in value, the market is expected to reach 31M tons and $25.8B by 2035.
Market Forecast
Driven by rising demand for liquefied petroleum gas (LPG) in the Middle East, the market is expected to start an upward consumption trend over the next decade. The performance of the market is forecast to increase slightly, with an anticipated CAGR of +0.1% for the period from 2024 to 2035, which is projected to bring the market volume to 31M tons by the end of 2035.
In value terms, the market is forecast to increase with an anticipated CAGR of +1.5% for the period from 2024 to 2035, which is projected to bring the market value to $25.8B (in nominal wholesale prices) by the end of 2035.
ConsumptionMiddle East’s Consumption of Liquefied Petroleum Gas (LPG)
Liquefied petroleum gas (LPG) consumption reached 30M tons in 2024, remaining constant against the year before. Overall, consumption, however, saw a pronounced setback. The growth pace was the most rapid in 2021 with an increase of 6.6% against the previous year. Over the period under review, consumption attained the peak volume at 42M tons in 2014; however, from 2015 to 2024, consumption stood at a somewhat lower figure.
The revenue of the liquefied petroleum gas (LPG) market in the Middle East expanded slightly to $22B in 2024, with an increase of 3.1% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers’ margins, which will be included in the final consumer price). In general, consumption, however, recorded a pronounced contraction. The growth pace was the most rapid in 2021 with an increase of 7.6%. The level of consumption peaked at $31.8B in 2014; however, from 2015 to 2024, consumption remained at a lower figure.
Consumption By Country
The country with the largest volume of liquefied petroleum gas (LPG) consumption was Saudi Arabia (20M tons), accounting for 65% of total volume. Moreover, liquefied petroleum gas (LPG) consumption in Saudi Arabia exceeded the figures recorded by the second-largest consumer, Turkey (4.2M tons), fivefold. Iran (1.8M tons) ranked third in terms of total consumption with a 5.8% share.
From 2013 to 2024, the average annual rate of growth in terms of volume in Saudi Arabia was relatively modest. In the other countries, the average annual rates were as follows: Turkey (+1.0% per year) and Iran (-1.9% per year).
In value terms, Saudi Arabia ($15.2B) led the market, alone. The second position in the ranking was taken by Turkey ($2.3B). It was followed by the United Arab Emirates.
In Saudi Arabia, the liquefied petroleum gas (LPG) market remained relatively stable over the period from 2013-2024. The remaining consuming countries recorded the following average annual rates of market growth: Turkey (+2.1% per year) and the United Arab Emirates (-12.6% per year).
In 2024, the highest levels of liquefied petroleum gas (LPG) per capita consumption was registered in Saudi Arabia (537 kg per person), followed by the United Arab Emirates (137 kg per person), Turkey (48 kg per person) and Iraq (26 kg per person), while the world average per capita consumption of liquefied petroleum gas (LPG) was estimated at 83 kg per person.
In Saudi Arabia, liquefied petroleum gas (LPG) per capita consumption decreased by an average annual rate of -2.2% over the period from 2013-2024. The remaining consuming countries recorded the following average annual rates of per capita consumption growth: the United Arab Emirates (-11.7% per year) and Turkey (-0.2% per year).
ProductionMiddle East’s Production of Liquefied Petroleum Gas (LPG)
In 2024, production of liquefied petroleum gas (LPG) was finally on the rise to reach 70M tons after two years of decline. In general, production continues to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2016 when the production volume increased by 8% against the previous year. Over the period under review, production hit record highs at 75M tons in 2017; however, from 2018 to 2024, production failed to regain momentum.
In value terms, liquefied petroleum gas (LPG) production expanded to $51.3B in 2024 estimated in export price. Overall, production recorded a relatively flat trend pattern. The pace of growth appeared the most rapid in 2022 when the production volume increased by 16%. The level of production peaked at $53.2B in 2014; however, from 2015 to 2024, production stood at a somewhat lower figure.
Production By Country
The countries with the highest volumes of production in 2024 were Saudi Arabia (26M tons), the United Arab Emirates (15M tons) and Qatar (9.4M tons), with a combined 71% share of total production. Iran, Kuwait, Oman and Iraq lagged somewhat behind, together comprising a further 25%.
From 2013 to 2024, the most notable rate of growth in terms of production, amongst the key producing countries, was attained by Oman (with a CAGR of +12.7%), while production for the other leaders experienced more modest paces of growth.
ImportsMiddle East’s Imports of Liquefied Petroleum Gas (LPG)
In 2024, overseas purchases of liquefied petroleum gas (LPG) decreased by less than 0.1% to 6M tons for the first time since 2018, thus ending a five-year rising trend. The total import volume increased at an average annual rate of +3.3% from 2013 to 2024; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth was the most pronounced in 2023 with an increase of 15%. As a result, imports attained the peak of 6M tons, leveling off in the following year.
In value terms, liquefied petroleum gas (LPG) imports reduced to $3B in 2024. Total imports indicated pronounced growth from 2013 to 2024: its value increased at an average annual rate of +3.0% over the last eleven-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2024 figures, imports decreased by -10.0% against 2022 indices. The most prominent rate of growth was recorded in 2021 when imports increased by 50%. Over the period under review, imports hit record highs at $3.4B in 2022; however, from 2023 to 2024, imports remained at a lower figure.
Imports By Country
Turkey represented the key importer of liquefied petroleum gas (LPG) in the Middle East, with the volume of imports resulting at 3.7M tons, which was near 62% of total imports in 2024. It was distantly followed by the United Arab Emirates (1.8M tons), mixing up a 30% share of total imports. The following importers – Lebanon (248K tons) and Oman (119K tons) – together made up 6.2% of total imports.
Turkey experienced a relatively flat trend pattern with regard to volume of imports of liquefied petroleum gas (LPG). At the same time, the United Arab Emirates (+13.2%) and Oman (+5.9%) displayed positive paces of growth. Moreover, the United Arab Emirates emerged as the fastest-growing importer imported in the Middle East, with a CAGR of +13.2% from 2013-2024. Lebanon experienced a relatively flat trend pattern. From 2013 to 2024, the share of the United Arab Emirates increased by +19 percentage points. The shares of the other countries remained relatively stable throughout the analyzed period.
In value terms, Turkey ($2.1B) constitutes the largest market for imported liquefied petroleum gas (LPG) in the Middle East, comprising 69% of total imports. The second position in the ranking was taken by the United Arab Emirates ($646M), with a 21% share of total imports. It was followed by Lebanon, with a 6.4% share.
In Turkey, liquefied petroleum gas (LPG) imports increased at an average annual rate of +2.7% over the period from 2013-2024. In the other countries, the average annual rates were as follows: the United Arab Emirates (+4.1% per year) and Lebanon (+8.5% per year).
Imports By Type
Liquefied petroleum gases other than propane, butanes, ethylene, propylene, butylene or butadiene prevails in imports structure, resulting at 5.3M tons, which was approx. 89% of total imports in 2024. It was distantly followed by liquefied propane (369K tons), committing a 6.2% share of total imports. Liquefied butanes (261K tons) followed a long way behind the leaders.
From 2013 to 2024, average annual rates of growth with regard to liquefied petroleum gases other than propane, butanes, ethylene, propylene, butylene or butadiene imports of stood at +3.2%. At the same time, liquefied propane (+8.5%) displayed positive paces of growth. Moreover, liquefied propane emerged as the fastest-growing type imported in the Middle East, with a CAGR of +8.5% from 2013-2024. Liquefied butanes experienced a relatively flat trend pattern. From 2013 to 2024, the share of liquefied propane increased by +2.6 percentage points. The shares of the other products remained relatively stable throughout the analyzed period.
In value terms, liquefied petroleum gases other than propane, butanes, ethylene, propylene, butylene or butadiene ($2.7B) constitutes the largest type of liquefied petroleum gas (LPG) imported in the Middle East, comprising 88% of total imports. The second position in the ranking was held by liquefied butanes ($190M), with a 6.3% share of total imports. It was followed by liquefied propane, with a 5.6% share.
For liquefied petroleum gases other than propane, butanes, ethylene, propylene, butylene or butadiene, imports increased at an average annual rate of +2.8% over the period from 2013-2024. For the other products, the average annual rates were as follows: liquefied butanes (+6.8% per year) and liquefied propane (+4.1% per year).
Import Prices By Type
The import price in the Middle East stood at $506 per ton in 2024, waning by -2.5% against the previous year. Over the period under review, the import price recorded a relatively flat trend pattern. The pace of growth appeared the most rapid in 2021 an increase of 40%. Over the period under review, import prices hit record highs at $648 per ton in 2022; however, from 2023 to 2024, import prices failed to regain momentum.
There were significant differences in the average prices amongst the major imported products. In 2024, the product with the highest price was liquefied butanes ($729 per ton), while the price for liquefied propane ($454 per ton) was amongst the lowest.
From 2013 to 2024, the most notable rate of growth in terms of prices was attained by liquefied butanes (+7.1%), while the other products experienced mixed trends in the import price figures.
Import Prices By Country
In 2024, the import price in the Middle East amounted to $506 per ton, which is down by -2.5% against the previous year. Over the period under review, the import price recorded a relatively flat trend pattern. The most prominent rate of growth was recorded in 2021 an increase of 40% against the previous year. The level of import peaked at $648 per ton in 2022; however, from 2023 to 2024, import prices failed to regain momentum.
Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Lebanon ($774 per ton), while Oman ($101 per ton) was amongst the lowest.
From 2013 to 2024, the most notable rate of growth in terms of prices was attained by Lebanon (+8.0%), while the other leaders experienced mixed trends in the import price figures.
ExportsMiddle East’s Exports of Liquefied Petroleum Gas (LPG)
In 2024, the amount of liquefied petroleum gas (LPG) exported in the Middle East stood at 46M tons, picking up by 3% compared with the previous year’s figure. The total export volume increased at an average annual rate of +4.8% from 2013 to 2024; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The growth pace was the most rapid in 2015 when exports increased by 19%. Over the period under review, the exports reached the maximum at 46M tons in 2022; afterwards, it flattened through to 2024.
In value terms, liquefied petroleum gas (LPG) exports expanded remarkably to $33.4B in 2024. Total exports indicated measured growth from 2013 to 2024: its value increased at an average annual rate of +3.1% over the last eleven years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2024 figures, exports increased by +59.2% against 2020 indices. The growth pace was the most rapid in 2022 when exports increased by 34% against the previous year. Over the period under review, the exports attained the peak figure in 2024 and are likely to see gradual growth in the near future.
Exports By Country
In 2024, the United Arab Emirates (15M tons), distantly followed by Qatar (9.2M tons), Iran (6.8M tons), Saudi Arabia (6.2M tons), Kuwait (5.2M tons) and Oman (2.1M tons) were the key exporters of liquefied petroleum gas (LPG), together making up 97% of total exports. Turkey (716K tons) held a relatively small share of total exports.
From 2013 to 2024, the most notable rate of growth in terms of shipments, amongst the key exporting countries, was attained by Oman (with a CAGR of +19.3%), while the other leaders experienced more modest paces of growth.
In value terms, the United Arab Emirates ($12.1B), Qatar ($6.9B) and Saudi Arabia ($5.3B) were the countries with the highest levels of exports in 2024, with a combined 73% share of total exports. Iran, Kuwait, Oman and Turkey lagged somewhat behind, together comprising a further 26%.
In terms of the main exporting countries, Oman, with a CAGR of +15.9%, recorded the highest growth rate of the value of exports, over the period under review, while shipments for the other leaders experienced more modest paces of growth.
Exports By Type
Liquefied propane (24M tons) and liquefied butanes (19M tons) dominates exports structure, together constituting 94% of total exports. It was distantly followed by liquefied petroleum gases other than propane, butanes, ethylene, propylene, butylene or butadiene (2.6M tons), generating a 5.8% share of total exports.
From 2013 to 2024, the most notable rate of growth in terms of shipments, amongst the main exported products, was attained by liquefied petroleum gases other than propane, butanes, ethylene, propylene, butylene or butadiene (with a CAGR of +7.7%), while the other products experienced more modest paces of growth.
In value terms, the largest types of exported liquefied petroleum gas (LPG) were liquefied propane ($17.4B), liquefied butanes ($14.2B) and liquefied petroleum gases other than propane, butanes, ethylene, propylene, butylene or butadiene ($1.6B), with a combined 100% share of total exports.
In terms of the main exported products, liquefied petroleum gases other than propane, butanes, ethylene, propylene, butylene or butadiene, with a CAGR of +3.3%, saw the highest growth rate of the value of exports, over the period under review, while shipments for the other products experienced more modest paces of growth.
Export Prices By Type
The export price in the Middle East stood at $730 per ton in 2024, surging by 2.7% against the previous year. Overall, the export price, however, saw a slight curtailment. The pace of growth appeared the most rapid in 2017 an increase of 21%. The level of export peaked at $874 per ton in 2013; however, from 2014 to 2024, the export prices failed to regain momentum.
Prices varied noticeably by the product type; the product with the highest price was liquefied ethylene, propylene, butylene and butadiene ($922 per ton), while the average price for exports of liquefied petroleum gases other than propane, butanes, ethylene, propylene, butylene or butadiene ($600 per ton) was amongst the lowest.
From 2013 to 2024, the most notable rate of growth in terms of prices was attained by liquefied butanes (-1.2%), while the other products experienced a decline in the export price figures.
Export Prices By Country
The export price in the Middle East stood at $730 per ton in 2024, picking up by 2.7% against the previous year. Overall, the export price, however, showed a slight shrinkage. The pace of growth was the most pronounced in 2017 an increase of 21%. Over the period under review, the export prices hit record highs at $874 per ton in 2013; however, from 2014 to 2024, the export prices stood at a somewhat lower figure.
Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Saudi Arabia ($861 per ton), while Iran ($496 per ton) was amongst the lowest.
From 2013 to 2024, the most notable rate of growth in terms of prices was attained by Saudi Arabia (+0.0%), while the other leaders experienced a decline in the export price figures.