Azerbaijan: Market for Liquefied Petroleum Gas (LPG) 2025

Market Size for Liquefied Petroleum Gas (LPG) in Azerbaijan

After three years of decline, the Azerbaijani liquefied petroleum gas (LPG) market increased by 94% to $X in 2022. In general, consumption, however, recorded a mild downturn. Over the period under review, the market reached the peak level at $X in 2012; however, from 2013 to 2022, consumption stood at a somewhat lower figure.

Production of Liquefied Petroleum Gas (LPG) in Azerbaijan

In value terms, liquefied petroleum gas (LPG) production rose modestly to $X in 2022 estimated in export price. Over the period under review, production showed a perceptible contraction. The pace of growth was the most pronounced in 2017 when the production volume increased by 9.3% against the previous year. Over the period under review, production attained the peak level at $X in 2012; however, from 2013 to 2022, production stood at a somewhat lower figure.

Exports of Liquefied Petroleum Gas (LPG)

Exports from Azerbaijan

Liquefied petroleum gas (LPG) exports from Azerbaijan fell markedly to X tons in 2022, declining by -72.4% on 2021 figures. Over the period under review, exports recorded a noticeable curtailment. The pace of growth appeared the most rapid in 2021 when exports increased by 140% against the previous year. As a result, the exports attained the peak of X tons, and then fell markedly in the following year.

In value terms, liquefied petroleum gas (LPG) exports contracted rapidly to $X in 2022. Overall, exports continue to indicate a deep reduction. The most prominent rate of growth was recorded in 2021 when exports increased by 114% against the previous year. The exports peaked at $X in 2012; however, from 2013 to 2022, the exports remained at a lower figure.

Exports by Country

Russia (X tons) was the main destination for liquefied petroleum gas (LPG) exports from Azerbaijan, accounting for a 78% share of total exports. Moreover, liquefied petroleum gas (LPG) exports to Russia exceeded the volume sent to the second major destination, Turkey (X tons), sixfold. The third position in this ranking was held by Pakistan (X tons), with a 4.7% share.

From 2012 to 2022, the average annual rate of growth in terms of volume to Russia was relatively modest. Exports to the other major destinations recorded the following average annual rates of exports growth: Turkey (-13.3% per year) and Pakistan (+7.1% per year).

In value terms, Russia ($X) remains the key foreign market for liquefied petroleum gas (LPG) exports from Azerbaijan, comprising 82% of total exports. The second position in the ranking was taken by Turkey ($X), with a 9.5% share of total exports. It was followed by Pakistan, with a 6.3% share.

From 2012 to 2022, the average annual growth rate of value to Russia amounted to -8.3%. Exports to the other major destinations recorded the following average annual rates of exports growth: Turkey (-21.6% per year) and Pakistan (+8.0% per year).

Export Prices by Country

The average liquefied petroleum gas (LPG) export price stood at $X per ton in 2022, rising by 1.7% against the previous year. In general, the export price, however, showed a abrupt curtailment. The pace of growth was the most pronounced in 2017 an increase of 13%. The export price peaked at $X per ton in 2012; however, from 2013 to 2022, the export prices failed to regain momentum.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was Pakistan ($X per ton), while the average price for exports to Turkey ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Pakistan (+0.8%), while the prices for the other major destinations experienced a decline.

Imports of Liquefied Petroleum Gas (LPG)

Imports into Azerbaijan

In 2022, approx. X tons of liquefied petroleum gas (LPG) were imported into Azerbaijan; with an increase of 60% against 2021. In general, imports, however, faced a abrupt descent. The most prominent rate of growth was recorded in 2019 when imports increased by 94%. Imports peaked at X tons in 2020; however, from 2021 to 2022, imports remained at a lower figure.

In value terms, liquefied petroleum gas (LPG) imports reduced notably to $X in 2022. Over the period under review, imports, however, continue to indicate a abrupt curtailment. The growth pace was the most rapid in 2019 with an increase of 182% against the previous year. Over the period under review, imports attained the peak figure at $X in 2020; however, from 2021 to 2022, imports failed to regain momentum.

Imports by Country

In 2022, Iran (X tons) constituted the largest supplier of liquefied petroleum gas (LPG) to Azerbaijan, with a 88% share of total imports. Moreover, liquefied petroleum gas (LPG) imports from Iran exceeded the figures recorded by the second-largest supplier, Romania (X tons), more than tenfold. The United States (X kg) ranked third in terms of total imports with a 3.6% share.

From 2012 to 2022, the average annual growth rate of volume from Iran amounted to +57.4%. The remaining supplying countries recorded the following average annual rates of imports growth: Romania (+23.8% per year) and the United States (-23.6% per year).

In value terms, Iran ($X) constituted the largest supplier of liquefied petroleum gas (LPG) to Azerbaijan, comprising 59% of total imports. The second position in the ranking was taken by Romania ($X), with an 11% share of total imports. It was followed by the United Arab Emirates, with an 8.5% share.

From 2012 to 2022, the average annual rate of growth in terms of value from Iran stood at +7.9%. The remaining supplying countries recorded the following average annual rates of imports growth: Romania (+34.2% per year) and the United Arab Emirates (-23.8% per year).

Import Prices by Country

In 2022, the average liquefied petroleum gas (LPG) import price amounted to $X per ton, waning by -53.4% against the previous year. Over the period under review, the import price, however, posted a resilient increase. The pace of growth was the most pronounced in 2021 when the average import price increased by 270% against the previous year. As a result, import price reached the peak level of $X per ton, and then fell notably in the following year.

There were significant differences in the average prices amongst the major supplying countries. In 2022, amid the top importers, the country with the highest price was Turkey ($X per ton), while the price for Iran ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Russia (+80.9%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform