Spot prices at new highs-III: Demand may suffer in India
Jan 09:
India's highly sensitive gas markets are not likely to react well to high gas prices. 8Demand growth may suffer and if furnace owners have dual-use facilities, they will switch to cheaper liquid fuels if prices stay lower than imported LNG. 8The website carries here a demand elasticity analysis of the Indian gas sector for further insights on how high gas prices lead to demand destruction. Click on Reports for more