Rising LPG supply concerns push investors toward appliance companies as demand for electric cooking alternatives accelerates
Household appliance stocks witnessed a strong rally in the stock market on March 12, as investors reacted to a sudden surge in demand for induction cooktops, electric kettles, and other electric cooking appliances amid growing concerns about potential LPG supply disruptions.
The rally comes at a time when global energy markets are facing uncertainty due to the escalating conflict in West Asia, which has raised concerns about the stability of energy supply chains. Although India has not reported any immediate shortage in cooking gas availability, the possibility of disruptions has triggered precautionary buying by consumers, prompting many households to look for alternative cooking solutions.
This behavioural shift quickly caught the attention of market participants. Investors began accumulating shares of companies that manufacture kitchen appliances and electric cooking devices, anticipating that rising demand could translate into higher sales volumes and improved earnings visibility in the coming quarters.
The buying momentum was clearly visible across the sector. TTK Prestige shares jumped nearly 9% during the trading session, extending their rally to almost 25% over the last three trading days. The strong price movement indicates that traders are actively positioning themselves in stocks that could benefit from the sudden demand spike.
Other companies in the sector also participated in the rally:
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Greenchef Appliances shares rose around 6.5%
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Jaipan Industries surged nearly 19%
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Crompton Greaves Consumer Electricals gained about 2%
The widespread gains suggest that investors believe the appliance sector could experience a short-term demand boom if consumers increasingly shift toward electric cooking appliances as a backup option to LPG.
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Precautionary buying by households drives surge in demand for induction cooktops and electric kettles
Industry executives say the demand surge for electric cooking appliances has been swift and unusually strong, driven largely by precautionary purchases from households concerned about potential LPG supply disruptions.
Consumers across several cities have started exploring induction cooktops, electric kettles, rice cookers, and electric pressure cookers as reliable alternatives that can help households maintain uninterrupted cooking if LPG deliveries become delayed.
Retailers reported that demand for certain products has increased several times within a very short period, highlighting the speed at which consumer behaviour can change when supply uncertainty emerges.
Several factors are contributing to this sudden demand spike:
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Consumers seeking backup cooking solutions amid LPG supply concerns
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Restaurants and small food businesses experimenting with electric cooking appliances
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Growing awareness about energy-efficient and convenient electric cooking technologies
Industry experts note that even a short-term spike in demand can significantly benefit appliance manufacturers because kitchen appliances are discretionary purchases that tend to see bursts of demand during periods of supply disruption or lifestyle shifts.
If the current trend continues for several weeks, appliance companies could witness higher inventory movement, improved revenue visibility, and stronger quarterly sales numbers, which explains the bullish sentiment in the stock market.
Croma reports threefold jump in induction cooktop sales as consumer demand surges
Consumer electronics retailer Croma, part of Tata Group’s Infiniti Retail Ltd, has reported a sharp and immediate rise in demand for induction cooktops across its retail stores and online platforms.
Shibashish Roy, CEO and Managing Director of Infiniti Retail Ltd, confirmed that consumer demand has surged significantly over the past few days.
He said,
“At Croma, we have observed a sharp and immediate uptick in demand for induction cooktops over the past few days. Our average daily run rate has surged significantly.”
Roy added that the company’s daily sales volume has almost tripled compared to normal levels, reflecting the rapid shift in consumer buying patterns.
Another interesting trend emerging from the current demand surge is that consumers are increasingly purchasing multiple induction cooktops at a time, suggesting that buyers are preparing for potential supply disruptions.
“Interestingly, we are also seeing customers purchase multiple units at a time, which was not common earlier, indicating some precautionary buying,” Roy said.
Apart from induction cooktops, Croma has also reported strong demand growth in electric kettles and other quick-cooking appliances, with kettle sales almost doubling compared to regular daily levels.
The company has indicated that it is actively ensuring sufficient inventory availability across its stores and online platforms to handle the sudden spike in consumer demand.
E-commerce platforms see explosive growth in orders for kitchen appliances
The surge in demand for electric cooking appliances is not limited to offline retail channels. Online marketplaces have also witnessed a dramatic increase in orders, indicating that the demand shift is widespread across urban markets.
According to an Amazon India spokesperson, several kitchen appliance categories have seen extraordinary growth in sales volumes over the past two days, highlighting how quickly consumer demand has surged.
Key sales trends reported by the company include:
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Induction cooktops witnessing a massive 30X increase in sales
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Rice cookers and electric pressure cookers seeing a fourfold jump in orders
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Air fryers and multi-purpose kettles recording double the normal daily sales
The company also noted that customers are increasingly using Amazon Now, its rapid delivery service, to purchase appliances with instant or same-day delivery in cities such as Delhi-NCR, Mumbai, and Bengaluru.
This rapid growth in online demand reinforces the view that the current demand spike is broad-based and consumer-driven, rather than being limited to specific locations or retailers.
Stovekraft sees fourfold spike in induction cooktop sales amid rising demand
Kitchen appliance manufacturer Stovekraft Ltd, known for brands such as Pigeon and Gilma, has also confirmed a substantial rise in induction cooktop demand, particularly across e-commerce platforms.
Rajendra Gandhi, Managing Director of Stovekraft, said the company has witnessed a sharp rise in weekly sales since tensions in the Middle East began escalating.
“We have seen a four times spike in the average weekly sales of induction cooktops in the e-commerce channels since the beginning of the ongoing tensions in the Middle East,” Gandhi said.
Currently, the company manufactures around 2 lakh induction cooktops at its production facility in Harohalli, Karnataka, and management is exploring ways to expand manufacturing capacity in the coming financial year to cater to the rising demand.
Industry observers believe companies like Stovekraft could benefit significantly if the demand shift toward electric cooking appliances turns into a sustained consumption trend rather than a short-term spike.
Here’s what happened today and why traders reacted
The rally in appliance stocks on March 12 was driven by a combination of consumer demand signals, geopolitical developments, and market expectations around future earnings growth.
Several key developments influenced trader behaviour during the session:
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Escalating West Asia conflict raised concerns about LPG supply stability
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Retailers and e-commerce platforms reported multi-fold growth in appliance sales
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Investors anticipated higher demand for electric cooking appliances
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Traders positioned themselves in companies expected to benefit from the demand surge
As a result, stocks linked to the consumer appliance segment saw increased trading volumes and strong price momentum, reflecting bullish sentiment among short-term traders.
Government reassures markets on LPG availability but supply concerns remain in focus
Even as demand for electric appliances surged, government officials sought to reassure consumers that India’s LPG supply chain remains stable and well-managed.
A senior official from the Ministry of Petroleum and Natural Gas stated that there is no need for panic booking of LPG cylinders, noting that the normal delivery cycle of around 2.5 days is being maintained across the country.
Sujata Sharma, Joint Secretary in the ministry, said India’s crude oil supply remains secure because the country is sourcing energy supplies through alternative routes that bypass the Strait of Hormuz.
Government measures have also resulted in a 25% increase in LPG production, which could help offset supply disruptions if geopolitical tensions continue.
However, officials acknowledged that the widening conflict in West Asia has created limitations in LPG supplies for certain industrial and commercial consumers, which has contributed to the heightened market sensitivity around the issue.
What impact could this have on the market and investor portfolios?
For investors and traders, the sudden rally in appliance stocks demonstrates how geopolitical developments can rapidly influence consumption trends and sectoral market movements.
In the near term, the appliance sector could remain in focus due to:
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Strong consumer demand signals
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Positive sales momentum reported by retailers
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Expectations of improved earnings for appliance companies
If the current demand trend continues, companies such as TTK Prestige, Stovekraft, and Jaipan Industries could benefit from stronger revenue growth, which may support their stock prices in the short term.
However, investors should also remain cautious. If LPG supply conditions stabilize quickly and geopolitical tensions ease, the current demand spike could normalize, leading to profit booking in appliance stocks after the recent rally.
For now, the market will closely watch whether the surge in induction cooktop demand represents a temporary reaction to supply fears or the beginning of a broader consumer shift toward electric cooking appliances in India.
