Guide

What industrial gas costs in India and the six things that move the price

Indicative Indian prices, ex-works, as published on each product page: industrial oxygen ₹32 to ₹40 per Nm³, dissolved acetylene ₹350 to ₹450, nitrogen ₹50 to ₹65, argon ₹220 to ₹250. An acetylene plant runs ₹35 lakh to ₹1.2 crore. Quantity, cylinder size and contract term move every figure.

Rows of cylinders in an open KIGL filling bay with the water-deluge system overhead
Industrial oxygen, indicative
₹32
Dissolved acetylene, indicative
₹350
Acetylene plant, indicative
₹35 lakh
Largest cost in making acetylene
Calcium carbide
Why a gas price is never one number
Quantity

The indicative ranges, in one table

Each figure below is already published on the product page it belongs to. This page collects them so a budget can be built without opening nine pages, and so you can see the shape of the market in one view. All are ex-works, exclusive of GST, and all are indicative: your written quotation is the figure that counts.

Gases, per Nm³ unless stated

Gas Indicative range Page
Industrial oxygen ₹32 – ₹40 Oxygen
Carbon dioxide ₹35 – ₹50 per kg Carbon dioxide
Compressed and synthetic air ₹40 – ₹50 Compressed air
Nitrogen ₹50 – ₹65 Nitrogen
Medical oxygen ₹50 – ₹70 Medical oxygen
Argon ₹220 – ₹250 Argon
Dissolved acetylene (industrial) ₹350 – ₹450 Acetylene gas
Hydrogen ₹600 – ₹700 Hydrogen
High purity acetylene, 99 % ₹600 – ₹800 High purity acetylene
Ultra-high-purity acetylene, 99.99 % in DMF ₹1,200 – ₹2,200 UHP acetylene
Gas mixtures ₹200 – ₹3,100 by composition Gas mixtures

Equipment

Item Indicative range Page
Flash back arrestors ₹2,100 – ₹35,000 per unit Flash back arrestors
Gas pipeline installation ₹500 – ₹1,200 per installed sq ft, pipe and fittings extra Industrial pipelines
PSA oxygen or nitrogen plant ₹20 lakh – ₹2 crore by capacity PSA oxygen
Acetylene plant, KIGL-DA-25, 25 Nm³/h ₹35 – ₹45 lakh DA-25
Acetylene plant, KIGL-DA-50, 50 Nm³/h ₹55 – ₹65 lakh DA-50
Acetylene plant, KIGL-DA-100, 100 Nm³/h ₹70 lakh – ₹1.1 crore DA-100

Why acetylene costs ten times what oxygen does

Oxygen, nitrogen and argon are separated from air. The raw material is free and the cost is almost entirely electricity and capital. Acetylene is manufactured, from calcium carbide made in an electric furnace, and the carbide alone is the majority of the cost of each cubic metre. On top of that, an acetylene cylinder is not an empty bottle: it carries a porous mass and a charge of acetone, both of which cost money and neither of which is gas you can use.

So the comparison that matters is not per cubic metre but per hour of work. An oxy-acetylene flame cuts faster and pierces thicker than the alternatives, and on a cutting job the gas is a small fraction of the cost of the operator and the machine. The acetylene versus LPG guide sets out where each wins.

The six things that move a gas price

Quantity

The single biggest lever. A rate against a committed annual volume is not the rate for an occasional cylinder, and the gap is large.

Cylinder size

A rate per cubic metre only compares if the cylinders are the same water capacity. Always ask for the water capacity in litres alongside the rate; a quote that will not state it is hiding something.

Cylinder holding

Cylinders are either held against a refundable deposit or charged a daily holding, and sometimes both with demurrage beyond an agreed period. A cheaper gas rate with a daily holding charge is often the dearer supply once your cylinders sit on site between jobs.

Distance

Cylinder gas is radius-limited. Within the Guwahati delivery radius it goes on our own vehicles; beyond it, it moves through agents and the freight shows up in the price. This is why the same company's rate differs across states, and why a national rate card for cylinder gas is usually a fiction.

Contract term

An annual rate contract prices differently from a spot order, because both sides can plan the fill schedule and the cylinder float.

Grade

Industrial, high purity and ultra-high-purity acetylene differ by a factor of five, and the grade is set by what your process needs, not by what is best. Buying the analytical grade for a cutting torch wastes money; running industrial grade through an instrument ruins results. See acetylene grades explained.

Reading a gas quotation properly

Ask every supplier for the same six things and the comparison becomes possible:

  1. Rate per Nm³ or per kg, and at what quantity band.
  2. Cylinder water capacity in litres, and the nominal contents.
  3. Deposit or daily holding, with the demurrage terms.
  4. Delivery charge, and whether it is per trip or per cylinder.
  5. The governing Indian Standard and the purity committed.
  6. The HSN code and the GST rate.

A supplier who answers all six in writing is quoting. One who answers the first only is quoting a number, and it will move.

What a plant costs beyond the plant

Buyers comparing an acetylene plant against cylinder supply routinely budget the plant and forget the rest. The plant price is ex-works. Add the building and civil works, the licensed carbide store, the PESO licensing, the power connection, operator training, and the annual maintenance and statutory inspections. None of these is large on its own and together they are not small.

Against that, the saving is real above a steady demand, and the crossover is a calculation rather than an opinion. The guide on cylinder supply or on-site generation walks through it, and we will tell you when the answer is to keep buying cylinders.

What industrial gas costs — frequently asked questions

What is the price of acetylene gas in India?

Industrial dissolved acetylene is indicatively ₹350 to ₹450 per Nm³ ex-works, with high purity at ₹600 to ₹800 and ultra-high-purity in DMF at ₹1,200 to ₹2,200. Acetylene is the most expensive common fuel gas per cubic metre because it is made from calcium carbide rather than separated from air, and because the cylinder carries a porous mass and acetone as well as gas. Judge it per hour of cutting, not per cubic metre.

Why do two suppliers quote very different prices for the same gas?

Usually because they are not quoting the same thing. Check six things: the quantity band, the cylinder size and whether its water capacity is stated, whether the cylinder is on deposit or on daily holding, the delivery distance, the contract period, and the grade. A cheaper rate with a daily cylinder holding charge is frequently the dearer supply by the end of the year.

What does an acetylene plant cost in India?

Indicatively ₹35 to ₹45 lakh for a KIGL-DA-25 at 25 Nm³/h, ₹55 to ₹65 lakh for the DA-50, and ₹70 lakh to ₹1.1 crore for the DA-100, ex-works for a complete carbide-to-cylinder plant. Civil works, the building, the carbide store and the licensing are separate and are often underestimated. A PSA oxygen or nitrogen plant runs ₹20 lakh to ₹2 crore by capacity and purity.

Is it cheaper to make acetylene than to buy cylinders?

Above a steady demand it is, and below it it is not. The capital cost is the smaller half of the question: a plant brings a carbide supply chain, a licensed carbide store, trained operators, statutory inspections and maintenance. The honest test is steady monthly consumption against the all-in cost of ownership, not the cylinder rate against the plant price. Our guide on cylinders or on-site generation sets out the arithmetic.

Why is the price on your pages called indicative?

Because a firm figure quoted without knowing the quantity, the cylinder size and the delivery point would be wrong in one direction or the other, and would be quoted back at us. The ranges are published so you can budget and compare, and so a supplier who will not publish anything has to explain why. Your written quotation is the figure that counts.

Do prices include GST and delivery?

No. The ranges are ex-works and exclusive of GST. Delivery, cylinder deposit or holding, and any demurrage on cylinders held beyond the agreed period are quoted separately, because bundling them hides exactly the costs a buyer most needs to compare.

What is the HSN code for industrial gases?

Acetylene is 2901 29. The other compressed gases sit under Chapter 28, and each product page on this site carries its own HSN code in the specification table, because the code belongs on the purchase order and getting it wrong delays the invoice rather than the gas.

Enquiries

Request a quotation

State the gas or equipment, the quantity or capacity, and your location. KIGL will confirm the grade, the cylinder or plant size, and whether the location can be served from Noonmati, or through our agent network.