The cylinders are then sold to known black market retailers from where customers get their stock," Vats said.
According to him, the subbrokers pay anywhere between Rs 800 to 900 per cylinder.
The rate also depends on the size and availability of the stock.
"If the company is not supplying cylinders to us on regular basis, the rate will increase and if we have sufficient stock in our godown, the rate falls slightly," he said.
The sub-brokers make a profit of Rs 100 to Rs 150 per unit while selling to the retailers.
The sub-broker has a choice of selling the cylinders directly to the customer and make another Rs 100, or pass it on to the black market retailers at half the profit.