The use-ingress-port option, when enabled, specifies that the ingress port will be used by the hashing algorithm at the LSR. This option should be enabled for ingress LAG ports because packets with the same label stack can arrive on all ports of a LAG interface. In this case, using the ingress port in the hashing algorithm will result in better egress load balancing, especially for pseudowires.
The option should be disabled for LDP ECMP so that the ingress port is not used by the hashing algorithm. For ingress LDP ECMP, if the ingress port is used by the hashing algorithm, the hash distribution could be biased, especially for pseudowires.