India lowers windfall taxes on exports of petrol, diesel and aviation turbine fuel (ATF) effective Saturday, according to a government order reported by multiple outlets. The duty on petrol exports is cut to zero rupees per litre from 3.5 rupees. Diesel export duty is reduced to 24 rupees per litre from 25.5 rupees. The ATF export levy is set at 19.5 rupees per litre, down from 22 rupees.
The move follows an earlier increase in export levies taken weeks earlier amid rising tensions linked to the war in West Asia. Sources also note that India introduced windfall taxes in July 2022 to capture unusually high gains during a period of higher oil prices, later scrapping them two years afterward. The levy is reintroduced in March 2026 after oil prices rise during the U.S.-Israeli conflict involving Iran. India revises export duties every fortnight based on international crude and refined product prices, leading to periodic changes in the rates.
