India cuts windfall tax on exports of petrol, diesel, aviation fuel

India has lowered windfall taxes on ​exports of petrol, diesel and ‌aviation turbine fuel with effect from Saturday, according to a government order.

The duty on ​diesel exports has been cut ​to 24 Indian rupees ($0.2515) per litre ⁠from 25.5 rupees, while petrol duty ​has been set at zero rupees ​per litre, down from 3.5 rupees, the government order showed.

The tax on aviation turbine fuel ​has been set at 19.5 ​rupees per litre from 22 rupees earlier.

India first ‌imposed ⁠windfall taxes in July 2022 to capture extraordinary gains from soaring oil prices and scrapped it two years ​later. The ​levy was ⁠reintroduced in March 2026 after oil prices surged during ​the U.S.-Israeli war on Iran.

India ​currently ⁠revises the export levies every fortnight, based on international prices of crude ⁠oil ​and petroleum products.

-Reuters