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

Indian Oil

14/08/2026 19:36

Adds details, background in paragraphs 4-5
Aug 14 (Reuters) - 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.
     
($1 = 95.4400 Indian rupees)

(Reporting by Nikunj Ohri and Kanjyik Ghosh; Editing by Mark Porter and Chizu Nomiyama )
((kanjyik.ghosh@thomsonreuters.com))