The Indian government has rolled back recent increases in export duties on petrol, diesel, and aviation turbine fuel, cutting levies in a move to align with fluctuating global oil prices and stabilize domestic markets.
India’s government has lowered export duties on petrol, diesel and aviation turbine fuel from 15 August, easing levies that were raised only days earlier as officials continued to adjust taxes in line with global oil prices. According to a Finance Ministry order, the duty on petrol has been cut to zero, while the levy on diesel has been trimmed to Rs 24 a litre and the charge on aviation turbine fuel to Rs 19.5 a litre.
The move partly reverses the increase announced on 3 August, when export duties were lifted across the three fuels. At that stage, petrol faced a levy of Rs 3.5 a litre, diesel Rs 25.5 and ATF Rs 22. The latest changes apply to petroleum products cleared for export, and the government says the fortnightly review mechanism is tied to average international prices for crude and refined fuels.
The duty adjustments come against a broader policy backdrop that began in March, when India imposed export levies to protect domestic supply and temper incentives for refiners to sell too much fuel overseas during a period of elevated global prices. Earlier in the summer, the government had already cut export duties sharply, with reports from Reuters and Indian business papers in late May and early June showing rates reduced to Rs 1.5 a litre for petrol, Rs 13.5 for diesel and Rs 9.5 for ATF before the subsequent increases and latest rollback. Domestic excise rates remain unchanged.
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