Under the revised rates, companies will no longer have to pay the previous export tax of ₹2.50 per litre on petrol sold overseas.
Meanwhile, the export duty on diesel has been increased by ₹3 per litre to ₹11.50. The levy on aviation turbine fuel has also been raised by 50 paise per litre, taking the total tax to ₹11 per litre.
The changes are aimed at ensuring adequate availability of petrol and diesel in the domestic market amid continuing tensions in the Middle East. The government wants oil companies to prioritise India’s fuel requirements rather than focusing on exports to overseas markets.
The revised duties are expected to influence the economics of exporting refined petroleum products from India. While petrol exports have become free from the earlier levy, diesel and ATF exports will attract higher duties.
The move reflects the government’s effort to maintain domestic fuel supplies during a period of geopolitical uncertainty. The revised tax structure is intended to encourage companies to meet local demand before directing supplies to international buyers.
