India raises diesel, ATF export duties, petrol unchanged

The Indian government has increased export duties on diesel and aviation turbine fuel (ATF) for the next two weeks, effective Tuesday, June 16, while leaving the levy on petrol unchanged. The move is part of a fortnightly review of windfall taxes designed to prioritize domestic fuel supplies amid ongoing global market volatility linked to the West Asia conflict.

According to a notification issued by the Department of Revenue, the Special Additional Excise Duty (SAED) on diesel exports has been raised to 14 rupees per litre, up from 13.5 rupees. The duty on ATF exports has been increased more sharply to 12.5 rupees per litre, from 9.5 rupees. The export duty on petrol remains at 1.5 rupees per litre. Officials clarified there is no change to existing excise duty rates on petrol and diesel meant for domestic consumption, meaning retail consumers are unlikely to see an immediate price impact from this adjustment.

The windfall tax regime was reintroduced on March 27, initially targeting diesel and ATF exports, and was extended to petrol on May 16. The government has stated the policy aims to ensure adequate domestic availability of petroleum products by discouraging refiners from...