New Delhi, Oct 31: The government on Saturday withdrew the special additional excise duty on petrol exports while raising export levies on diesel and aviation turbine fuel (ATF), according to Finance Ministry notifications.
The export duty on petrol has been reduced to zero from Rs 2.50 per litre, providing relief to exporters. However, the levy on diesel exports has been increased to Rs 11.50 per litre from Rs 8.50 per litre.
The export duty on ATF has also been raised to Rs 11 per litre from Rs 10.50 per litre.
The revised rates are part of the government’s fortnightly review of fuel export duties, which are adjusted in response to changes in international crude oil and refined petroleum product prices.
The latest decision reverses part of the changes announced in October, when the government had increased the levy on petrol exports to Rs 2.50 per litre from Rs 0.50 per litre.
At the same time, the duty on diesel exports was reduced to Rs 8.50 per litre from Rs 16 per litre, while the ATF levy remained unchanged at Rs 10.50 per litre.
Fuel export duties have undergone several revisions in recent months as the government seeks to balance domestic fuel availability with changing global market conditions.
The levies were reintroduced in March this year amid geopolitical tensions in the Middle East, which contributed to a sharp rise in global crude oil prices and disrupted established energy supply routes.
The government had said the measures were intended to ensure adequate availability of petroleum products in the domestic market by discouraging refiners from diverting supplies to overseas destinations when export margins were more attractive.
India’s energy security concerns have also been heightened by disruptions to shipping through the Strait of Hormuz, a key maritime route for global crude oil supplies and a major transit corridor for India’s energy imports.
The uncertainty over supplies prompted Indian refiners to diversify crude sourcing arrangements and closely monitor their export commitments.
The latest revision comes against the backdrop of continuing volatility in international energy markets, with the government retaining the fortnightly review mechanism to respond to changing price and supply conditions.
