New Delhi: The Union finance ministry on Friday imposed an export duty on petrol of ₹3 per litre, showed a notification from the department of revenue.
However, it lowered the levy on the export of diesel and jet fuel to ₹16.5 and ₹16 per litre, respectively. The new rates will come into effect on Saturday.
The last such revision was undertaken with effect from 1 May when the government had lowered the export duty on diesel to ₹23 per litre, on jet fuel to ₹33 per litre and that of petrol was nil.
While India is a net importer of crude oil and imports worth about $121 billion annually, it also exports petroleum products such as petrol, diesel and jet fuel worth about $45 billion.
Reliance Industries is the top product exporter from India, while state-run oil marketing companies also cater to the export market. India is the seventh largest exporter of petroleum products, according to the petroleum ministry.
With the world’s fourth largest crude refining capacity of 258 million tonnes, India is also witnessing record growth in terms of domestic petroleum product consumption.
In fiscal year 2026, domestic petroleum product consumption touched a high of 243 million tonnes, and exports were at 61.43 million tonnes, according to data from Petroleum Planning and Analysis Cell.
The export levies were originally introduced on 27 March in a bid to ensure domestic availability of petroleum products by disincentivizing exports in the backdrop of the West Asia crisis.
The rates are revised every fortnight based on the average international prices of crude oil, petrol, diesel and aviation turbine fuel (ATF) during the period since the last review.
In the past two weeks, crude prices have remained volatile amid no clarity over the peace deal between Iran and the US and continuing blockade of the Strait of Hormuz.
Brent crude prices have swung from about $108.17 on 1 May to a low of $100.06 on 7 May before surging again to nearly $109 on Friday (15 May).
When the government had imposed windfall levies on 27 March, with export duty on diesel at ₹21.5 a litre and on ATF at ₹29.5 a litre, it had estimated revenue collection of about ₹1,500 crore in two weeks. These “windfall” levies were first imposed in 2022 during the peak of the Russia-Ukraine war and were withdrawn in 2024.