India raises windfall tax on petrol, cuts duty on diesel

By Reuters News

Oct 15 (Reuters) - India has raised the windfall tax on exports of petrol and cut the duty on diesel, according to a government order issued late Thursday.

  • The export duty on petrol was raised to 2.5 rupees ($0.0263) per litre from 0.5 rupees per litre, while the duty on diesel exports was cut to 8.5 rupees per litre from 16 rupees per litre, effective October 16, the order said.

  • India first imposed windfall taxes on fuel exports in July 2022 and withdrew them two years later.

  • The government reintroduced the tax in March 2026 after crude prices jumped during the US-Israeli war on Iran.

  • The export duties are currently reviewed every fortnight and adjusted in line with movements in international crude oil and petroleum product prices.

($1 = 95.0550 Indian rupees)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.