The Government of India (GoI) has raised the windfall tax on <a href="https://www.mid-day.com/business/business-news/article/government-slashes-windfall-tax-on-diesel-to-rs-16-hikes-duty-on-petrol-to-rs-25-23655365" rel="nofollow">exports of petrol</a> to Rs 2.5 per litre and cut the duty on diesel, effective from Friday, October 16.&nbsp;
As per the Finance Ministry notification, the export duty on petrol was raised to Rs 2.5 per litre from Rs 0.5 per litre.
The official order from the Finance Ministry noted that the duty on diesel exports was cut to Rs 8.5 per litre from Rs 16 per litre, effective October 16, as per IANS.&nbsp;
Additionally, the export duties are reviewed every fortnight and adjusted in line with movements in international crude oil and petroleum product prices.
The latest revision follows several changes to <a href="https://www.mid-day.com/business/business-news/article/nayara-energy-increase-fuel-prices-petrol-by-rs-5-diesel-by-rs-3-23653158" rel="nofollow">petroleum export duties</a> in recent months amid volatility in international oil prices and geopolitical tensions.
<h2>Duty on petrol exports were cut to Rs 0.5 per litre in September</h2>
In September, the government had reduced the windfall tax and export levies on petrol, diesel and aviation turbine fuel (ATF) as part of its fortnightly review. The duty on petrol exports was cut to Rs 0.5 per litre, comprising a Special Additional Excise Duty (SAED) of Rs 0.5 per litre.
In the previous revision effective September 1, the government had reduced the export levy on diesel to Rs 1 per litre from Rs 3 per litre and cut the windfall tax on diesel exports to Rs 19 per litre from Rs 24 per litre, as per IANS.&nbsp;
In August, the government had raised the export duty on petrol to Rs 3.5 per litre from Rs 2.5 per litre. The<a href="https://www.mid-day.com/business/business-news/article/centre-cuts-windfall-tax-on-diesel-atf-exports-petrol-duty-unchanged-23652755" rel="nofollow"> total duty on diesel </a>was increased to Rs 25.5 per litre from Rs 15.5 per litre, while the ATF export levy was raised to Rs 22 per litre from Rs 14.5 per litre, as per IANS.&nbsp;
The Government of India first imposed windfall taxes on fuel exports in July 2022 to capture super-normal profits earned by refiners when global crude prices surged following the Russia-Ukraine conflict.
Earlier, the government reintroduced the tax in March 2026 after crude prices jumped during the US-Israeli war on Iran.
(With inputs from IANS)

India raises windfall tax on petrol exports to Rs 2.5 per litre and cuts diesel export duty to Rs 8.5 per litre. The revised rates took effect on October 16

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The Government of India has raised the windfall tax on petrol exports to Rs 2.5 per litre from Rs 0.5, while reducing the duty on diesel exports to Rs 8.5 per litre from Rs 16. The revised rates came into effect on October 16 following the latest review of petroleum export duties

India raises windfall tax on petrol exports to Rs 2.5 per litre, cuts diesel duty to Rs 8.5

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