India raises diesel and ATF export levies, effective June 16

India raised export levies on diesel and aviation turbine fuel effective June 16, according to reports citing a government gazette notification, while leaving the petrol levy unchanged.

The move applies for the fortnight starting June 16 and marks another adjustment to India’s special additional excise duty, or windfall tax, on fuel exports. Times of India reported the new rates as Rs 14 per litre for diesel and Rs 12.5 per litre for aviation turbine fuel, while Economic Times said the change was set out in a gazette notification.

What changed

The reported increase covers diesel and aviation turbine fuel exports. Petrol was not changed in the same action.

The policy took effect on June 16, meaning exporters face the higher charges from the start of the current fortnightly review cycle.

Why it matters

Higher export levies can reduce refinery export margins, especially for companies shipping diesel and ATF overseas. The change can also encourage refiners to keep more supply in the domestic market, which is one reason governments use export taxes during periods of tighter fuel management.

India has adjusted these levies several times in recent months. In May, coverage reported that the government had imposed a Rs 3 per litre export levy on petrol while cutting diesel and ATF levies, highlighting how frequently the tax structure has shifted.

What to watch next

The next fortnightly review will show whether the government changes petrol or other fuel levies again. Market participants will also be watching for any response from refiners and exporters in shipping volumes, pricing, or product flows.

The available reporting does not include a standalone ministry statement, so the exact wording of the notification and any policy rationale remain to be confirmed.