The Indian government has increased export duties on diesel and aviation turbine fuel (ATF), effective from June 16, 2026. According to the latest fortnightly review, the duty on diesel has been raised to ₹14 per litre, while the levy on ATF is now ₹12.5 per litre. Export duty on petrol remains unchanged at ₹1.5 per litre, and domestic excise duty rates for both petrol and diesel continue without adjustment.
Why the government adjusted export levies
The primary objective behind these adjustments is to ensure sufficient domestic availability of petroleum products. By increasing the cost of exporting these fuels, the government aims to disincentivize shipments abroad, effectively keeping more supply within the country. The Central Board of Indirect Taxes & Customs (CBIC) conducts these reviews every two weeks, adjusting the rates based on prevailing oil prices and market trends.
Comparison of recent duty changes
The current adjustment marks a departure from the rates set at the start of the month. In the review for the fortnight commencing June 1, the export levy for diesel stood at ₹13.5 per litre, while the ATF levy was set at ₹9.5 per litre. The petrol levy has remained consistent at ₹1.5 per litre across both the June 1 and June 16 review periods.
What may happen next
Future fluctuations in the export duty are likely, as the CBIC continues to monitor global oil prices. If international price trends stabilize or shift, the government may choose to further adjust these levies in the next fortnightly review. Should the domestic supply situation remain tight, it is possible that the government will maintain or increase these disincentives for exporters.
Frequently Asked Questions
Are domestic petrol and diesel prices changing?
No. According to the government, excise duty rates for domestic consumption remain unchanged.
How often does the government review these export duties?
The Central Board of Indirect Taxes & Customs conducts these reviews on a fortnightly basis.
What is the current export duty on diesel?
Effective June 16, 2026, the export duty on diesel is ₹14 per litre.
How do you think these shifting export levies affect your daily fuel costs?
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