India has cut windfall taxes on exports of diesel and aviation turbine fuel, the government ordered changes that took effect on 1 October 2026, a report by sources said.
Details of the change
The government order reduced the export duty on diesel to 16 rupees per litre from the previous 20 rupees per litre. This change was published as part of the order announced on 1 October 2026.
The levy on aviation turbine fuel exports was lowered to 10.5 rupees per litre from 15 rupees per litre. The published item makes clear both adjustments apply to export shipments and are expressed on a per-litre basis.
Scale of the reductions
Taken against the earlier rates, the diesel duty fell by 4 rupees per litre, equivalent to a 20 per cent reduction from the prior level. The aviation turbine fuel levy was cut by 4.5 rupees per litre, equal to a 30 per cent reduction from its former rate.
- Diesel export duty: 20 rupees/litre to 16 rupees/litre (reduction 4 rupees; 20%).
- Aviation turbine fuel export levy: 15 rupees/litre to 10.5 rupees/litre (reduction 4.5 rupees; 30%).
The government order implementing the new rates was released on 1 October 2026, and the changes took effect from that date. Sources carried a report on the measures on 1 October 2026 that summarised the revised rupee-per-litre levies.
The adjustments apply specifically to windfall taxes on exports of the two fuels named in the order. The published report confined its details to the revised export levies and the effective date, without further administrative or fiscal commentary.
The reduction in rupee-per-litre levies alters the immediate cost basis for consignments of diesel and aviation turbine fuel leaving the country from 1 October 2026. The government order as reported sets out the new numeric duties; no additional modifications or exemptions were reported in the item published on 1 October 2026.
The reports item is the source for the government order and the revised rates. The report provided the figures and the date of implementation; no further operational guidance or commentary was included in the published summary.
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