2 weeks ago
India Slashes ATF, Petrol Export Duties; Keeps Domestic Taxes Steady
When companies send fuel like petrol, diesel and airplane fuel to other countries, India charges special extra taxes.
This week, the government made changes to some of these taxes.
The extra tax on airplane fuel went down a little bit.
The extra tax on sending petrol to other countries went down to zero.
The tax on sending diesel to other countries stayed the same as before.
The government did not change the taxes people pay when they fill up their cars at fuel stations at home.
That means fuel prices at the pump stayed steady.
The government checks world oil prices every two weeks and adjusts these taxes when prices move.
World oil prices have been going up and down because of tensions in places like Iran.
This is why the government keeps changing the export taxes.
The windfall gains tax on aviation turbine fuel (ATF) exports was cut by ₹2.5 per litre to ₹19.5 per litre.
The windfall gains tax on petrol exports was reduced to nil.
The special additional excise duty on diesel exports was retained at ₹24 per litre, while the road and infrastructure cess was cut from ₹1.5 per litre to nil.
No change was made to the existing excise duty rates on petrol and diesel sold for domestic consumption.
As of August 15, petrol cost ₹102.12 per litre in Delhi and ₹111.2 per litre in Mumbai, with diesel below ₹100 per litre in most metro cities.
- Who
- The Government of India (the Centre)
- What
- Slashed windfall gains export duties on aviation turbine fuel and petrol while retaining the diesel export levy, with no change to domestic fuel excise duties.
- Where
- India
- When
- Announced around August 15, 2026, as part of the fortnightly tax review.
- Why
- To respond to volatile global crude oil prices, driven partly by tensions linked to Iran, and to changes in refining margins and international fuel prices.
Key facts
- ATF export windfall tax
- ₹19.5 per litre (cut by ₹2.5 per litre)
- Petrol export windfall tax
- Nil
- Diesel export special additional excise duty
- ₹24 per litre (unchanged)
- Diesel road and infrastructure cess
- Reduced from ₹1.5 per litre to nil
- Domestic petrol/diesel excise duties
- Unchanged
- Petrol price in Delhi
- ₹102.12 per litre
- Petrol price in Mumbai
- ₹111.2 per litre
- Review frequency
- Every fortnight, based on average international prices










