Government Revises Fuel Export Levies for Fortnight From June 1

03 Jun 2026 CW Team

The Central government revised export levies on petrol, diesel and aviation turbine fuel for the fortnight beginning June 1, while leaving excise duty rates on fuel sold in the domestic market unchanged. An official notification set the duty on petrol exports at Rs one point five per litre, on diesel exports at Rs 13.5 per litre and on aviation turbine fuel exports at Rs nine point five per litre. The changes were notified ahead of the fortnightly review that governs export charges.

The notification indicates the adjustments will take effect from the start of the fortnight and will apply to shipments bound for overseas markets. Domestic excise duties on petrol and diesel remain at existing levels, so retail pump prices in the internal market are to be unaffected by the export levy revision. The move follows the established practice of periodic revision to align export charges with domestic supply considerations and international price movements.

Export levies are used as a tool to moderate overseas shipments during periods of domestic tightness and to temper volatility in local availability, the notification explained. Analysts noted that modest export duties can discourage marginal shipments without changing domestic tax receipts materially. The government retains scope to adjust levies fortnightly in response to evolving supply conditions and global crude and product price trends.

The revised export duty schedule is expected to be monitored by state fuel retailers and industry participants for operational implications on loading and logistics. Traders and refiners will factor the duties into export bids while domestic market operations continue under existing excise arrangements. The fortnightly cadence of notifications means further alterations are possible at the next review, keeping policy calibrated to both domestic needs and external market signals.

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