India nearly halves diesel export tax for next two weeks

India has cut its diesel export duty from 16 rupees to 8.5 rupees per litre for the next two weeks from October 16, while raising the gasoline export duty fivefold to 2.5 rupees per litre.

Why it matters: A lower diesel levy could bring more Indian supply to an international market hit by a diesel crunch, while the higher gasoline duty discourages gasoline exports and protects domestic supply.

Data as of Friday, October 16, 2026, 05:41 ET. Single sourced to OilPrice.com reporting, opened and read in full, which links the duty figures to Times of India reporting. No independent corroboration yet, hence grade C for a developing item.

India has cut its export duty on diesel to 8.5 rupees per litre from 16 rupees for the two weeks starting October 16, and raised the gasoline export duty to 2.5 rupees per litre from 0.5 rupees, OilPrice.com reported. The jet fuel export duty was left unchanged at 10.5 rupees per litre, and duties on domestic gasoline and diesel sales were not changed.

India reviews the export levies every two weeks. The duties were first imposed in March, during the Middle East crisis that halted shipments through the Strait of Hormuz, to protect domestic fuel supply, and the lower diesel levy could encourage additional exports into a tight global diesel market.

India nearly halves diesel export tax for next two weeks

Sources