# Centre cuts diesel export tax, raises petrol levy amid oil prices

> India reduces diesel export tax to ₹8.50/litre while increasing petrol levy to ₹2.50/litre amid rising oil prices.
- Title: Centre cuts diesel export tax, raises petrol levy amid oil…
- Summary: India reduces diesel export tax to ₹8.50/litre while increasing petrol levy to ₹2.50/litre amid rising oil prices. India cut diesel export tax to ₹8.50 per…
- Keywords: india, diesel, petrol, export levy, oil prices, west asia, crude oil, news, Centre, cuts, export, tax
- Source: mint — https://livemint.com/news/windfall-tax-diesel-exports-petrol-exports-atf-west-asia-war-crude-oil-prices-oil-marketing-companies-11792117561587.html
- Author: Rituraj Baruah
- Published: 2026-10-16T03:12:09+00:00
- Read time: 1 min
- Topics: india, diesel, petrol, export levy, oil prices, west asia, crude oil, news
## Tax changes for diesel and petrol
The Centre cut diesel export levy to ₹8.50 per litre from ₹16 per litre and raised petrol export levy to ₹2.50 per litre from ₹0.50.
## Why changes were made
The government introduced windfall tax to ensure domestic petroleum availability during West Asia war tensions and rising oil prices.
## Oil price impact
Brent crude prices rose 10% in two weeks to $105.5 per barrel amid West Asia tensions.
## Export context
India exports petroleum products worth $45 billion annually while importing $123 billion worth of crude oil.
## Domestic consumption
India consumed 243 million tonnes of petroleum products in fiscal year 2026, with exports at 61.43 million tonnes.
## Key takeaway

India cut diesel export tax to ₹8.50 per litre and raised petrol export tax to ₹2.50 per litre to manage domestic oil supply amid West Asia tensions and rising crude prices.