India has eliminated the export levy on petrol while increasing charges on diesel and aviation turbine fuel, changing per-liter costs for exporters under a duty schedule that is reviewed periodically.
Two Ministry of Finance notices published in the Official Gazette set the changes in effect Oct. 31. The petrol export levy fell to zero from ₹2.50 per liter. The diesel levy rose to ₹11.50 per liter from ₹8.50, and the aviation turbine fuel (ATF) levy increased to ₹11 per liter from ₹10.50.
The revised schedule cuts the petrol charge by ₹2.50 per liter, raises the diesel charge by ₹3 and adds 50 paise to the ATF charge. The notices do not give export volumes or estimate the effect on individual companies.
The government said it introduced export levies in March to discourage overseas sales and support domestic fuel availability amid the West Asia crisis. In a March briefing, it said high international prices were encouraging refineries to export petroleum products. The Ministry of Finance said in a May release that it reviews the rates every two weeks based on average international prices since the previous review.
Mint reported that the latest rates covered the two weeks beginning Oct. 31. It also said shares of Indian Oil Corporation Limited, Bharat Petroleum Corporation Limited and Hindustan Petroleum Corporation Limited may draw investor attention when trading resumes Monday, Nov. 2. The government notices do not assess those companies or forecast their share-price moves.
The Gazette notices specify when the new rates took effect but give no expiry date or date for the next review.
