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Latest News on Economy Policy, Government, Trade Policy | The HinduBusinessLine

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Govt reduces diesel, ATF export duties; no change in petr...
By ANI · 2026-05-01 · via Latest News on Economy Policy, Government, Trade Policy | The HinduBusinessLine
The Centre has reduced export duties on diesel and aviation turbine fuel (ATF) for the fortnight starting May 1, while keeping petrol export duty unchanged at zero.

The Centre has reduced export duties on diesel and aviation turbine fuel (ATF) for the fortnight starting May 1, while keeping petrol export duty unchanged at zero.

The Centre has revised export duties on diesel and aviation turbine fuel (ATF) for the next fortnight beginning May 1, while petrol export duty continues to remain nil, the Finance Ministry said on Thursday.

The rate of duty on exports of diesel will be Rs 23 per litre (SAED - Rs. 23; RIC - Nil). Further, the rate of duty on exports of ATF will be Rs 33 per litre (SAED only). The rate of duty on exports of Petrol continues to remain nil.

No change in domestic excise duty rates

Special Additional Excise Duty (SAED) is a flexible tax imposed by the government on select products, mainly domestic crude oil and exported petroleum fuels such as petrol, diesel, and ATF. Finance Ministry also said there is no change in the existing excise duty rates on petrol and diesel cleared for domestic consumption.

In April, the Centre had increased export duties on petroleum products, raising the levy on high-speed diesel to Rs 55.5 per litre and on aviation turbine fuel (ATF) to Rs 42 per litre.

Fuel norms updated; blending allowed

Meanwhile, the Petroleum and Natural Gas Ministry issued a notification on April 22 to align fuel definitions and regulatory provisions with evolving industry standards. Aviation Turbine Fuel (ATF) can now be blended with synthetic fuels under new rules. The move is aimed at bringing clarity to fuel standards amid growing use of alternative and blended aviation fuels.

Definition of ATF expanded under new notification

A gazette notification issued by the Ministry of Petroleum and Natural Gas (MoPNG) details the amendment to the Aviation Turbine Fuel (Regulation of Marketing) Order, 2001. Under the new G.S.R. 301(E) notification, the definition of aviation turbine fuel has been expanded.

It is now identified as a complex mixture of hydrocarbons conforming to IS 1571 specifications or its blend with synthesised hydrocarbons as specified in IS 17081.

Published on May 1, 2026