SRINAGAR: The government has sharply increased the export duty, or windfall tax, on diesel to Rs 55.5 per litre and on Aviation Turbine Fuel (ATF) to Rs 42 per litre, with the revised rates coming into effect immediately, according to a finance ministry notification.
The move follows earlier duties imposed on March 26, when export taxes were set at Rs 21.50 per litre on diesel and Rs 29.5 per litre on ATF to boost domestic fuel availability amid escalating tensions in West Asia.
The duty hike is also aimed at preventing exporters from benefiting excessively from global price disparities, as crude oil prices surged following the outbreak of conflict in the region.
On February 28, the United States and Israel launched military strikes on Iran, prompting strong retaliation and intensifying instability across the Middle East.
A temporary easing came on April 8, when Iran, the United States, and Israel agreed to a two-week ceasefire after the conflict disrupted global energy markets.
Export duty on petrol, however, remains unchanged at nil.
