Hormuz Tensions Ripple Through India's Fuel Market: Government Hikes Export Duty on Diesel and ATF, Here Is What It Means for You Prioritising domestic supply, the central government has imposed an export duty of Rs 14 per litre on diesel and Rs 12.5 per litre on ATF, even as the Petroleum Ministry insists there is no shortage of any fuel in the country. The United States and Iran may have reached a peace deal, and US President Donald Trump may have announced the full reopening of the Strait of Hormuz, yet fuel supplies are expected to take some time before they fully return to normal. With that uncertainty in mind, the central government has stepped in with an important decision. It has raised the export duty on diesel and aviation turbine fuel (ATF) so that there is enough of these petroleum products available at home and domestic demand is met first. The New Rates, and What Stays the Same According to a notification issued by the Revenue Department of the Finance Ministry, an export duty of Rs 14 per litre will now apply to diesel and Rs 12.5 per litre to ATF. Notably, the export duty on petrol has been left untouched. The existing excise duty on petrol and diesel sold in the domestic market also remains exactly as before. These revised rates set by the government have come into effect today. Why the Government Acted This is not the first such move. Back in March 2026, when Iran was locked in conflict with the United States and Israel, the government had imposed a Special Additional Excise Duty (SAED) and a Road and Infrastructure Cess (RIC) on the export of petrol, diesel and ATF. The clear aim was to stop companies from exporting excessively and to ensure that fuel remained adequately available in the domestic market. The government reviews international crude oil, petrol, diesel and ATF prices every 15 days and adjusts these rates accordingly. The last such revision was made on June 1. The Government's Assurance: No Shortage On the other side, the Petroleum Ministry has assured citizens that there is no scarcity of petrol, diesel, LPG or natural gas in India. The ministry has appealed to both ordinary people and industries to use energy responsibly. Petroleum Ministry Joint Secretary Sujata Sharma explained the situation in detail at a press briefing on Monday. She said that all refineries in the country are running at full capacity and that there are sufficient crude oil reserves. She stressed that the pressure felt in some areas in recent days was not caused by any shortage of supply, but by a shift in the pattern of demand. Where the Real Problem Came From According to government figures, industrial and commercial consumers usually source diesel from their own private pumps, but in the month of May around 42 crore litres of this consumption moved towards retail petrol pumps. That shift suddenly placed an extra load on retail outlets in some regions, creating the pressure that was seen there. The Temporary 200-Litre Cap To bring this situation under control, the central government issued a temporary order on June 11. Under it, a single person can now be sold a maximum of 200 litres of diesel per day at retail pumps. Large industrial and commercial consumers have been told to draw the diesel they need from their own consumer pumps instead. The government has clarified that this arrangement has been put in place temporarily for about 90 days, and its sole purpose is to spare ordinary consumers any inconvenience. The Petroleum Ministry says fuel availability across the country is completely normal, so there is no need to panic or to buy extra. The government is keeping a close watch on the entire situation and may take further steps if the need arises. What this means for you Here is how this directly affects an ordinary reader: • Across India: The excise duty on petrol and diesel sold in the domestic market is unchanged, so you will pay the same price at the pump and there is no need to stock up out of fear of a shortage. • For bulk and commercial buyers: From June 11, a person can buy at most 200 litres of diesel a day at retail pumps, and large industrial consumers must draw diesel from their own consumer pumps, an arrangement set to last about 90 days. Questions & Answers 1. What is the new export duty on diesel and ATF? Diesel exports will attract a duty of Rs 14 per litre and ATF exports Rs 12.5 per litre, effective today. 2. Will this make petrol and diesel costlier for ordinary people? No, both the export duty on petrol and the excise duty on petrol and diesel in the domestic market have been left unchanged. 3. How much diesel can be bought from a retail pump in a day? Under the temporary order of June 11, a single person can be sold a maximum of 200 litres of diesel per day at retail pumps. 4. Why did retail pumps suddenly come under pressure? In May, around 42 crore litres of diesel consumption by industrial and commercial consumers shifted from their private pumps to retail petrol pumps, creating pressure in some areas. https://trendkia.com/en/business/hormuja-tanava-ke-asara-se-jujhata-indhana-bajara-sarakara-ne-dijala-aura-atf-ke-1115 TrendKia — Har trend, sabse pehle.