India raises windfall tax on petroleum crude

The Indian government has hiked windfall tax on petroleum crude to 4,250 Indian rupees ($51.68) per tonne from 1,600 Indian rupees with effect from August 1.

A windfall tax on diesel has been increased to 1 rupee per litre from nil earlier, according to a government notification on Monday.

The windfall tax on petrol and aviation turbine fuel has been left unchanged.

Earlier this month, the government raised the windfall tax on petroleum crude to 1,600 Indian rupees per tonne from zero.

India last July imposed the windfall tax on crude oil producers and extended the levy on exports of gasoline, diesel and aviation fuel after private refiners wanted to make gains from robust refining margins in overseas markets, instead of selling at home.