India raises petrol export tax, cuts diesel levy
India raised the petrol export windfall tax to ₹2.5 per litre and cut the diesel levy to ₹8.5 per litre from 16 Oct 2026. Reliance Industries rose 3.4%, while futures open interest fell 2.7%, indicating short covering.
pre-market2 sources ↓machine-written, see hownot a recommendation
- RELIANCE close
- ₹1,215
- On the day
- +3.44%
- Futures OI, short covering
- -2.7%
- Put-call ratio
- 0.63
- Max pain
- ₹1,210
India raised the windfall tax on petrol exports to ₹2.5 per litre from ₹0.5 per litre and cut the levy on diesel exports to ₹8.5 per litre from ₹16 per litre. The revised duties take effect on 16 Oct 2026, according to a government order issued late Thursday. The move changes the relative economics of exporting the two fuels while the government continues to review the rates every fortnight. ⛽
The tax change came after crude prices rose during the US-Israeli war on Iran. India first introduced windfall taxes on fuel exports in July 2022, withdrew them two years later and reintroduced them in March 2026. The fortnightly review means future changes will remain linked to international crude and petroleum-product prices, keeping export margins sensitive to global energy markets. ⚡
OI Charts data for Reliance Industries showed the stock at ₹1,215 on 15 Oct, up 3.4% on the day, with volume of 23.5 million shares. The stock remained 24.6% below its 52-week high of ₹1,612 recorded on 5 Jan 2026, despite gains of 3.1% over five sessions; it was still down 2.0% over 20 sessions. Futures open interest fell 2.7% alongside the price rise, indicating short covering rather than fresh long accumulation.
The derivatives setup points to ₹1,210 as the expiry max-pain level for 27 Oct, close to the cash-market close. The largest call open interest stood at ₹1,250, while the largest put open interest was at ₹1,160. The futures traded at a 0.18% discount to the underlying and the put-call ratio was 0.63. These levels identify the immediate options-market reference points as traders assess how the revised duties affect refining and export margins.
The next fortnightly review is the key policy marker. Traders will also watch international crude and product prices, export volumes and the stock’s ability to hold above the ₹1,210 max-pain area. A move towards ₹1,250 would meet the largest call open-interest concentration, while ₹1,160 remains the main put-open-interest reference. The stock’s 52-week low was ₹1,152 on 13 Oct 2026, underlining the proximity of the lower support zone.
Source: BusinessLine and Reuters, 15 Oct 2026
Not investment advice. For informational purposes only.