Indian Fuel Export Revenue Jumps 50% to 2.59 Trillion Rupees Despite Lower Shipments
Key Facts
India’s revenue from petroleum product exports rose about 50% year on year to 2.59 trillion rupees in April-September 2026, despite a 16% decline in shipment volumes, according to Petroleum and Natural Gas Ministry data cited by Reuters and published by The Economic Times. The jump reflected higher fuel prices in international markets, alongside a weaker rupee that boosted returns when converted into the local currency. In dollar terms, revenue recorded a smaller increase of about 40% over the same period. The gap highlights the impact of exchange rates on rupee-denominated export figures as exported volumes declined. Revenue rose while shipments fell, making higher prices and the exchange rate key drivers of growth in the nominal value of exports.
The regional benchmark price for diesel rose 83% in the six months through September, while the benchmark price for gasoline increased 54%, according to ministry data cited by Reuters. These moves show broad price gains across two major exported fuels, with the increases varying between diesel and gasoline. The average exchange rate also rose to 95.17 rupees per dollar in April-September, compared with 86.44 rupees a year earlier. Rupee-denominated revenue thus received a boost from higher prices and the Indian currency’s depreciation against the dollar. Export revenue in dollars rose about 40%, less than the roughly 50% increase in rupees.
Diesel was the bigger driver among the two fuels for which the data breaks out revenue. Diesel export revenue rose 58% in rupees to about 1.2 trillion rupees, despite a 19% drop in volume in April-September. Dollar revenue from diesel exports increased 48%, while the regional benchmark price for diesel averaged $151 a barrel. That figure refers to the regional diesel benchmark, not the average price of all Indian fuel exports. Diesel’s performance combined a jump in revenue with lower volumes, reflecting a higher benchmark price and a weaker rupee.
Gasoline export revenue rose 21% in rupees to 58,000 crore rupees and 13% in dollars, despite a 24% drop in volumes. The regional benchmark price for gasoline averaged $120 a barrel during the period. Gasoline export volumes declined faster than diesel volumes, but revenue increased in both cases as benchmark prices climbed. The comparison between revenue growth in rupees and dollars points to the currency’s impact on total returns, alongside price movements. For gasoline, the increase in dollar revenue was smaller than the increase in rupee revenue and below diesel’s dollar gain.
August data provide a further monthly comparison showing a decline in exported volumes: Indian petroleum product exports fell 40% year on year to 2.7 million metric tons, according to the ministry, as cited by S&P Global Commodity Insights. Meanwhile, Indian Oil Minister Hardeep Singh Puri said the country would continue exporting petroleum products and meeting its external commitments despite concerns over global supplies, geopolitical tensions in the Middle East and the Russia-Ukraine war. The report quoted him as saying: "We will continue to export products and meet our export commitments." The pledge places continued exports in the context of existing commitments, while August’s figures show a sharp decline in shipment volumes in a single month. This does not change the fact that first-half fiscal-year revenue rose as total shipment volumes declined.
Markets in India are awaiting the release of the September industrial production index on Wednesday, October 28, 2026, according to the schedule announced by the Ministry of Statistics and Programme Implementation. Trading Economics’ calendar lists a forecast for industrial production growth of 7.4% year on year and manufacturing production growth of 8.6%. The first forecast is for industrial production, while the manufacturing production forecast is listed separately in the calendar. The release will add a reading on September industrial activity to the economic data expected in India. Its scheduled date is a separate data milestone from the figures for fuel exports and revenue in April-September.