Effective June 1, the Indian government has reduced the windfall tax on petroleum crude to Rs 5,200 ($62.33) per metric tonne from Rs 5,700, following a May 16 reduction from Rs 8,400. The tax for diesel and aviation turbine fuel remains unchanged at zero. This tax, revised every fortnight, was introduced in July 2022 to control private refiners prioritizing exports over local sales to capitalize on high refining margins. The move aims to balance domestic supply and international sales, ensuring local market stability.