India’s Petroleum Export Earnings Jump Nearly 50% In April–September 2026 Despite Falling Fuel Shipment Volumes

India’s petroleum product export earnings rose by nearly 50% year on year to ₹2.59 lakh crore during April–September 2026. The increase came despite a 16% fall in export volumes, according to data from the Ministry of Petroleum and Natural Gas. Higher international fuel prices and a weaker rupee lifted the value of shipments.

In dollar terms, export earnings grew by nearly 40% over the same period. Regional benchmark prices for diesel and petrol increased by 83% and 54%, respectively, during the six months to September.

The rupee also contributed to the increase in reported earnings. It averaged ₹95.17 against the US dollar during April–September, compared with ₹86.44 a year earlier. This meant exporters received more rupees for their dollar earnings.

Diesel And Petrol Drive Growth In Export Earnings

Diesel accounted for the largest share of the increase in petroleum export revenue. Earnings from diesel exports rose by 58% in rupee terms to around ₹1.2 lakh crore, even as shipment volumes declined by 19%. In dollar terms, earnings increased by 48%, while the average regional diesel benchmark price reached $151 per barrel.

Petrol export revenue reached ₹58,000 crore, up 21%, even as shipments dropped by 24%. Dollar earnings grew 13%, with benchmark prices averaging $120 per barrel.

Diesel and petrol accounted for around 70% of India's petroleum export revenue. Diesel represented 42% of export volumes, compared with 23% for petrol.

Rising Domestic Demand Limits Fuel Available For Export

The fall in export volumes reflected stronger domestic consumption alongside largely stagnant production. During the six months to September, diesel consumption increased by 5%, while petrol consumption grew by 7%. Over the same period, diesel production declined by 0.3% and petrol production fell by 0.8%.

Higher domestic demand left refiners with less fuel available for overseas markets. India exports petroleum products such as diesel, petrol, aviation fuel, naphtha and fuel oil.

Reliance Industries accounts for around 70% of India's fuel exports. Nayara Energy, which is backed by Rosneft, along with state-run Mangalore Refinery and Petrochemicals Limited (MRPL) and other refiners, supplies the remaining share.

The weaker rupee has also been affected by elevated crude oil prices and foreign capital outflows. India relies on overseas suppliers for around 90% of its crude oil needs. When global oil prices rise, refiners face higher import bills and need more dollars to pay for shipments.

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