WTC, AIAI welcome reduction of excise duty on petroleum products
Welcoming the Government of India’s decision to reduce excise duty by Rs 10 per litre on both petrol and diesel with immediate effect, Dr Vijay Kalantri, Chairman, World Trade Center Mumbai and President, All India Association of Industries, said that the move reflects a bold and timely intervention to protect the Indian economy and consumers amid global volatility.
“The Government has taken a conscious decision to absorb a significant fiscal impact estimated at around Rs 1.7 lakh crore annually to shield citizens from a sharp rise in fuel prices. At a time when global fuel prices have increased significantly by 30–50% across South and South-East Asia, around 30% in North America, and nearly 20% in Europe, India has maintained price stability. This decision underscores the Government’s commitment to prioritising economic stability and consumer welfare,” said Dr Kalantri.
“The excise reduction will offset pressures on Oil Marketing Companies (OMCs), enabling them to continue supplying fuel without disruption while keeping retail prices stable. Fuel is a critical input across sectors, and stabilising its cost will have a cascading positive impact on transportation, logistics, and inflation. This will provide relief to industry, MSMEs, and the common man alike,” added Dr Kalantri.
Dr Kalantri, emphasised, “the Government’s continued focus on ensuring uninterrupted availability of petroleum products, including LPG for both household and commercial usage.
Such proactive and balanced policy measures will help sustain economic momentum, contain inflationary pressures, and strengthen overall resilience in a period of global uncertainty,” WTC Mumbai and AIAI believe that this decisive step will reinforce confidence across sectors and support India’s growth trajectory by balancing fiscal responsibility with economic stability.
