Damocles Sword on oil stocks: Is it time for you to rethink your position?

The government has levied Rs 6 per litre tax on ATF and petrol exports and imposed Rs 13 per litre tax on diesel exports

Shares of oil upstream companies, including Reliance Industries (RIL), ONGC, and Oil India, came under heavy selling pressure on Friday after the government imposed taxes on the export of petrol, diesel, and aviation turbine fuel (ATF), as it mandated exporters of these products to meet the requirements of the domestic market first. 

Besides taxing exports, the government also announced the imposition of windfall tax on gains made by domestic refineries due to a surge in crude oil prices. A cess of Rs 23,250 per tonne on domestic crude production was also imposed. Overall, India exported 42 per cent