The government has announced a full customs duty exemption on critical petrochemical products until June 30, 2026, due to ongoing conflicts in West Asia disrupting global supply chains. This temporary relief aims to ensure the availability of essential petrochemical inputs for domestic industries, reduce costs for downstream sectors, and maintain supply stability in the country.
The exemption is expected to benefit various sectors reliant on petrochemical feedstock, such as plastics, packaging, textiles, pharmaceuticals, chemicals, automotive components, and other manufacturing segments. Additionally, this measure will offer relief to consumers of final products.
Among the petrochemical products included in the list are Anhydrous ammonia, Toluene, Styrene, Dichloromethane, Vinyl chloride monomer, Methanol, Isopropyl alcohol, Monoethylene Glycol, and Phenol, among others. The government’s decision to restore rates and value caps under the RoDTEP scheme for eligible export products aims to support Indian exporters facing increased freight costs and trade risks due to the geopolitical situation.
India’s strategic reserves of crude oil, petrol, diesel, ATF, LPG, and LNG enable it to manage short-term disruptions while diversifying energy sources from global suppliers.
