India’s Largest Oil Company Drags Nifty 50 on Friday as Stock Falls Over 4%; Here’s Why

Om DSIJ/ 27 Mar 2026 /Categories: Mindshare, Trending

India’s Largest Oil Company Drags Nifty 50 on Friday as Stock Falls Over 4%; Here’s Why

Reliance Industries falls over 4% amid export duty on fuel exports; high index weight makes it a key dragger on Nifty 50

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On Friday, March 27, 2026, the Nifty 50 was trading 1.78 per cent lower at 22,892.65 as of 2:30 PM. Reliance Industries was one of the major dragger for Nifty 50 on Friday, with the share price trading at 4.47 per cent lower at Rs 1,349.10. The sharp fall comes after the government announced the levy of export duty on petrol and diesel, a move that directly impacts the company's export-heavy refining business.

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Government Imposes Export Duty on Fuel Exports Amid Global Crude Price Surge

Reliance Industries’ sharp decline today is linked to a key policy decision taken by the government regarding fuel exports. On March 27, Union Minister for Petroleum and Natural Gas, Hardeep Singh Puri, announced that an export duty has been imposed on petrol and diesel as global fuel prices have surged significantly.

Over the past month, international crude oil prices have jumped from around USD 70 per barrel to nearly USD 122 per barrel, driven by rising tensions in West Asia involving the United States, Israel, and Iran, along with disruptions in the Strait of Hormuz, which is a critical route for global oil supply. This sharp increase has put pressure on oil companies.

To provide relief domestically, the government reduced excise duty on petrol from Rs 13 per litre to Rs 3 per litre and on diesel from Rs 10 per litre to zero. According to the minister, this step was taken to reduce the heavy losses faced by oil companies, which were estimated at around Rs 24 per litre for petrol and Rs 30 per litre for diesel.

At the same time, the government introduced an export Tax on petrol and diesel to ensure that enough fuel remains available within the country. For companies like Reliance Industries, which export refined fuel, this means additional costs, which have impacted investor sentiment and led to weakness in the stock price.

Export duty on fuel impacts Reliance’s refining margins and export-linked earnings

The export duty has a direct impact on Reliance Industries because of its large refining and export-focused business. The company operates one of the world’s largest refineries at Jamnagar with a capacity of around 1.4 million barrels per day and exports a significant portion of petrol, diesel, and other fuels to global markets where prices are higher. With the new duty, every barrel exported now attracts additional cost, reducing overall realisation and impacting margins.

Why Reliance is a Major Dragger for Nifty 50 Today

Reliance Industries holds a weightage of around 8.20 per cent in the Nifty 50 index. A decline of over 4 per cent in the stock has led to an erosion of around Rs 80,000 crore in market capitalisation in a single trading session. As one of India’s largest private sector companies, movements in Reliance Industries tend to have a notable impact on the broader index performance. The full impact of both the export duty announcement and the Iranian crude controversy hit the stock in today's session, amplifying the selling pressure.

Reliance Industries Rejects Media Reports on Iranian Crude Oil Purchase

Reliance Industries has issued a clarification in its regulatory filing, strongly rejecting recent media reports alleging the purchase of crude oil of Iranian origin. The company stated that these claims are entirely baseless, factually incorrect, and misleading.

In the statement dated March 26, 2026, the company has urged media outlets to verify facts thoroughly before publication and to refrain from disseminating unsubstantiated reports that can misinform stakeholders and the public. The clarification was filed under the regulatory disclosure requirements and was also sent to the Luxembourg Stock Exchange and Singapore Exchange Limited, where the company has listings.

About Reliance Industries Limited

Reliance Industries Limited is India's largest private sector company with businesses spanning across energy, petrochemicals, natural gas, retail, telecommunications, media and textiles. The company operates the world's largest refining complex in Jamnagar, Gujarat and is a Fortune Global 500 company. Reliance Industries is headquartered in Mumbai and has listings on BSE, NSE, Luxembourg Stock Exchange and Singapore Exchange.