Budget's manufacturing focus to support exports amid global headwinds

Several announcements in the FY27 budget, such as a scheme for container production and rationalisation of customs duties, would help boost domestic manufacturing and the country's exports, according to exporters.

They said that amid turbulent times, trade tensions, global headwinds and multiple challenges in the international market, the budget proposals will extend a helping hand to the domestic industry.

Sanjay Budhia, Chairman of CII's National Committee on Exports and Managing Director of Patton International Ltd, said the Union Budget 2026-2027 is a positive pointer unveiling the growth agenda and unleashing the growth potential of the country.

"The proposed Rs 10,000-crore scheme for building a globally competitive container manufacturing ecosystem is a timely and strategic intervention," he said.

 

The focus on developing indigenous container capacity will reduce import dependence, lower freight costs, and provide operational flexibility for India's export logistics, Budhia said.

"This initiative can become a cornerstone in strengthening supply chains and reinforcing India's position as a manufacturing and trading hub, and would surely help India to achieve its target of USD 2 trillion exports by 2030, he said, adding an extended timeline for the end-use of imported inputs and also the advance ruling is putting trust in India Inc.

A Sakthivel, Chairman, Apparel Export Promotion Council (AEPC), too, said that the emphasis on providing liquidity, ease of exports, particularly through customs-related reforms and simplified documentation procedures, will reduce transaction costs, enhance efficiency, and improve the overall ease of doing business for exporters.

"Trade facilitation measures such as recognition of trusted importers, reduced cargo verification, and factory-to-port clearance using electronic sealing will significantly reduce logistics costs and improve ease of doing business," Sakthivel said.

Further commenting on the announcements with regard to the healthcare sector, Minu Budhia, Psychotherapist & Founder, Carring Minds International, said the budget has proposed widening access to specialised care, including through the establishment of NIMHANS (National Institute of Mental Health and Neurosciences) 2.0.

"Mental health issues have long been treated like a taboo, and those suffering have been met with societal stigma. For years, most families have brushed these issues under the carpet, and those who have visited psychiatrists or psychologists have been pressured to keep their conditions and treatment shrouded in secrecy," she said.

Setting up a NIMHANS 2.0 in North India and upgradation of the existing National Mental Health Institutes in Ranchi and Tezpur to regional apex institutions are welcome steps, Budia said.