The Union Budget 2026-27, presented by Finance Minister Nirmala Sitharaman on February 1, 2026, emphasizes execution-led growth, infrastructure acceleration, manufacturing self-reliance, and services sector reforms under the vision of Viksit Bharat. With public capital expenditure raised to ₹12.2 lakh crore (3.1% of GDP), a fiscal deficit target of 4.3%, and targeted schemes across strategic sectors like railways, containers, textiles, IT services, and life sciences, the Budget aims to boost domestic capabilities, ease business operations, and foster inclusive development amid projected 6.8-7.2% GDP growth momentum.
Industry leaders from infrastructure, manufacturing, creative economy, workplace design, clinical research, and consumer health share their perspectives on how these measures translate into real-world impact.
Infrastructure and Railways: Boosting Manufacturing and Logistics Resilience
The Budget’s ₹2.77 lakh crore allocation for railways, seven new high-speed rail corridors (as ‘growth connectors’), dedicated freight corridors, and a ₹10,000 crore scheme for container manufacturing—along with production-linked incentives and customs duty exemptions for lithium-ion cell capital goods—provide strong continuity for rail and logistics ecosystems.
Mr. Vivek Lohia, Managing Director of Jupiter Wagons Limited, highlights the positive implications for the sector.
“The ₹2.77 lakh crore allocation for railways, alongside sustained capital expenditure, provides continuity and planning confidence for the rail manufacturing ecosystem. Measures announced in the Budget, such as the one-time facilitation for eligible manufacturing units in Special Economic Zones to sell into the Domestic Tariff Area at concessional duty, are particularly relevant in the context of global trade disruptions, as they help improve capacity utilisation while maintaining a level playing field. Equally important are steps to simplify customs processes and reduce intervention, which will support faster movement of goods and greater trade certainty. The proposed ₹10,000 crore scheme for container manufacturing, supported by production-linked incentives for containers and Battery Energy Storage Systems, will help build scale in domestic manufacturing. As a company that has been at the forefront of container manufacturing, we see this as a boost which can significantly accelerate production capacity and localisation. The extension of basic customs duty exemptions to capital goods used in lithium-ion cell manufacturing for BESS will further improve project viability and accelerate localisation. Alongside the announcement of seven new high-speed rail corridors and continued investment in freight corridors and logistics infrastructure, these measures strengthen the manufacturing-logistics link and reinforce India’s position in global supply chains, advancing the broader ambition of Viksit Bharat through execution-led growth.” — Mr. Vivek Lohia, Managing Director, Jupiter Wagons Limited
These initiatives are set to enhance localisation, reduce import dependencies, and improve global supply chain integration.
Creative Economy and Handicrafts: Modernizing Clusters for Global Reach
The National Handloom and Handicraft Programme, Mahatma Gandhi Gram Swaraj initiative, investments in design education, AVGC skilling, heritage digitisation, and SHE-Marts signal renewed support for artisans, women-led enterprises, and cultural exports.
Yosha Gupta, Founder & CEO of MeMeraki, sees alignment with artisan empowerment but calls for deeper ecosystem integration.
“The Union Budget 2026–27 brings some renewed focus to India’s cultural and creative economy, from strengthening handloom and handicrafts through the Mahatma Gandhi Gram Swaraj initiative and the National Handloom and Handicraft Programme to investments in design education, AVGC skilling, and heritage digitisation. The push to modernise clusters, deepen skilling, and build global market linkages is directionally important and aligns with MeMeraki’s mission of enabling master artisans engage with digital tools and global audiences. Initiatives like SHE-Marts also point to an intent to support women-led enterprise and inclusive growth. Going forward, the real opportunity lies in aligning documentation, skills, market access, and enterprise support into a truly connected ecosystem, while also positioning craft more clearly as one of India’s most powerful forms of soft power and cultural export. Greater clarity on international duties and trade facilitation for handcrafted goods would be a critical next step in enabling traditional artists, SHGs, and creative entrepreneurs to engage with scale, continuity, and sustainable livelihoods, and to enable India’s rich artistic heritage to compete meaningfully in global cultural markets.” — Yosha Gupta, Founder & CEO, MeMeraki
This focus positions India’s crafts as a key soft power asset while promoting sustainable rural livelihoods.
Global Capability Centres and IT Services: Enhanced Tax Certainty for Growth
Clubbing software development, IT-enabled services, KPO, and contract R&D under a single “Information Technology Services” category with a 15.5% safe harbour margin (threshold raised to ₹2,000 crore) and automated approvals reduces friction for GCCs and multinationals.
Akshay Lakhanpal, CEO India at Space Matrix, views this as a catalyst for workplace investments.
“India’s Budget 2026 sends a strong signal to global capability centres and multinational firms that India wants to be the world’s most efficient hub for technology and services. By recognising all software development, IT-enabled services, knowledge process outsourcing and contract R&D under a single Information Technology Services category, and introducing a common safe harbour margin of 15.5% with the threshold raised from ₹300 crore to ₹2,000 crore, the government has sharply improved tax certainty and ease of doing business for GCCs and international companies looking to expand here. Safe harbour approvals moving to an automated, rule-driven system further reduce friction and subjectivity, which is exactly what long-term investors and occupiers need for confident, multi-year commitments. For corporates, this clarity does not just shape tax planning, it shapes their workplace strategy. When high-value work is concentrated in India, boards and leadership teams can justify deeper investment in campuses, experience-led offices and collaboration spaces that support complex, tech-intensive roles. A more predictable regime encourages companies to design workplaces that are magnets for global talent: agile, amenity-rich, and aligned with ESG expectations and global compliance standards. As a workplace design and build firm, we see this Budget as a clear green light to plan for the next wave of high-performance workplaces. When global and Indian companies have greater clarity and confidence on their India growth plans, they are more willing to invest in agile, experience-led, sustainable offices that can attract talent and support complex, technology-intensive work. We may not yet have infrastructure status for the Interior Design and Fit-out industry — and that remains a worthy aspiration — but the direction of reform is very encouraging. This Budget strengthens India’s position as the preferred destination for global work, and that is fundamentally positive for our sector, our clients and the thousands of professionals who shape the workplaces where this growth will actually be delivered.” — Akshay Lakhanpal, CEO India, Space Matrix
Such reforms encourage sustained investments in talent-attracting, sustainable office spaces.
Life Sciences and Clinical Research: Building Credible Research Ecosystem
Focus on clinical trials, regulatory capacity, biologics (via Biopharma SHAKTI), and related areas aims to elevate India beyond cost efficiency to a global research hub.
Nilesh Aggarwal, Founder of Medtalks, stresses the need for integrated evidence generation.
“The Union Budget 2026–27 signals a clear intent to strengthen India’s clinical research and life sciences ecosystem. The focus on clinical trials, regulatory capacity, and biologics reflects a shift towards making India as a globally credible research destination, not just a cost-efficient one. As this ecosystem evolves, evidence generation cannot remain limited to trials alone. Indian medical journals, continuous medical education, and real-world data will be equally important in translating research into everyday clinical practice especially in a country as diverse as India. There is also a need to strengthen India’s own platforms for scientific publishing, doctor education, and patient awareness so that India-specific evidence is generated, interpreted, and disseminated locally. At the IJCP Group, we have been working across these areas for several years, spanning research, medical publishing, education, and patient engagement, and see this Budget as an important step towards building a more integrated, evidence-driven healthcare ecosystem.” — Nilesh Aggarwal, Founder, Medtalks
This paves the way for localized, credible healthcare evidence and practice.
Food Safety and Nutrition: Empowering Informed Consumer Choices
Stronger labelling, testing, and enforcement standards recognize the role of food safety in public health and productivity.
Arjun Anjaria, Founder & CEO of Unbox Health, notes the complementary role of independent platforms.
“The Budget reinforces the growing recognition that food safety and nutrition are central to long-term public health and economic productivity. As packaged foods and supplements become a larger part of everyday diets, consumers need clearer, more reliable information to make safe choices. Stronger labelling standards, wider access to accredited testing and consistent enforcement can help ensure that label claims reflect product reality. Platforms like Unbox Health complement this effort by independently testing products and publishing lab-backed ratings, helping consumers navigate complexity while encouraging brands to meet higher standards of transparency and compliance.” — Arjun Anjaria, Founder & CEO, Unbox Health
These measures promote transparency and higher industry standards.
Conclusion: Execution-Driven Reforms for Sustainable Growth
The Union Budget 2026-27 prioritizes implementation through infrastructure continuity, manufacturing incentives, tax predictability, and sector-specific boosts in creative industries, IT, and life sciences. By addressing global disruptions, talent needs, and consumer welfare, it lays a foundation for resilient, inclusive progress toward Viksit Bharat.
Last Updated on: Tuesday, February 3, 2026 10:07 am by Monisha Angara | Published by: Monisha Angara on Tuesday, February 3, 2026 10:07 am | News Categories: News
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