NEW DELHI, Feb 1: With the presentation of the Union Budget 2026, several items are expected to get cheaper and some others costlier for Indian consumers. As finance minister Nirmala Sitharaman presented the union budget in parliament on Sunday, she spoke about some items on which the government is planning to reduce customs duty.
She also mentioned some import items from other countries on which the government was considering lowering tariffs, which would in turn cost cheaper for consumers in India.
Following are the items expected to be become cheaper:
Personal use imported goods,
- 17 drugs or medicines for cancer patients
- Drugs, medicines and Food for Special Medical Purposes (FSMP) for 7 rare diseases
- Leather items (footwear)
- Textile garments
- Seafood products
- Overseas tour package
- Lithium-Ion Cells for batteries
- Solar glass
- Critical minerals
- Biogas-blended CNG
- Aircraft manufacturing components
- Microwave oven
- Foreign education
Following are the items likely to become costlier:
- Alcohol
- Cigarettes
- Nuclear Power Projects components
- Minerals, iron ore, coal
- Misreporting of income tax
- Stock options and future trading
Even though the Budget indicates that alcohol could get costlier for Indians, there may be some respite from the recently finalised India-European Union (EU) deal. According to the EU, tariffs on 96.6 per cent of its exports will be slashed by reduced or eliminated by India as part of the free trade pact.
Wine, beer and some other spirits imported from Europe are among items that will likely see a price reduction in India due to the tariff cut. Other items include kiwis and pears, fruit juices and non-alcoholic beer and processed food.
In her 81-minute long Budget speech, Nirmala Sitharaman touched upon some important issues – time of Income Tax return filing, hike in Securities Transaction Tax (STT) on Futures and Options, expansion of India’s semiconductor mission, and the rare earth corridors.
(Manas Dasgupta)