Industry leaders across logistics, infrastructure, manufacturing and trade have broadly welcomed the Union Budget 2026–27 presented by Finance Minister Smt. Nirmala Sitharaman, describing it as a forward-looking blueprint to strengthen India’s logistics backbone, manufacturing competitiveness and supply chain resilience amid a volatile global trade environment.
Rizwan Soomar, Chief Executive Officer & Managing Director – MENA and India Subcontinent, DP World, said the Budget takes a decisive step towards strengthening India’s end-to-end trade and logistics ecosystem. He highlighted the ₹10,000 crore allocation for domestic container manufacturing as a critical move to address supply chain vulnerabilities, alongside digital customs, AI-enabled inspections and modern warehousing to reduce dwell time and improve cargo predictability. Expanded AEO benefits, including 30-day duty deferral, and sustained investments in freight corridors, inland waterways and ship-repair capabilities were cited as key enablers of India’s ambition to become a globally competitive and resilient logistics gateway.
Anshuman Singh, MD & CEO, IndoSpace and Co-Chairman, FICCI Committee on Logistics, noted that the Budget signals a more integrated approach to industrial competitiveness by recognising infrastructure and logistics as strategic enablers of manufacturing and exports. He said the convergence of advanced manufacturing clusters with freight corridors, multimodal connectivity and customs reform will improve cargo velocity and predictability, while investments in coastal shipping and inland waterways point towards lower-cost and lower-carbon logistics networks. He also emphasised the role of the Infrastructure Risk Guarantee Fund in improving project viability and accelerating execution of large infrastructure projects.
Commenting on the Budget, Gayomard Driver, Group CFO – Jeena & Company, said it provides welcome continuity and clarity on India’s infrastructure and logistics roadmap. He said the focus on freight corridors, national waterways, coastal cargo and high-speed rail corridors reflects a clear shift toward an integrated, multimodal and sustainable logistics network. He added that infrastructure development in Tier II and Tier III cities, coupled with support for manufacturing and MSMEs, is likely to drive decentralised growth and create new trade and distribution hubs.
Ms. Smitha Shetty, Regional Director – APAC, Achilles Information Limited, said the Budget reinforces India’s intent to build long-term industrial competitiveness through stronger manufacturing depth and resilient supply chains. She highlighted measures such as Semiconductors Mission 2.0, rare earth corridors and support for domestic chemical clusters to reduce import dependency in strategic sectors. The ₹10,000 crore SME Growth Fund, micro-enterprise risk capital and compliance-support initiatives like ‘corporate mitras’ were described as balanced measures to strengthen MSME participation in global supply chains, especially in Tier II and Tier III regions.
Mr. Ketan Kulkarni, Managing Director & CEO, Allcargo Logistics, said Budget 2026 offers a strategic response to shifting global trade dynamics by strengthening India’s logistics and supply chain ecosystem. He underscored the focus on multimodal infrastructure, last-mile connectivity and alternative logistics pathways such as inland waterways and seaplanes. The SME Growth Fund and mandatory adoption of platforms such as TReDS and GeM, he said, would empower MSMEs to scale, formalise and participate more actively in export-led growth.
Neeraj Bansal, Partner and Head – India Global, KPMG in India, said the proposed capex of ₹12.2 lakh crore reflects a balanced approach, moving beyond a narrow capex-led strategy to a broader ecosystem-oriented industrial development model. He pointed to the Budget’s focus on innovation-led manufacturing across advanced sectors such as semiconductors, rare earths and biopharma, alongside traditional industries and urban production hubs. While welcoming proposals such as REITs for PSU asset monetisation and continued ease-of-doing-business reforms, he noted that expectations around LTCG rationalisation and enhanced real estate tax deductions remained unaddressed.
Mr. Taranbir Singh, Founder & CEO, Bharat Supply, said the Budget strengthens infrastructure critical for rural and beyond-metro logistics through freight corridors, inland waterways, coastal cargo promotion and domestic container manufacturing. He highlighted the proposed City Economic Regions model as a potential game-changer for platforms serving rural markets, enabling fulfilment centres and aggregation hubs closer to production clusters and improving access from hinterlands to national markets.
Overall, industry leaders view the Union Budget 2026–27 as a pragmatic and future-oriented roadmap that deepens India’s logistics capabilities, strengthens MSMEs, and positions the country to integrate more deeply into global value chains while advancing the vision of a resilient and sustainable Viksit Bharat.
