As we look ahead to the upcoming Union Budget, there is strong expectation around further rationalisation of customs duties, particularly for the core growth sectors such as healthcare and high-end and precision manufacturing. Addressing inverted duty structures and ensuring a more predictable import framework and simplified governance framework will be critical for improving cost competitiveness and long-term investment planning and predictability.
Equally important is continued progress on ease of doing business through fewer licenses, permits, and discretionary approvals for non-sensitive, technology-intensive imports. For advanced manufacturing, speed, certainty, and regulatory simplicity matter as much as incentives. A Budget that enables seamless access to global components, faster clearances, and stable policy signals will go a long way in strengthening India’s ambition to emerge as a global hub for high-value, technology-led manufacturing.
Clear policy support for Global Capability Centres focused on high – value work such as Engineering, Digital Computing, Deep Tech, AI, Finance Transformation, and R&D – including rationalised transfer pricing rates and governance, simplified compliance, radically improving physical infrastructure specifically in GCC hotspots, and targeted incentives. Progress on the proposed India – EU free trade agreement, particularly with Germany, would be a strong enabler for technology-led manufacturing, smoother trade flows, and deeper industrial collaboration.
