Union Budget 2026 Accelerates India’s Tech Sovereignty, Women-Led Growth, Creative Economy, and Export Competitiveness
The Union Budget 2026-27, presented by Finance Minister Nirmala Sitharaman, marks a pivotal step toward realizing Viksit Bharat through sustained reforms, infrastructure push, and sector-specific incentives. With a total expenditure of around ₹53.5 lakh crore, capital outlay at ₹12.2 lakh crore, and fiscal deficit targeted at 4.3% of GDP, the Budget emphasizes manufacturing self-reliance, women empowerment, creative economy growth, and streamlined trade processes.
Industry leaders have welcomed these measures as timely catalysts for India’s economic ambitions.
Semiconductor Sector: A Leap Toward Self-Reliance
The launch of India Semiconductor Mission (ISM) 2.0, building on the success of its first phase, focuses on producing equipment and materials, designing full-stack indigenous IP, fortifying supply chains, and establishing industry-led research and training centers. The Electronics Components Manufacturing Scheme (ECMS) allocation has been enhanced to ₹40,000 crore, signaling strong momentum in domestic fabrication and advanced packaging.
Vinod Babu Bollikonda, Chief Executive Officer of Blue Cloud Softech Solution Ltd, hailed this as a decisive inflection point:
“The launch of India Semiconductor Mission (ISM) 2.0 and the ₹40,000 crore allocation under ECMS mark a decisive inflection point in India’s journey from a semiconductor consumer to a global technology producer. These initiatives signal the government’s clear intent to build deep, strategic capabilities across the semiconductor value chain. At Blue Cloud Softech, this vision strongly reinforces our long-term commitment to building sovereign, high-performance technology platforms from India, for the world. The mission’s expanded focus on semiconductor equipment, advanced materials, and indigenous IP creation aligns directly with our core strategy. Our $150 million investment to develop indigenous Edge-AI System-on-Chip (SoC) platforms for the automotive and defence sectors reflects this commitment in action. By localising the entire technology stack from silicon architecture and chip design to AI middleware and system integration Blue Cloud Softech is not just manufacturing chips; we are enabling strategic self-reliance in critical technologies. This Budget provides the right policy momentum and economic tailwinds to accelerate our domestic fabrication and advanced packaging roadmap, and to help build a globally competitive semiconductor ecosystem anchored in India.”
Women Empowerment: Breaking Barriers for Entrepreneurs
The Budget introduces innovative schemes like She-Mark certification and She MARTS (community-owned retail outlets) to enhance market access, credit availability, and peer networks for women entrepreneurs, addressing systemic challenges in traditional systems.
Ridhima Kansal, Director of Rosemoore, praised the initiatives:
“FM Sitharaman’s She-Mark and She MARTS initiative has created an extraordinary advancement which benefits women entrepreneurs throughout India. The establishment of community-owned retail stores enables us to solve the continuous problem which women entrepreneurs experience when they try to obtain credit while also creating market opportunities. The combination of She-Mark certification and new financial solutions enables women to grow their businesses because it removes the obstacles which traditional banking systems impose. The She MARTS centers serve as incubation spaces which help organizations build peer networks to achieve better negotiation outcomes. The ecosystem approach enables the recognition of women’s economic value while it simultaneously tackles inherent systemic discrimination. The initiative provides base-level women with entrepreneurial opportunities which enable them to become successful business leaders who will help develop their local economies. The plan creates inclusive economic progress which delivers advantages to families and communities while it simultaneously increases India’s gross domestic product.”
Content Creation and Gaming: Fueling the Orange Economy
To nurture India’s booming Animation, Visual Effects, Gaming, and Comics (AVGC) sector projected to need 2 million professionals by 2030—the Budget proposes AVGC Content Creator Labs in 1500 secondary schools and 500 colleges, fostering skill development and seamless industry transitions.
Sarthak Sharma, Founder of ModxComputers and Tech Content Creator, described it as transformative:
“The proposal by FM Sitharaman to create ABGC (Animation Visual Effects Gaming and Comics) content creator labs at 1500 secondary schools and 500 colleges will bring about transformative change. The solution will address the creative economy deficit that India currently faces while establishing our country as a leading global content producer. Our educational system will establish a specialized skill development program which will create a talent pipeline for all digital creative positions in India which exceeds 2000 crore in market value. The initiative helps students acquire industry-required skills through academic education which prepares them for their future careers. The ecosystem approach which combines university townships with industrial corridors enables students to transition smoothly into the workforce while fostering creative industry innovation through new business development and content production.”
Customs and Export Reforms: Enhancing Global Competitiveness
Customs modernization includes extended duty deferral for Authorized Economic Operators (AEOs) up to 30 days, five-year advance rulings, AI-driven non-intrusive scanning, single digital window systems, electronic sealing, risk-based audits, and removal of the ₹10 lakh courier export limit. The rollout of the Customs Integrated System (CIS) aims for seamless, automatic clearances.
Raghunandan Saraf, Founder & CEO of Saraf Furniture, noted the operational gains:
“The customs reforms of Budget 2026-27 create major changes which enhance India’s ability to compete in international trade. The AEOs can now access extended duty deferral which lasts for 30 days and they receive five-year advance rulings and warehouse operator-centric systems which create major operational improvements. The AI system uses non-intrusive scanning to enable cargo movement through its single digital window which operates until the end of the year and its automatic clearance system for compliant goods. The trust-based reforms establish India’s position as a global leader in trade which enables exporters and small-to-medium enterprises and e-commerce entrepreneurs to access international markets without difficulty.”
Ridhima Kansal added:
“The customs modernization agenda of FM includes electronic sealing and risk-based audits and CIS implementation which completely transforms India’s trade system. The removal of the ₹10 lakh courier export limit enables worldwide expansion for both startups and artisans. The government plans to establish integrated digital approvals which will function without any administrative interruptions by April 2026. The AI-driven container scanning system along with its automatic clearance function for compliant imports helps to speed up supply chain operations. The reforms provide India with a competitive advantage which helps the country achieve its Viksit Bharat objectives while decreasing transaction expenses for exporters and importers and logistics companies throughout the country.”
Overall, the Budget’s focus on Yuva Shakti-driven growth, strategic manufacturing, inclusive empowerment, and efficient trade positions India for resilient, high-growth trajectory amid global uncertainties. Industry voices reflect optimism that these measures will translate into tangible self-reliance and global competitiveness.
Last Updated on Tuesday, February 3, 2026 4:12 pm by Startup Newswire Team
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