Union Budget 2026: What’s cheaper, what’s become pricier

Union finance minister Nirmala Sitharaman, on Sunday, presented India’s Union budget for the 2026–27 financial year, her ninth in a row, unveiling a series of customs duty exemptions aimed at easing costs across key industries.

The measures cover sectors including critical minerals, nuclear energy, batteries, electronics, defence and aviation. Sitharaman said the changes were intended to simplify tax rates, support domestic manufacturing, boost exports and phase out outdated duty exemptions.

The exemptions are expected to reduce prices for a range of products for both consumers and industry. The total government expenditure for 2026–27 is projected at Rs 53,47,315 crore (Rs 53.47 trillion), a rise of 7.7% compared with the revised estimate for 2025–26.

Inspired by three kartavyas, the budget has been framed as a roadmap for a ‘Viksit Bharat’. Changes to basic customs duty and tax collected at source are set to make essential services such as overseas education and cancer treatment more affordable, while increasing the cost of luxury imports and speculative trading. At the same time, duties on tobacco, gutka and liquor have been hiked.

Here is a look at what’s become cheaper and what’s dearer under the new budget:

CHEAPER

• 17 cancer drugs


• Medicines for 7 rare diseases


• Overseas education


• Foreign tour packages


• Imported personal use items


• Parts for microwave ovens


• Parts for aircrafts & engines


• Export of seafood & leather items


• Export of sports equipment


• Solar glass (Sodium antimonate)


• Biogas-blended CNG


• EV battery machinery


• Critical mineral machinery

COSTLIER

• Income tax misreporting


• ATM, cash dispensers and parts


• Imported umbrellas


• Cigarettes, gutkha


• Commercial LPG


• Coffee and vending machines


• Coal, iron ore, minerals


• Imported alcohol


• Components of nuclear projects