As the Union Budget 2026 approaches, industry leaders across technology, infrastructure, mobility, manufacturing, logistics, and digital finance are urging the government to build on last year’s momentum while sharpening focus on execution, competitiveness, and long-term resilience. With the economy projected to grow at 7.3%, industry leaders believe Budget 2026 presents an opportunity to sustain and potentially accelerate this trajectory.
GCCs, talent, and infrastructure depth
India’s GCC ecosystem continues to expand rapidly, Lalit Ahuja, Founder & CEO, ANSR, notes that “For India to convert its strong GCC momentum into sustainable, long-term global investments, the Union Budget must address predictability, competitiveness, and talent enablement. Key policy priorities should include a clear, nationwide tax incentive framework for GCCs, with extended and standardized benefits for IP creation, R&D, and high-end services delivered out of India similar to regimes in Singapore and Ireland to help reverse the trend of incremental offshoring to low-tax jurisdictions.” He further underscores the need for focused budgetary allocations towards workforce upskilling and reskilling programmes aligned with GCC demand, particularly in AI, software engineering, data sciences, and cloud technologies, to strengthen the talent pipeline for the more than two million professionals employed across India’s GCC ecosystem.
The push beyond metros is also gaining momentum. Aditya B Yamsanwar, Director, Team One Architects, says that “To make non-metro talent truly GCC-ready, Budget 2026 must pivot from intent to execution by enabling urban-scale development. Moreover, integrating GCC objectives with Smart Cities investments in transit, utilities and digital infrastructure can help convert today’s momentum into structurally sustained, infrastructure-backed growth.”
Logistics, connectivity, and execution-led reforms
“Building on the progress made in recent years, the next phase of growth will depend on deeper integration of infrastructure planning across air, road, rail, and multimodal networks, supported by faster adoption of digital platforms that enable seamless coordination across the logistics value chain.” notes, Balfour Manuel, Managing Director, Blue Dart. He adds, “For the express logistics sector, sustained investments in airport infrastructure, cargo handling capacity, and regional air connectivity will be critical to improving turnaround times and supporting high-value, time-sensitive shipments. In parallel, wider adoption of digital enablers such as unified logistics platforms, data-driven visibility, and paperless processes can further enhance predictability, transparency, and ease of doing business for exporters and MSMEs alike.”
Describing Budget 2026 as “a timely opportunity to catalyse the next phase of efficiency-led growth across India’s logistics sector,” Dipanjan Banerjee, Chief Commercial Officer, Blue Dart, says, “With the foundations of PM Gati Shakti firmly in place, the priority now must shift toward seamless physical and digital integration across air, road, rail, and multimodal corridors. Reducing dwell times, simplifying customs, and enabling smoother intermodal transfers can materially lower operating friction and bring logistics costs closer to global benchmarks which is critical for India’s export ambitions.”
Echoing similar priorities, Nikhil Agarwal, President, CJ Darcl Logistics Ltd, points out that, “Faster multimodal integration, particularly greater rail and coastal share supported by efficient first- and last-mile connectivity can significantly lower logistics costs while delivering meaningful reductions in carbon emissions.” He sums it up, saying, “A policy framework that rewards lower emissions, promotes multimodal transport, and strengthens human capital will position logistics as a key enabler of India’s competitive, resilient, and low-carbon growth.”
Clean mobility, batteries, and EV economics
As shared and electric mobility adoption rises, industry leaders are pointing to gaps in incentive structures that affect high-impact segments such as last-mile connectivity and commercial EV adoption.
RK Misra, Co-founder and President–Ecosystem Partnerships, Yulu, observes that “low-speed electric vehicles that power last-mile connectivity and urban deliveries remain outside key incentive frameworks, despite their proven impact.”
At the energy-storage layer, Samrath S Kochar, Founder and CEO, Trontek Electronics Ltd., says, “The upcoming Budget is an opportunity to accelerate momentum in advanced battery manufacturing and energy-storage technologies. Policy measures that promote localisation of critical components, incentivize R&D for next-generation chemistries, and establish a clear framework for battery recycling and second-life deployment will be instrumental in strengthening India’s energy-security roadmap. A stable, long-term policy regime supported by targeted manufacturing incentives under ‘Make in India’ can help position India as a global hub for lithium-ion batteries and sustainable energy solutions.”
Drawing attention to persistent challenges around battery costs and availability, which directly impact vehicle pricing and affordability, Muthu Subramanian, MD, Yuma Energy, says, “Accelerating domestic battery cell manufacturing is critical at this stage. Stronger incentives for local cell production and component supply chains can reduce costs over time while improving energy security. At the same time, rationalising GST on batteries, battery packs, and battery-swapping services would help remove cost inefficiencies, particularly for shared mobility and last-mile delivery segments where margins are tight.”
Kunal Mundra, Founder and CEO, Astranova Mobility, adds, “While electric vehicles are taxed at 5%, batteries continue to attract an 18% rate. This differential complicates pricing and weakens the viability of models such as Battery-as-a-Service and battery swapping, which are critical to lowering upfront costs for commercial users. Aligning GST at 5% across EVs and core components would create clarity, reduce total cost of ownership, and remove a structural friction that is holding back adoption in the very segments where scale matters most.”
Circular economy, recycling, and sustainability as infrastructure
As India advances towards its Net Zero 2070 commitment, sustainability is increasingly being viewed as core economic infrastructure rather than a peripheral policy goal.
Nitin Chitkara, CEO, Meta Materials Circular Markets (MMCM), explains, “True superpower status will not be defined only by financial growth, but also by clean air, clean water, and resource efficiency. Incentivising formal, traceable recycling will not only strengthen domestic supply chains but also position India as an emerging environmental superpower.”
Mr. Sushil Kumar Aggarwal, Chairman and Whole-Time Director of AVRO India Limited; National President of The All-India Plastics Molded Furniture Manufacturers Association (AIPMFMA); Past Chairman, CII Western U.P Zone notes that despite rising waste volumes, formal recycling continues to lag due to high taxation, inconsistent EPR enforcement, limited traceability, and inadequate access to modern recycling technologies. He states that “High GST on plastic waste, scrap, recycling machinery, and inputs continues to make compliant recycling financially uncompetitive. The Union Budget must prioritise zero-rating GST on plastic waste, scrap, and recycling equipment, along with a meaningful reduction in GST on recycled plastic granules, to incentivise their use in long-life and durable products. Without correcting these cost distortions, the transition from virgin to recycled plastics will remain limited,” Aggarwal adds that “EPR cannot work unless it is clear, stable, enforceable, and fully traceable,” stressing the need for stronger guidelines, a dedicated technology upgradation fund, and targeted subsidies for advanced recycling and automation.
Green energy, infrastructure execution, and carbon competitiveness
With the clean energy and infrastructure ecosystem at an inflection point, industry leaders are calling for a shift from intent to execution.
Surbhi Puri, Director, Green Power International Pvt. Ltd., highlights that India has an estimated compressed biogas (CBG) potential of approximately 62 MMT per annum, while installed capacity remains significantly lower due to inefficiencies in biomass aggregation, high capital costs, limited technology adoption, and underdeveloped gas distribution infrastructure. She adds, “The upcoming budget should look at addressing this gap, attributable to multiple constraints, including inefficiencies in biomass aggregation and logistics, high capital and financing costs, limited adoption of mature technologies, and underdeveloped gas distribution infrastructure. Further reduction in customs duty on imported machinery would help lower overall project costs and accelerate the deployment of advanced technologies that support the transition to lower carbon emissions across the sector. In addition, establishing a single-window clearance framework for the installation of gensets, by integrating applicable environmental, electrical, and local authority approvals, would significantly reduce project lead times and compliance burdens for investors.”
From an EPC and infrastructure lens, CA Baratam Satyanarayana, CFO, Bondada Group, says the focus must move “from capacity creation to execution certainty”, calling for strengthened grid infrastructure, accelerated renewable deployment, and clear policy support for battery energy storage systems. He further adds, “On the telecom side, faster rollout of 5G densification and fiberisation will be key to supporting India’s digital economy. A stable policy framework, faster approvals, and improved access to long-term financing will enable EPC companies to scale efficiently, deliver projects on time, and support the country’s twin goals of energy transition and digital connectivity.”
Akshat Seth, MD & CEO, BirlaNu, says “As public investment in infrastructure and urban development continues to expand, Budget 2026 presents an opportunity to strengthen not only asset creation but also the systems that support it. Policy measures that promote resource efficiency, circular manufacturing and lower-carbon material adoption can help align infrastructure growth with sustainability and climate objectives. Support for technology modernisation, domestic manufacturing, skilling and efficient logistics will be essential to improving productivity while maintaining quality standards.” He adds, “Continued emphasis on climate and water concerns, urban infrastructure and regional development will contribute to economic resilience and improved quality of life.”
Beyond domestic execution, carbon intensity is emerging as a trade determinant. Yashodhan Ramteke, CEO, EcoGuard Global, notes that “From 2026 onward, carbon intensity will increasingly function as a trade parameter rather than a sustainability disclosure, particularly with mechanisms like the EU’s Carbon Border Adjustment Mechanism coming into force. For Indian exporters, competitiveness will depend on the ability to provide granular, verified emissions data with clear audit trails that link carbon performance to physical goods. A well-structured domestic carbon pricing and measurement ecosystem can soften CBAM exposure, reduce the risk of double taxation, and help Indian industry compete in carbon-constrained markets. Policymakers should focus on alignment.” He stresses that India’s carbon market architecture must meet global standards so that decarbonisation becomes a trade advantage rather than a trade barrier.
