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Pre Budget News

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(21 Jan 2026, 14:39)

Comprehensive customs duty rationalization remains key priority, says SEA of India


Solvent Extractor’s Association or SEA of India has stated in a latest update that as the Union Budget 2026–27 approaches, policy signals indicate that comprehensive customs duty rationalization and deeper customs reforms will be key priorities. The finance minister has highlighted a complete overhaul of tariff structures to correct inverted duty anomalies, encourage domestic value creation, and improve trade efficiency—especially as over 80% of India’s trade is expected to move under preferential FTA duties in the coming years. Expectations also remain high for simpler, digitized customs procedures, including faceless processing, AI-driven risk assessment, and seamless port integration to support manufacturing-linked supply chains.

It noted further that budget will likely offer enhance focus on agriculture as the “first engine of growth” after a Rs 1.22 lakh crore allocation in the previous Budget. Agri sector anticipates higher, targeted investments in technology-led and climate-resilient farming. This includes rollout of enhanced Kisan Credit Card limits, missions on high-yielding seeds and cotton productivity, AGRISTACK digital infrastructure, and greater support for irrigation, R&D, and allied value chains. The Government is also considering over Rs 1 lakh crore additional allocation spread over five years to expand the Agriculture Infrastructure Fund, strengthening warehouses, cold chains, processing units, and logistics. Together, these measures aim to modernize value chains, reduce post-harvest losses, improve market access and prices etc.


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