Prime Minister Narendra Modi has set the stage for transformative growth in West Bengal as Union Finance Minister Nirmala Sitharaman unveiled the 2026 Union Budget. Aimed at enhancing infrastructure and trade, the budget proposes several initiatives that promise to catalyze the state's industrial landscape amid upcoming elections. Among these initiatives is a significant increase in the duty-free import limit for inputs used in seafood processing, rising from 1% to 3% of the FOB value of the previous year’s export turnover.
The seafood and leather industries, crucial sectors for West Bengal, are expected to gain from these changes. Exporters will now have up to one year to export their final products, a notable extension from the previous six-month timeframe. Arjun Kulkarni, past president of the Indian Leather Products Association (ILPA), emphasized that this move could enhance margins by 2-3% for high leather exports, which rely heavily on imports.
- Dedicated freight corridor development — A new corridor from Dankuni to Surat aims to reduce logistics costs.
- Integrated East Coast Industrial Corridor — This initiative will bolster industrial capabilities with a focus on Durgapur.
- Tourism and urban mobility initiatives — Plans include developing five tourism destinations and introducing 4,000 electric buses.
Moreover, the tea industry welcomed the extension of the Pradhan Mantri Cha Shramik Protsahan Yojana (PMCSPY) for another year, reinforcing support for tea workers, particularly women and children. This initiative aligns with social security measures for plantation workers in Assam, indicating a comprehensive approach towards labor welfare.
Vinod Kumar Gupta, MD of Kolkata-based Dollar Industries Ltd, remarked that the introduction of the ₹10,000 crore MSME Growth Fund and the National Fibre Scheme are robust steps toward bolstering manufacturing. The fibre scheme is expected to enhance the availability of natural and man-made fibres, thus supporting sustainable growth and employment generation in the labor-intensive hosiery sector.
