In the Union Budget 2026-2027 speech, Finance Minister Nirmala Sitharaman made a push for ‘Aatmanirbhar Bharat’, making a series of announcements expected to boost the economy and provide relief to consumers and common taxpayers.
One of the key highlights of the Budget address was the list of items which are set to get cheaper with tax benefits, some of the imported goods are set to get costlier as the government has removed exemptions or increased tariffs.
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The government made cuts in tariffs and customs duty on several products like essential drugs, electric vehicles and leather products, making them cheaper. On the other hand, luxury goods, including watches and alcoholic drinks are set to attract more taxes, making them dearer.
What gets cheaper
In the Union Budget 2026-2027, Nirmala Sitharaman announced that products, including aircraft parts, microwave parts, essential drugs and some imported goods, are set to attract lower custom duty, thereby making them cheaper.
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The reduced tariffs are set to make microwave ovens, EV Batteries, solar panels, and aircraft parts cheaper.
17 drugs, including medicines for diabetic and cancer patients, are also set to get cheaper. Sports equipment, which got a boost in this year’s budget, are also set to be cheaper.
Moreover, smartphones and tablets made in India are also expected to get cheaper. Some imported items meant for personal use are also expected to see falling prices with reduced tariffs.
Sitharaman, in her Budget 2026 speech, also proposed duty-free imports of certain specified inputs for promoting the country’s exports of leather. The move will help provide cushion to leather exporters who are reeling the brunt of 50 per cent US tariffs.
Luxury watches, fertilisers: What gets costlier
Luxury watches and imported alcohol are among the items that are set to be costlier. Sin goods, like cigarettes, ‘beedis’, pan masala, and gutka will also get costlier.
The government has also removed exemptions on coffee roasting, brewing and vending machines, which is likely to make it more expensive.
Some fertilisers are also set to get expensive as the government has removed import fee exemptions on the import of Ammonium phosphate or ammonium nitro-phosphate, which are used in the manufacture of manure and complex fertilisers.
Imported Television equipment, cameras and other equipment for taking films are also set to get expensive. Moreover, photographic, filming, sound recording equipment imported from abroad may also get dearer.