On 01 February 2026,CHEMEXCIL released a circular outlining the Union Budget 2026–27 highlights for the chemicals and exports sector, presented by the Hon’ble Finance Minister. The Budget emphasises youth-led growth, competitiveness, and inclusive development, with priorities spanning advanced manufacturing expansion, revival of legacy industries, MSME scaling, infrastructure push, long-term economic security, and development of city-centric economic regions.
1) Announcement:
A. Biopharma Shakti with ₹10,000 crore to position India as a global biopharma hub;
B. Establishment of three chemical parks under a plug-and-play model;
C. ₹10,000 crore scheme for container manufacturing;
D. High-tech toolrooms and support for capital goods and construction equipment;
E.Rare earth corridor across select states; credit-guarantee mechanism to revive 200 industrial clusters; additional funding for Self-Reliant India Fund and a new SME Growth Fund;
F. Liquidity and compliance support for MSMEs including training of “Corporate Mitras”;
G. ₹20,000 crore CCUS outlay;
H.Seven high-speed rail corridors;
I. Services-Sector Employment Committee;
2) Tax exemption for non-residents supplying capital goods to bonded-zone toll manufacturers.
3) Indirect tax and customs measures (chemicals): exemptions for capital goods used in lithium-ion cells, nuclear projects (extended to 2035), and critical mineral processing; concessional SEZ-to-DTA sales framework. BCD increased on Potassium Hydroxide to 7.5% and reduced to Nil on Sodium Antimonate for solar glass.
4) Trade facilitation: longer duty-deferral for AEOs, 5-year advance rulings, trusted-importer clearance, electronic sealing, warehouse operator-centric system, and a single digital window.
5) Scheme outlays: Duty Drawback ₹185.54 crore; RoDTEP ₹10,000 crore; Export Promotion Mission ₹2,300 crore; Foreign Trade ₹4,473.37 crore.
CHEMEXCIL will hold a post-budget impact webinar with Universal Connections LLP on 04 February 2026.

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CHEMEXCIL; Union Budget 2026–27 Circular; Chemicals and Exports Sector; Solar Glass; Potassium Hydroxide