Business
Low costs, tech focused & more: How can Indian exports stay competitive? Explained – The Times of India
The global economy is slowing down and trade dynamics are undergoing a change.At a time like this, India needs to evaluate its export strategies, with focus on long-term competitiveness through technology, cost efficiency, and domestic production, Ajay Srivastava, founder of the Global Trade Research Initiative (GTRI) explainedSpeaking to ANI, Srivastava said, “The focus should be on lowering production costs, simplifying regulations, and accelerating ease of doing business especially in logistics, compliance, and taxation.” He also highlighted the need for a dual approach, which combines foreign technology partnerships with investment in reverse engineering and product localisation.Referring to the electronics, machinery and digital technology sector, the GTRI chief said, “What India consumes, it must also be able to make and export.” Meanwhile, on the international trade front, negotiations with the US are advancing well, even though no official announcement has been made.India is also quietly reviewing sectoral risks and preparing to mitigate potential disruptions by diversifying trade away from the US and boosting domestic capabilities.Regarding Europe, Srivastava confirmed that the India-UK free trade agreement has been signed and is pending ratification in the British Parliament. “(The EU deal) is in an advanced stage of negotiation, with most chapters close to closure,” he said, adding that both agreements are expected to open new markets, strengthen investor confidence, and integrate supply chains with Europe.Global financial trends are another key factor for India. “When the Fed raises rates, money tends to flow back to the US, putting pressure on the rupee, widening the current account deficit, and tightening liquidity,” Srivastava warned. He stressed that careful macroeconomic management and strong domestic growth drivers will be critical to managing currency volatility while sustaining exports.On the question of India staying out of trade blocs like RCEP and CPTPP, Srivastava said the country is not at a disadvantage. “Nearly 80% of global trade still takes place at non-preferential tariff rates. Rather than rushing to join every bloc, India should focus on improving export competitiveness, logistics efficiency, and ease of doing business.”“India, rather than waiting for global stability, should use this ‘no-rules’ phase to rebuild the foundations of competitiveness across industry, agriculture, and services,” he said. Investments in green and digital technologies, large-scale manufacturing, and secure supply chains are key, he added.On addressing the trade deficit with China, he said India needs “large-scale reverse engineering, technology adaptation, and supply chain localisation” in sectors like electronics, machinery, and chemicals. “Over time, such capability-building will not only narrow the trade gap but also make India a credible global supplier,” he said.He concluded by urging coordinated action from both government and industry. “The government must provide a stable trade policy, faster clearances, and targeted incentives,” he said. “The private sector, in turn, should invest in R&D, design, branding, and technology partnerships to create globally competitive products.”“In a slower, more fragmented global economy, the winners will be those who build resilience at home while shaping trade on their own terms,” Srivastava said.
India’s budget focuses on infrastructure and defence spending and tax breaks for data-centre investments.
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Business
New Income Tax Act 2025 to come into effect from April 1, key reliefs announced in Budget 2026
New Delhi: Finance Minister Nirmala Sitharaman on Sunday said that the Income Tax Act 2025 will come into effect from April 1, 2026, and the I-T forms have been redesigned such that ordinary citizens can comply without difficulty for ease of living.
The new measures include exemption on insurance interest awards, nil deduction certificates for small taxpayers, and extension of the ITR filing deadline for non-audit cases to August 31.
Individuals with ITR 1 and ITR 2 will continue to file I-T returns till July 31.
“In July 2024, I announced a comprehensive review of the Income Tax Act 1961. This was completed in record time, and the Income Tax Act 2025 will come into effect from April 1, 2026. The forms have been redesigned such that ordinary citizens can comply without difficulty, for) ease of living,” she said while presenting the Budget 2026-27
In a move that directly eases cash-flow pressure on individuals making overseas payments, the Union Budget announced lower tax collection at source across key categories.
“I propose to reduce the TCS rate on the sale of overseas tour programme packages from the current 5 per cent and 20 per cent to 2 per cent without any stipulation of amount. I propose to reduce the TCS rate for pursuing education and for medical purposes from 5 per cent to 2 per cent,” said Sitharaman.
She clarified withholding on services, adding that “supply of manpower services is proposed to be specifically brought within the ambit of payment contractors for the purpose of TDS to avoid ambiguity”.
“Thus, TDS on these services will be at the rate of either 1 per cent or 2 per cent only,” she mentioned during her Budget speech.
The Budget also proposes a tax holiday for foreign cloud companies using data centres in India till 2047.
Business
Budget 2026 Live Updates: TCS On Overseas Tour Packages Slashed To 2%; TDS On Education LRS Eased
Union Budget 2026 Live Updates: Union Budget 2026 Live Updates: Finance Minister Nirmala Sitharaman is presenting the Union Budget 2026-27 in Parliament, her record ninth budget speech. During her Budget Speech, the FM will detail budgetary allocations and revenue projections for the upcoming financial year 2026-27. Sitharaman is notably dressed in a Kanjeevaram Silk saree, a nod to the traditional weaving sector in poll-bound Tamil Nadu.
The budget comes at a time when there is geopolitical turmoil, economic volatility and trade war. Different sectors are looking to get some support with new measures and relaxations ahead of the budget, especially export-oriented industries, which have borne the brunt of the higher US tariffs being imposed last year by the Trump administration.
On January 29, 2026, Sitharaman tabled the Economic Survey 2025-26, a comprehensive snapshot of the country’s macro-economic situation, in Parliament, setting the stage for the budget and showing the government’s roadmap. The survey projected that India’s economy is expected to grow 6.8%-7.2% in FY27, underscoring resilience even as global economic uncertainty persists.
Budget 2026 Expectations
Expectations across key sectors are taking shape as stakeholders look to the Budget for support that sustains growth, strengthens jobs and eases financial pressures:
Taxpayers & Households: Many taxpayers want practical improvements to the income tax structure that preserve simplicity while supporting long-term financial planning — including broader deductions for home loan interest and diversified retirement savings options.
New Tax Regime vs Old Tax Regime | New Income Tax Rules | Income Tax 2026
Businesses & Industry: With industrial output and investment showing resilience, firms are looking for policies that bolster capital formation, ease compliance, and expand infrastructure spending — especially in manufacturing and technology-driven sectors that promise jobs and exports.
Startups & Innovation: The startup ecosystem expects incentives around employee stock options and capital access, along with regulatory tweaks that encourage risk capital and talent retention without increasing compliance burdens.
Also See: Stock Market Updates Today
The Budget speech will be broadcast live here and on all other news channels. You can also catch all the updates about Budget 2026 on News18.com. News18 will provide detailed live blog updates on the Budget speech, and political, industry, and market reactions.
We are providing a full, detailed coverage of the union budget 2026 here, with a lot of insights, experts’ views and analyses. Stay tuned with us to get latest updates.
Also Read: Budget 2026 Live Streaming
Here are the Live Updates of Union Budget 2026:
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