Union Budget 2025: What’s Cheaper, What’s Costlier? Full List Here

Finance Minister Nirmala Sitharaman presented the Union Budget 2025-26, focusing on economic growth, industrial support, and middle-class empowerment. A major highlight of the budget is the revision of customs duties and import tariffs, impacting the prices of essential goods. While some products will become more affordable, others will see a price hike due to increased taxation.

Let’s explore the complete list of what’s getting cheaper and what’s getting costlier.

What’s Becoming Cheaper?

Several essential goods and industries have received duty cuts to support local manufacturing and boost economic growth. Here are the items that will now cost less:

Mobile Phones and Electronics

• Mobile phone batteries: 28 additional goods used in battery production now enjoy duty exemptions.
• LED/LCD TVs: Duty cuts on open cells and essential components make production cheaper.
• Carrier-grade ethernet switches: Lower import duties to support digital infrastructure.

Healthcare and Medicines

• Life-saving drugs: 36 critical medicines, including those for cancer, will be fully exempt from Basic Customs Duty (BCD).
• Medical equipment: Various essential medical tools receive duty exemptions.

Electric Vehicles and Batteries

• EV batteries: Reduced import duties on lithium-ion battery scrap and other components will lower EV costs.
• Cobalt and zinc products: Raw materials essential for battery manufacturing will be cheaper.

Agriculture and Marine Products

• Seafood imports: Frozen fish paste and fish hydrolysate will have lower duties to boost exports.
• Critical minerals: Exemptions on 12 key minerals will benefit the manufacturing sector.

Leather and Textile Industry

• Wet blue leather: Reduced import duties benefit tanners and exporters.
• Shipbuilding raw materials: Exemptions extended for 10 years to support the shipbuilding industry.

What’s Becoming Costlier?

Certain products will see a price hike due to increased customs duties, impacting both consumers and businesses.

Electronics and Displays

• Flat Panel Displays (IFPDs): Custom duty increased from 10% to 20%, making large interactive screens more expensive.

Textile and Apparel

• Knitted fabrics: Increased customs duties may lead to higher prices for clothing and textiles.

The Budget’s Impact on Growth

The Economic Survey 2024-25 projects India’s GDP to grow between 6.3% and 6.8% in FY26. The budget aims to support this growth by:

• Strengthening industrial and manufacturing sectors through tax reliefs.
• Enhancing disposable income for the middle class by reducing duties on essential goods.
• Encouraging long-term investments in R&D and MSMEs.

Meanwhile, inflation is expected to ease due to improved food supply and a good Rabi harvest. However, risks remain due to uncertain weather conditions and global agricultural price trends.

Conclusion

The Union Budget 2025-26 brings a mixed bag of price changes, benefiting key industries while imposing higher costs on select products. If you are planning to buy mobile accessories, medicines, or EVs, you may find better deals ahead. However, if you are looking for large-screen displays or textiles, be prepared for a price increase.

With a strategic focus on economic growth, industrial expansion, and consumer welfare, this budget aims to create a balanced approach that supports both businesses and individuals.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.