India may rationalise most customs tariffs by FY28 Budget, Sitharaman says

Finance Minister Nirmala Sitharaman said India could rationalise most customs tariffs by the FY2027-28 Budget, with cuts continuing for all but a limited set of items. The move could reshape import costs, sourcing decisions and consumer pricing for retailers and brands.

— Filed Thu, 6 Aug, 2026, 21:26 IST · Source BL · Consumer & Economy · Updated

Finance Minister Nirmala Sitharaman said India may rationalise most customs tariffs by the FY2027-28 Budget, with further reductions continuing for all but a few items. The policy could affect import costs and pricing for Indian retailers and consumer brands.

Why this matters

The tariff plan builds on India’s target for single-digit tariffs on most items by FY28, while contrasting with its refusal of US ethanol-import concessions and its extension of electronics supply-chain incentives to 2041.

Retail-company signals are accelerating, up 94,969% quarter over quarter.

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