Union Budget 2025-26: A catalyst for India’s global trade and logistics transformation

Union Budget 2025-26: A catalyst for India’s global trade and logistics transformation

The Union Budget 2025-26 has set the stage for India’s transformation into a global trade powerhouse, reinforcing the government’s commitment to a Viksit Bharat—a developed and self-reliant India. With a sharp focus on domestic manufacturing, MSME growth, and export facilitation, the budget introduces key measures that will reshape India’s trade landscape.

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Among those welcoming the budget’s vision is R.S. Subramanian, SVP South Asia, DHL Express, who highlights its potential to elevate India’s global competitiveness through strategic investments in logistics, infrastructure, and digital trade facilitation.

A Strong Push for Exports and MSMEs

One of the budget’s standout features is the establishment of the Export Promotion Mission, aimed at strengthening India’s position in international trade. This initiative, combined with the launch of BharatTradeNet, a unified platform for trade documentation and financing, is expected to streamline cross-border transactions, reduce administrative bottlenecks, and improve ease of doing business for exporters.

MSMEs, which contribute nearly 45% to India’s total exports, stand to benefit significantly from these measures. The government’s continued support in integrating domestic manufacturing with global supply chains is a pivotal step towards making ‘Made in India’ a globally recognised brand. With enhanced access to financing solutions and a simplified trade process, small and medium enterprises will find it easier to expand their footprint in international markets.

Strengthening Logistics for a Seamless Trade Environment

Recognising the critical role of logistics in facilitating EXIM (export-import) trade, the budget has prioritised investments in air cargo infrastructure, warehousing, and streamlined customs procedures. Subramanian underscores the significance of these measures, noting that efficient cargo screening and customs protocols will reduce delays and enhance trade efficiency.

A modernised logistics framework will not only accelerate shipment movement but also lower costs for exporters, making Indian goods more competitive in global markets. The government’s focus on multimodal logistics—integrating road, rail, air, and waterways—further solidifies India’s potential as a major trade hub.

Public-Private Collaboration: The Road Ahead

The budget’s provisions mark a strategic shift towards greater collaboration between the government, industry bodies, and businesses to boost India’s export capabilities. As Subramanian highlights, DHL Express and other key logistics players are committed to supporting the government’s vision by enhancing trade facilitation and efficiency.

By fostering a business-friendly environment with advanced digital trade platforms, modernised logistics, and financial backing for MSMEs, the Union Budget 2025-26 sets a strong foundation for India’s global trade ambitions.

With ‘Made in India’ poised to become a dominant force in international markets, this budget signals a bold step towards positioning India as a leading player in global commerce and supply chains.

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Ajinkya Gurav

With a passion for aviation, Ajinkya Gurav graduated from De Montford University with a Master’s degree in Air Transport Management. Over the past decade, he has written insightful analysis and captivating coverage around passenger and cargo operations. Gurav joined Air Cargo Week as its Regional Representative in 2024. Got news or comment to share? Contact ajinkya.gurav@aircargoweek.com

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