Union Budget 2026 Boosts Infrastructure, Cloud Policy, and Sports Development, While Alco-Beverage Industry Awaits Tax Reforms

Prasann Kedia, Managing Director, Associated Alcohols & Breweries Ltd

“The Union Budget 2026 maintains a broader focus on economic stability, infrastructure development and domestic manufacturing, which supports long-term planning for consumer industries. A predictable policy environment is important for manufacturers as they invest in capacity and strengthen supply chains.

That said, sector-specific expectations around taxation rationalisation and regulatory clarity for the alco-beverage industry were not addressed in this Budget. These remain key areas where the industry looks forward to further policy engagement to support competitiveness, premiumisation and ease of doing business.”

Mr. Vikram M. Raichura, Founder and MD at Helo AI

“We welcome the Government’s proposal to offer a tax holiday till 2047 for foreign cloud service providers operating from India through local data centres. This sends a strong signal of long-term policy stability, which is critical for cloud and data centre investments that require large, long-term commitments. 

By encouraging global cloud companies to build and operate from India for their international operations, the policy helps position India as a base for global cloud infrastructure rather than only a consumption market. The requirement for foreign players to serve Indian customers through local reseller entities can also create opportunities for Indian partners, support job creation, and strengthen the supporting ecosystem.

For AI, SaaS and deeptech companies, the actual impact will depend on how clearly the policy is implemented and whether it translates into lower infrastructure costs and fewer operational hurdles. With effective execution, this measure can help attract long-term investment and reinforce India’s role in the global cloud and digital services landscape.”

Aditya Reddy, Co-Founder and CEO, Gamepoint 

“In today’s Union Budget, the announcement of the Khelo India Mission signals a welcome shift towards a more long-term and structured approach to sports development in India. It is also encouraging to see the sports sector being recognised as a meaningful generator of employment, supporting not just athletes but coaches, support staff, administrators, sports science professionals and allied industries across the ecosystem.

The focus on athlete progression, coaching depth, sports science, competitions and infrastructure reflects an understanding that sporting excellence is built through continuity, not isolated efforts. As this Mission moves from intent to implementation, the finer details of its structure, funding mechanisms and timelines will be critical to study in order to assess its true impact on the sector.

The Budget’s parallel emphasis on sports infrastructure and domestic sports goods manufacturing is encouraging, especially as India prepares for global events like the 100th Commonwealth Games. Strong collaboration between government, private academies, leagues and sports-technology players will be key to translating this vision into a stronger, more reliable sporting pipeline for the country.”

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