ICC Jammu Welcomes Reform-Oriented Union Budget 2026–27; Calls for Region-Specific Industry Support
Jammu, 01-02-2026: The Indian Chamber of Commerce (ICC), Jammu Chapter, has welcomed the Union Budget 2026–27 for its strong emphasis on sustained economic growth, fiscal discipline, and structural reforms, while urging the Government to introduce region-specific measures to address challenges faced by industries in Jammu & Kashmir.
Speaking on the Budget, Mr. Rahul Sahai, Chairman, ICC Jammu, said that the Budget reflects the government’s approach of “Action over Ambivalence and Reform over Rhetoric”, and lays a solid foundation for long-term economic resilience under the Viksit Bharat vision.
Mr. Sahai highlighted three key positives from an industry perspective. He said the continued thrust on public capital expenditure and infrastructure, including freight corridors, national waterways, urban economic regions, and focus on Tier-II and Tier-III cities, will significantly improve logistics efficiency and regional connectivity—critical for integrating Jammu & Kashmir with national markets.
He also welcomed the three-pronged MSME growth strategy, including the ₹10,000 crore SME Growth Fund, mandatory use of the TReDS platform by CPSEs, credit guarantee support for invoice discounting, and professional support through ‘Corporate Mitras’. “These measures can meaningfully improve liquidity, compliance support, and ease of doing business for MSMEs,” he said.
Further, Mr. Sahai appreciated the Budget’s focus on domestic manufacturing and strategic sectors, including revival of legacy industrial clusters, electronics, textiles, chemicals, and advanced manufacturing, calling it a strong step towards strengthening India’s industrial ecosystem.
However, the ICC Jammu Chairman also pointed out certain gaps that need attention. He noted that while new manufacturing has been incentivised, the Budget falls short in addressing cost pressures faced by existing industries, particularly in geographically challenging regions like Jammu & Kashmir, where logistics and power costs remain high.
He added that the absence of region-specific credit support or interest subvention mechanisms for hill and aspirational states limits the Budget’s impact on local enterprises. Mr. Sahai also observed that despite national emphasis on tourism and services, customised policy instruments for border and post-conflict economies like J&K are still lacking.
“In conclusion, this is a structurally strong and reform-driven Budget. Its real success in regions like Jammu & Kashmir will depend on targeted implementation and state-specific interventions,” Mr. Sahai said, adding that ICC Jammu remains committed to working with the Government to translate national policy intent into regional economic outcomes.
