Union Budget 2026 Pushes Logistics-Led Growth, Strengthens Eastern India Hinterlands: ASSOCHAM

By Admin

03 Feb, 2026

Introduction
The Union Budget 2026 marks a strategic shift in India’s economic roadmap by placing logistics-led growth at the centre of trade and industrial expansion. According to the latest report by ASSOCHAM, the Budget introduces reforms that strengthen customs efficiency, digital trade facilitation, and hinterland connectivity, with Eastern India and West Bengal emerging as major beneficiaries.

Policy Shift Towards Logistics-Led Growth
The ASSOCHAM report underlines a decisive move towards trust-based and technology-driven trade administration. Faster customs clearance, simplified compliance, and seamless cargo movement are expected to reduce transaction costs and enhance India’s global trade competitiveness. This policy direction recognises logistics as a key growth enabler rather than a supporting function.

Customs Reforms Empower Hinterland Infrastructure
A major highlight of the Budget is the expansion of Authorised Economic Operator (AEO) benefits, supported by CBIC Circular 06/26. Measures such as permission-free inter-warehouse cargo movement and expedited customs processes are set to empower Inland Container Depots (ICDs) and Container Freight Stations (CFSs) across Eastern India. These reforms are expected to unlock the true potential of hinterland logistics hubs.

Digital Trade Facilitation and Port Decongestion
The introduction of a single digital window, AI-enabled non-intrusive scanning, and factory-to-port clearance represents a significant leap in trade digitisation. ASSOCHAM notes that these initiatives will ease congestion at Kolkata and Haldia ports by enabling ICD-led exports from industrial centres like Durgapur, Dankuni, and nearby regions. This shift allows cargo to be cleared closer to production zones, improving turnaround time and supply chain efficiency.

Boost to Bonded Logistics and Manufacturing Clusters
The Budget’s emphasis on bonded logistics and manufacturing support aligns closely with West Bengal’s industrial clusters and export-oriented sectors. By integrating logistics infrastructure with manufacturing ecosystems, the state is well-positioned to strengthen its role in India’s trade and export landscape.

From Policy Intent to Execution
ASSOCHAM highlights that the overarching message of Union Budget 2026 is clear: strong maritime gateways require equally strong hinterlands. While the policy framework is progressive and encouraging, the real impact will depend on effective on-ground implementation at ICDs and logistics nodes. Industry stakeholders believe that execution, rather than intent, will be the true game-changer for Eastern India’s logistics and trade growth.

Conclusion
Union Budget 2026 sets the foundation for a more connected, efficient, and hinterland-driven trade ecosystem. If implemented effectively, the logistics-focused reforms can transform Eastern India into a vital growth engine, reinforcing India’s ambition to become a globally competitive trading nation.