Short answer: the Government removed some long-standing exemptions on goods already made in India, wrote the effective duty rates from many notifications into the tariff schedule itself, and gave relief to exporters and some industries. The proposals were presented in Parliament on 1 February 2026.

From the Government's Budget document:

The concessional rates on alpha pinene, artificial plasma and ammonium phosphate were also withdrawn, so the normal tariff rate applies. This list is not complete. Many other items changed, so please check yours.

These conditional exemptions lapsed, and the new rate applied from 1 April 2026:

Many goods that used to enjoy an exemption or concession by notification were moved into the First Schedule of the Customs Tariff. The Government's document says the effective duty does not change for those items. The tariff also gained new lines, for example:

• Frozen krill (0306 19 10) at 15%, and Artemia, pecan nuts, cranberries and blueberries with their own lines.
• Nineteen new items under 1302 19, and thirty-six new items in Chapter 29.
• A new line 3923 29 90 for biodegradable plastic articles.
• Twenty-eight new items for pipes and tubes in headings 7305 and 7306.

What this means for you: an HS code that was right last year may now have a more specific line. Check the full eight-digit code before you file a Bill of Entry or Shipping Bill.

• Seafood: the duty-free import limit for specified processing inputs rises from 1% to 3% of the previous year's FOB export value.
• Footwear: duty-free import of specified inputs, already allowed for leather or synthetic footwear exports, now also covers shoe uppers.
• Leather and textile garments: the export period for the final product is extended from 6 months to 1 year, for leather or textile garments, leather or synthetic footwear, and other leather products.

• Batteries: the exemption for capital goods used to make lithium-ion cells now extends to cells for battery energy storage systems.
• Nuclear power: the exemption for nuclear power projects is extended to 2035 and covers all plants, whatever their capacity.
• Critical minerals: exemption on capital goods needed for processing critical minerals in India.
• Aircraft: exemption on components and parts for civil and training aircraft, and on raw materials for defence-sector maintenance, repair and overhaul units.
• Microwave ovens: exemption on specified parts.
• SEZ units: a one-time measure lets eligible manufacturing units sell into India at concessional duty, up to a set share of their exports.

The dates above are from the Government's Budget documents on indiabudget.gov.in and the Ministry of Finance press release. Customs notifications can be amended later. Confirm the rate for your item on the day you file.

Three things: the HS code (new lines from 1 May 2026), the duty rate (changes from 2 February and 1 April 2026), and any concession you rely on. Our HS Code Finder uses the tariff edition of 1 May 2023, so please use it for orientation and confirm the current eight-digit line with us.