Union Budget 2026 signals a shift toward execution-led logistics efficiency, with digital tools, AI and green supply chains seen as key to lowering costs and boosting competitiveness.
Union Budget 2026 has reinforced the government’s focus on logistics as a lever for economic competitiveness, with measures aimed at improving execution, digital visibility and sustainability, an industry executive said.
Zaiba Sarang, co-founder of logistics firm iThink Logistics, said the budget signalled a shift from building infrastructure to improving efficiency on the ground, citing continued emphasis on the PM Gati Shakti programme, multimodal logistics parks and dedicated freight corridors.
Artificial intelligence to improve supply chains transparency
She said the focus on digital acceleration and the use of artificial intelligence (AI) in supply chains could help improve transparency and cost efficiency, particularly for exporters dealing with global demand uncertainty and tariff pressures.
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“The emphasis on digital acceleration and AI-driven supply chain visibility is particularly encouraging,” Sarang said, adding that better data and coordination could support smarter freight movement and planning.
The budget also reiterated policy support for green logistics, including electric vehicle adoption and lower-emission supply chains, an area Sarang said would be important in reducing logistics costs over time.
She said consistent policy backing and timely execution would be critical in translating the budget announcements into measurable gains, adding that the logistics industry was prepared to work with the government to support the broader goal of positioning India as a competitive global supply chain hub.
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