Union Budget 2026: Boosting Footwear & Consumer Manufacturing in India

Yashesh Mukhi, Founder of Chupps Footwear, says:
“Budget 2026–27 reinforces a long-term, system-building approach to growth, one that is especially encouraging for consumer manufacturing startups. The combination of fiscal discipline, sustained public capital expenditure, and targeted MSME support creates a far more predictable environment for founders building at scale. Measures such as the ₹10,000 crore SME Growth Fund, stronger liquidity via TReDS, and credit guarantees for invoice discounting directly address long-standing cash-flow and working-capital challenges for growing D2C brands.

For sectors like footwear, apparel, and leather, the expansion of duty-free input limits and longer export timelines materially improve competitiveness while supporting domestic value creation. The dedicated focus on high-quality sports goods manufacturing also signals a shift towards design- and performance-led product categories, including footwear and sportswear where India can build global relevance.

By supporting both production and demand, the Budget creates a more stable growth environment for consumer-facing brands like ours. As India progresses towards its Viksit Bharat vision, this Budget gives founders the confidence to invest for the long term: in better materials, stronger supply chains, and globally credible Indian brands.”

 The budget’s focus on manufacturing, infrastructure, and supporting consumer-facing brands is set to strengthen India’s footwear sector, helping homegrown companies scale domestically and globally.