Union Budget 2026-27 (DCA 01&02 February 2026)

Daily Current Affairs Quiz
01 & 02 February, 2026

1. Union Budget 2026–27

Context:

The Union Budget 2026–27, presented by Nirmala Sitharaman, announced a decisive push to scale up manufacturing in seven strategic and frontier sectors under the First Kartavya—accelerating and sustaining economic growth.
This marks a shift from assembly-led growth to deep manufacturing, emphasising technology depth, supply-chain resilience, and global competitiveness.

What is the Manufacturing Strategy in Budget 2026–27?

The Budget outlines a comprehensive industrial strategy to strengthen India’s manufacturing ecosystem across seven high-impact sectors, chosen for their role in:

• National and economic security
• Export competitiveness
• Employment generation
• Technological self-reliance

The seven sectors are:

1. Biopharma
2. Semiconductors
3. Electronics Components
4. Rare Earths
5. Chemicals
6. Capital Goods & Containers
7. Textiles and Sports Goods

Sector-Wise Budget Announcements and Analysis

1. Biopharma – Biopharma SHAKTI

Budget Provision

• Biopharma SHAKTI with an outlay of ₹10,000 crore over 5 years
• Objective: Position India as a global hub for biologics and biosimilars
• Key components:
  • 3 new and 7 upgraded NIPERs
  • Network of 1,000+ accredited clinical trial sites
  • Strengthening of Central Drugs Standard Control Organisation (CDSCO) with a dedicated scientific review cadre

2. Semiconductors – India Semiconductor Mission (ISM) 2.0

Budget Provision

• Launch of ISM 2.0
• Focus areas:
  • Semiconductor equipment and materials
  • Full-stack Indian intellectual property (IP)
  • Resilient and diversified supply chains

3. Electronics Components Manufacturing

Budget Provision

• Outlay increased from ₹22,919 crore to ₹40,000 crore
• Focus on:
  • Passive and active components
  • Sub-assemblies
  • Domestic value addition

4. Rare Earth Corridors

Budget Provision

• Development of Rare Earth Corridors in:
  • Odisha
  • Kerala
  • Andhra Pradesh
  • Tamil Nadu
• Covers:
  • Mining
  • Processing
  • R&D
  • Advanced manufacturing

5. Chemicals – Plug-and-Play Chemical Parks

Budget Provision

• 3 chemical parks through a challenge-based cluster model
• Features:
  • Plug-and-play infrastructure
  • Common effluent treatment
  • Shared logistics and utilities

6. Capital Goods & Containers

Budget Provision

• Hi-Tech Tool Rooms for precision manufacturing
• Capital Goods (CIE) Manufacturing Scheme
• ₹10,000 crore Container Manufacturing Scheme

7. Textiles & Sports Goods

Budget Provision

• Integrated Textile Programme with five components:
  1. National Fibre Scheme
  2. Textile Expansion & Employment Scheme
  3. National Handloom & Handicraft Programme
  4. Tex-Eco Initiative (sustainable textiles)
  5. Samarth 2.0 (skilling)
• Expansion of Mega Textile Parks
• Mahatma Gandhi Gram Swaraj Initiative
• Dedicated push for sports goods manufacturing and R&D

2. Union Budget 2026–27: Big Push to Livestock and Fisheries Growth

Source: Press Information Bureau

Context:

The Union Budget 2026–27 accords a major policy and fiscal push to livestock and fisheries, with allocations rising by 26.7%, recognising these allied sectors as the primary drivers of agricultural growth.
While crop agriculture grew at ~3.5%, livestock and fisheries expanded at ~7.1%, contributing nearly 16% of total farm income and sustaining overall agricultural growth of 4.6% in FY 2025–26.

What Is the Budgetary Shift?

• Allocation to the Ministry of Fisheries, Animal Husbandry and Dairying increased to ₹8,915.26 crore (FY 2026–27).
• Signals a structural transition in Indian agriculture:
  • From crop-centric support
  • To diversified, income-resilient, market-linked allied activities

This approach aligns with:

• Declining farm sizes
• Climate risks to crops
• Rising protein demand
• Export opportunities in animal-based products

I. Livestock Sector: From Subsistence to Professional Value Chains

The Budget emphasises “Saturation + Professionalisation” to improve animal health, productivity, and farmer incomes.

1. Veterinary Workforce Expansion

• Target: Addition of 20,000+ veterinary professionals
• Addresses India’s chronic shortage of vets, para-vets, and diagnostic capacity

Loan-Linked Capital Subsidy (New)

• Incentivises private sector participation in:
  • Veterinary colleges
  • Animal hospitals
  • Diagnostic laboratories
  • Breeding and AI centres

2. Rashtriya Gokul Mission (RGM)

• Allocation enhanced to ₹800 crore
• Focus on:
  • Genetic improvement of indigenous cattle breeds
  • Scientific breeding and conservation

3. Entrepreneurship & Livestock FPOs

• Integrated Scheme for Entrepreneurship Development
  • Outlay: ₹500 crore
  • Credit-linked subsidies for:
    • Livestock startups
    • Livestock-based Farmer Producer Organisations (FPOs)

4. Tax Relief for Cooperatives

• Tax deductions extended for:
  • Supply of cattle feed
  • Inter-cooperative dividends

II. Fisheries Sector: Blue Economy and Export Orientation

The fisheries sector receives its highest-ever allocation of ₹2,761.80 crore, positioning it as a key pillar of the Blue Economy.

1. Inland & Coastal Fisheries Infrastructure

Reservoir and Amrit Sarovar Development

• Integrated development of 500 reservoirs and Amrit Sarovars
• Objective: Boost inland fish production

2. Empowerment through FPOs & Startups

• Strengthening coastal value chains
• Special focus on:
  • Women-led groups
  • 200+ fisheries startups

III. Radical Export Reforms: Making Indian Seafood Globally Competitive

To counter global trade headwinds and enhance export competitiveness, the Budget introduces transformational tax and logistics reforms.

Key Export Reforms and Their Impact

Reform	Impact
Duty-Free Input Imports	Limit raised from 1% → 3% of export turnover for seafood processing
EEZ Catch Exemption	Fish caught in Exclusive Economic Zone (EEZ) or high seas made duty-free
Foreign Port Landings	Fish landed at foreign ports treated as exports, easing deep-sea operations
Courier Export Cap Removed	Removal of ₹10 lakh cap, enabling fisheries startups to access global e-commerce

3. Union Budget 2026–27: Buddhist Circuit Development in the Northeast

Source: TH

Context:

In the Union Budget 2026–27, Nirmala Sitharaman announced a new scheme to develop a Buddhist Circuit in the Northeast, aimed at preserving Buddhist heritage while leveraging tourism as a tool for regional development, livelihood creation, and cultural diplomacy.

What is the Buddhist Circuit (Northeast)?

The Buddhist Circuit (Northeast) is a heritage–tourism initiative that seeks to:

• Conserve and restore ancient Buddhist monasteries and temples
• Improve connectivity and tourist infrastructure
• Promote pilgrimage tourism linked to Mahayana, Vajrayana, and Theravada traditions
• Integrate culture with livelihoods, especially in border and tribal regions

The scheme aligns with India’s broader objectives of:

• Act East Policy
• Purvodaya (Eastern India upliftment)
• Cultural soft power diplomacy

Key Budget Announcements Related to the Buddhist Circuit

1. Buddhist Circuit (Northeast) Scheme

• Dedicated scheme for:
  • Preservation of monasteries and temples
  • Pilgrimage interpretation centres
  • Amenities for monks, pilgrims, and tourists

2. Tourism Infrastructure Push

• Creation of five tourism destinations in Purvodaya States
• Deployment of 4,000 e-buses to promote:
  • Green mobility
  • Last-mile connectivity to heritage sites

3. Regional Growth & Urban Ecosystems

• ₹5,000 crore over five years for City Economic Regions (CERs)
• Supports:
  • Tourism-linked urban services
  • Hospitality, crafts, and MSMEs

4. Connectivity & Logistics

• Buddhist Circuit complemented by the East Coast Industrial Corridor
• Integrates tourism growth with:
  • Trade
  • Logistics
  • Employment opportunities

Major Buddhist Monasteries in the Northeast (State-wise Mapping)

Arunachal Pradesh

Arunachal Pradesh hosts India’s largest concentration of Mahayana Buddhist sites, especially in Tawang and West Kameng.

• Tawang Monastery (Galden Namgyal Lhatse)
  • Largest monastery in India; second-largest globally
  • Founded in the 17th century
  • Houses an 18-foot gilded Buddha statue
• Bomdila Monastery
  • Established in 1965
  • Prominent Mahayana centre with Himalayan views
• Urgelling Monastery
  • Birthplace of the 6th Dalai Lama
  • Dates back to the 15th century
• Golden Pagoda, Namsai
  • Burmese-style Theravada pagoda
  • Known for gold-plated structure
• Taktsang Gompa, Arunachal Pradesh
  • Called the Tiger’s Nest of India
  • Linked to meditation by Guru Padmasambhava

Sikkim

Sikkim follows Nyingma and Kagyu schools of Tibetan Buddhism.

• Rumtek Monastery
  • Largest monastery in Sikkim
  • Seat-in-exile of the Gyalwang Karmapa (Kagyu sect)
• Pemayangtse Monastery
  • Among the oldest and most prestigious
  • Formerly supervised all Nyingma monasteries
• Enchey Monastery
  • Located in Gangtok
  • Established on land blessed by Lama Druptob Karpo
• Tashiding Monastery
  • Considered the holiest monastery in Sikkim
  • Belief: mere sight cleanses sins
• Dubdi Monastery
  • Oldest monastery in Sikkim (1701)
  • Known as the Hermit’s Cell

4. Union Budget 2026–27: Record Defence Outlay with Strong Push for Indigenisation

Source: PIB

Context:

In the Union Budget 2026–27, Nirmala Sitharaman announced a record defence allocation of ₹7.85 lakh crore, the highest ever for India.
The Budget signals a decisive shift towards modernisation, post-operation preparedness, and accelerated indigenisation under Aatmanirbhar Bharat in defence manufacturing, amid a challenging security environment.

What Is the Defence Push in Budget 2026–27?

The defence allocation represents a strategic fiscal intervention aimed at:

• Modernising the Armed Forces
• Strengthening domestic defence manufacturing
• Reducing import dependence
• Supporting strategic infrastructure and energy security
• Enhancing welfare of armed forces personnel

Key Defence Budget Parameters (2026–27)

Parameter	Budget 2026–27
Total Defence Outlay	₹7.85 lakh crore (↑ 15.19% YoY), ~2% of GDP
Share in Union Expenditure	14.67% (highest among all Ministries)
Capital Expenditure	₹2.19 lakh crore (↑ ~22%)
Capital Acquisitions	₹1.85 lakh crore (↑ ~24%)
Domestic Procurement	₹1.39 lakh crore (≈ 75% of capital acquisitions)

I. Manufacturing & Technology Indigenisation

1. Aviation Manufacturing & MRO Ecosystem

Customs Duty Exemptions

• Basic Customs Duty (BCD) exempted on:
  • Components and engines for civilian and training aircraft
  • Raw materials for aircraft parts used in Maintenance, Repair and Overhaul (MRO) by Defence PSUs

2. Capital Goods & Strategic Infrastructure

CIE Manufacturing Scheme

• New scheme for Enhancement of Construction and Infrastructure Equipment (CIE)
• Includes support for tunnel-boring machines and high-end equipment

II. Strategic Technology, Energy & Materials Security

1. Nuclear Power Projects (Extended to 2035)

Budget Provision

• Customs duty exemptions for imports required for nuclear power projects extended till 2035
• Expanded to cover all nuclear plants

2. Critical Minerals for Defence Manufacturing

• Basic customs duty exempted on capital goods required for processing critical minerals
• Supports domestic manufacturing of:
  • Electronics
  • Missiles
  • Aerospace systems
  • EV-linked defence logistics

3. Rare Earth Corridors

Announcement

• Establishment of Rare Earth Corridors in:
  • Odisha
  • Kerala
  • Andhra Pradesh
  • Tamil Nadu

Defence Relevance

• Rare earth magnets are essential for:
  • Radars
  • Precision-guided munitions
  • Drones
  • Advanced communication systems

III. Welfare & Social Security for Armed Forces

Disability Pension Tax Exemption

Key Provision

• Full income tax exemption for:
  • Service element
  • Disability element
• Applicable to Armed Forces and paramilitary personnel invalided out due to disability attributable to or aggravated by service

5. Union Budget 2026–27: Announcement for Rare Earth Corridors

Source: PIB

Context:

The Union Budget 2026–27 announced the establishment of dedicated Rare Earth Corridors in four coastal states to strengthen India’s critical minerals ecosystem, reduce import dependence, and support clean-energy and high-technology manufacturing.

What Are Rare Earth Corridors?

Rare Earth Corridors are integrated, state-anchored industrial value chains that geographically co-locate:

• Mining of rare earth–bearing minerals
• Separation and processing of rare earth elements (REEs)
• R&D and pilot facilities
• Manufacturing, especially Rare Earth Permanent Magnets (REPMs)

The corridor approach minimizes logistics costs, closes technology gaps, and accelerates time-to-market by creating clustered ecosystems rather than isolated projects.

States Involved (Coastal Focus)

The corridors will be established in four mineral-rich coastal states with significant Beach Sand Mineral (BSM) deposits containing monazite—India’s principal source of REEs:

• Odisha
• Kerala
• Andhra Pradesh
• Tamil Nadu

Why coastal states?
India’s most accessible and commercially viable REE resources are in beach placer sands, especially monazite, which is rich in Light REEs such as Neodymium (Nd) and Praseodymium (Pr)—critical for magnets.

Aim of the Initiative

• Build an end-to-end domestic rare earth value chain (mine → magnet)
• Support the clean-energy transition (EVs, wind turbines, solar power)
• Operationalise the National Critical Minerals Mission at the state level
• Strengthen supply-chain resilience amid global concentration of REE processing

Key Features of the Rare Earth Corridor Initiative

1. Integrated Corridor Approach

• Co-location of mining, processing, R&D, and manufacturing
• Reduces inter-state logistics frictions
• Encourages technology spillovers and faster scale-up

2. Linkage with Magnet Manufacturing Scheme

• Aligned with the ₹7,280 crore Sintered REPM Scheme
• Target: ~6,000 MTPA domestic REPM capacity
• Addresses a critical downstream bottleneck in EVs and renewables

3. State-Led Execution

• Moves beyond a purely central-policy approach
• States act as industrial anchors, enabling:
  • Faster clearances
  • Tailored infrastructure
  • Skill development aligned to local geology

4. Incentive-Backed Manufacturing

• Sales-linked incentives: ~₹6,450 crore
• Capital subsidy: ~₹750 crore
• Incentivises integrated REPM units within corridors

5. Strategic Supply-Chain Resilience

• India imported >53,000 MT of magnets in FY25
• Corridors aim to reduce vulnerability to externally concentrated supply chains

6. Support for High-Tech Sectors

• Ensures domestic inputs for:
  • EVs
  • Renewable energy
  • Electronics
  • Aerospace & Defence

Major Coastal Potential: Beach Sand Monazite (State-wise)

Odisha

• Chhatrapur (OSCOM) region
• Highest current processing activity
• Acts as a mature anchor for corridor development

Kerala

• Chavara deposits; proximity to Vizhinjam Port
• Long history of BSM mining and processing
• Likely to be a hub state in the corridor network

Andhra Pradesh

• Coastal stretches of Srikakulam, Visakhapatnam, Nellore
• Large untapped placer resources with industrial port access

Tamil Nadu

• Manavalakurichi and southern coastal districts
• Established rare earth processing legacy

Emerging Inland Rare Earth Mineral Potential (New Geography Focus)

Recent exploration by the Geological Survey of India (GSI) indicates significant inland REE potential, particularly for Heavy REEs, which are scarcer and more valuable.

• Arunachal Pradesh
  • Papum Pare district
  • High Neodymium content in river-valley soils
• Rajasthan
  • Balotra: >1 lakh tonnes of in-situ REE oxides
  • Exploration in Sirohi and Bhilwara
• West Bengal
  • Purulia district (South Purulia Shear Zone)
• Gujarat
  • Amba Dongar and Kamthai carbonatite complexes
• Madhya Pradesh
  • Singrauli coalfields: REEs associated with coal seams
• Jharkhand & Chhattisgarh
  • Heavy REE-bearing stream placers in the Chotanagpur Granite Gneiss Complex

6. Union Budget 2026–27: Reforms in Education and Skill Sectors

Source: TOI

Context:

The Union Budget 2026–27, presented by Nirmala Sitharaman, announced a major structural and financial push to education, skilling, and employability, recognising that human capital quality—not merely capital expenditure—will determine India’s growth trajectory.

The reforms are aligned with:

• National Education Policy (NEP) 2020
• Vision of Viksit Bharat @2047
• The need to convert demographic dividend into productive employment

What Is the Core Idea of Education & Skill Reforms in Budget 2026–27?

The Budget adopts an “Education → Skills → Employment → Enterprise” continuum, shifting away from siloed education and training schemes towards:

• Labour-market–aligned learning
• Future-ready skills (AI, AVGC, healthcare, textiles)
• Regional and social inclusion
• Service-sector global competitiveness

I. Structural Reforms & Governance Architecture

1. High-Powered ‘Education to Employment and Enterprise’ Standing Committee

Announcement

• A new high-powered standing committee to recommend reforms to:
  • Make India a global leader in services
  • Achieve 10% share in global services trade by 2047

Key Mandate

• Align education curricula with:
  • Labour market needs
  • Entrepreneurship and enterprise creation
• Bridge gaps between:
  • Universities
  • Industry
  • MSMEs
  • Start-ups

2. AI Integration in Education

• Committee to assess:
  • Impact of Artificial Intelligence on jobs
  • Risks of job displacement
• Proposes embedding AI education from school level onwards

3. University Townships

• Support to States for creating 5 University Townships
• Locations:
  • Near industrial and logistics corridors

Components

• Universities
• Skill development centres
• Research & innovation hubs

II. Skilling for the Future & the Orange Economy

1. AVGC Content Creator Labs

• Labs to be set up in:
  • 15,000 secondary schools
  • 500 colleges

Sector Focus

• Animation
• Visual Effects
• Gaming
• Comics (AVGC)

2. Corporate Mitras Programme

• Professional bodies like:
  • Institute of Chartered Accountants of India
  • Institute of Company Secretaries of India
• To design modular courses

Objective

• Create a cadre of “Corporate Mitras” in Tier-II and Tier-III towns
• Assist MSMEs with:
  • Compliance
  • Finance
  • Governance

3. Samarth 2.0 (Textile Skilling)

• Modernisation of textile skilling ecosystem
• Collaboration between:
  • Industry
  • Academic institutions

4. Viksit Bharat Young Leaders Dialogue

• Budget draws ideas from youth engagement
• Reflects participatory policy-making

III. Specialised Training & Health Education

1. Allied Health Professionals (AHPs)

• Addition of 1 lakh AHPs over 5 years
• 10 disciplines including:
  • Radiology
  • Optometry
  • Medical lab sciences

2. Caregiver Training

• 5 lakh caregivers to be trained in:
  • Wellness
  • Yoga
  • Medical device operation

3. AYUSH Excellence

• Establishment of 3 new All India Institutes of Ayurveda
• Upgradation of AYUSH pharmacies

4. Veterinary Professionals

• Loan-linked subsidy scheme
• Supports private veterinary colleges
• Target: 20,000+ additional veterinary professionals

IV. Infrastructure, Inclusion & Equity

1. Girls’ Hostels in Every District

• Capital support for 1 girls’ hostel per district
• Focus on STEM institutions

2. National Institute of Design (NID) – Eastern India

• New NID through challenge route

3. Hospitality & Tourism Education

• Upgrade of National Council for Hotel Management to National Institute of Hospitality
• 10,000 tourist guides to be upskilled at 20 sites via IIM-linked courses

4. Divyangjan Kaushal Yojana

• Customised, industry-relevant training for Divyangjans
• Focus sectors:
  • IT
  • AVGC
  • Hospitality

V. Scientific Research & Learning Infrastructure

Astrophysics & Science Outreach

• Setting up / upgrading 4 major telescope facilities, including:
  • National Large Solar Telescope
  • COSMOS-2 Planetarium

7. The New Income Tax Act, 2025

Source: FE

Context:

The Union Budget 2026–27, presented by Nirmala Sitharaman, announced that the Income Tax Act, 2025 will come into force from 1 April 2026, replacing the six-decade-old Income Tax Act, 1961.
This marks one of the most comprehensive reforms in India’s direct tax framework, aimed at simplicity, trust-based compliance, and reduced litigation.

Why a New Income Tax Act?

The Income Tax Act, 1961 had become:

• Excessively complex due to thousands of amendments
• Litigation-heavy, with overlapping assessment, penalty, and prosecution provisions
• Difficult for ordinary taxpayers to comply without professional help

The new Act seeks to:

• Improve Ease of Living for taxpayers
• Reduce compliance cost and fear of prosecution
• Align tax administration with Digital India and trust-based governance

Key Features of the New Income Tax Act, 2025

1. Implementation Timeline

• Effective date: 1 April 2026
• Review and redrafting completed in record time after announcement in July 2024
• Gives taxpayers nearly one full year to prepare and transition

2. Simplification & Ease of Compliance

User-Friendly Law Design

• Provisions rewritten in plain language
• Sections reorganised for logical flow
• Reduced cross-references and provisos

Simplified Rules & Forms

• New tax rules and return forms to be notified shortly
• Designed so that ordinary taxpayers can file returns without professional assistance

3. Staggered Filing Deadlines (Structural Reform)

The Act introduces differentiated due dates, easing pressure on taxpayers and the tax system.

Category	Due Date
ITR-1 & ITR-2 (Individuals)	31 July
Non-audit business entities & trusts	31 August

Reduces last-minute congestion and improves processing efficiency.

4. Extended Window for Revised & Belated Returns

Key Change

• Deadline extended from 31 December → 31 March of the following year

Nominal Fee Structure

• ₹1,000 → income ≤ ₹5 lakh
• ₹5,000 → income > ₹5 lakh

Encourages voluntary error correction rather than penalising honest mistakes.

5. Expanded Scope for Updated Returns

Post-Reassessment Filing Allowed

• Taxpayers can now update returns even after reassessment proceedings begin
• Condition: Pay additional tax @ 10% over the applicable rate

Impact

• Reduces prolonged litigation
• Promotes revenue certainty
• Encourages early settlement

6. Penalty & Prosecution Rationalisation

Integrated Proceedings

• Assessment and penalty to be concluded through a single common order
• Eliminates parallel proceedings

Decriminalisation of Technical Defaults

Converted into monetary fees, including:

• Failure to produce books of accounts
• Delay in audits
• Procedural lapses without tax evasion intent

Reduced Criminal Exposure

• Maximum imprisonment reduced from 7 years → 2 years
• Courts empowered to convert imprisonment into fines

7. Special Disclosure Scheme: FAST-DS 2026

Foreign Assets of Small Taxpayers Disclosure Scheme (FAST-DS)

• One-time 6-month window from April 2026
• Target groups:
  • Students
  • Young professionals
  • Tech employees
  • Relocated NRIs

Coverage

• Overseas assets/income below:
  • ₹1 crore (certain categories)
  • ₹5 crore (specified cases)

Incentive

• Immunity from prosecution
• Payment of prescribed tax/fee

Overall Significance of the Income Tax Act, 2025

Governance

• Trust-based tax administration
• Reduced discretionary powers
• Lower litigation burden

Economic

• Improves tax certainty
• Encourages formalisation
• Enhances investor confidence

Social

• Protects honest taxpayers
• Reduces harassment
• Improves ease of compliance for middle class

Institutional

• Modernises a colonial-era law
• Aligns taxation with Digital India

8. Biopharma SHAKTI Initiative

Source: The Economic Times

Context:

The Union Budget 2026–27, presented by Nirmala Sitharaman, announced a ₹10,000 crore allocation for the Biopharma SHAKTI Initiative, signalling a major policy push to transform India into a global biopharmaceutical manufacturing and innovation hub.

The initiative addresses:

• Rising burden of non-communicable diseases (NCDs)
• Heavy import dependence for high-value biologic drugs
• Need for innovation-led growth beyond generic medicines

What is Biopharma SHAKTI?

Biopharma SHAKTI stands for Strategy for Healthcare Advancement through Knowledge, Technology, and Innovation.

It is a flagship, multi-year initiative aimed at:

• Strengthening India’s biopharmaceutical ecosystem
• Scaling domestic production of biologics and biosimilars
• Enhancing research, clinical trials, and regulatory capacity
• Integrating biotechnology with manufacturing, healthcare, and exports

Key Features of the Biopharma SHAKTI Initiative

1. Financial Outlay and Time Horizon

• Outlay: ₹10,000 crore
• Duration: 5 years
• Focus on long-gestation, high-impact capacity building, rather than short-term subsidies

2. Disease Focus and Strategic Rationale

Target Areas

• Cancer
• Diabetes
• Autoimmune disorders
• Other lifestyle-related NCDs

Why Biologics & Biosimilars?

• Biologics account for a large and growing share of global drug spending
• India currently dominates small-molecule generics, but lags in:
  • Biologic innovation
  • Complex manufacturing
• Biosimilars offer:
  • Affordable alternatives
  • Export opportunities
  • Health security

3. Institutional & Research Infrastructure

National Institutes of Pharmaceutical Education and Research (NIPERs)

• 3 new NIPERs to be established
• 7 existing NIPERs to be upgraded

Role of NIPERs

• Advanced training in:
  • Bioprocess engineering
  • Regulatory sciences
  • Clinical research
• Industry-academia collaboration
• Talent pipeline for biopharma manufacturing

Clinical Trials Ecosystem

• Creation of a network of 1,000+ accredited India Clinical Trials sites

Regulatory Strengthening

• Strengthening Central Drugs Standard Control Organisation (CDSCO)
• Introduction of a dedicated scientific review cadre
• Aim: Match global approval timeframes

Addresses one of India’s biggest bottlenecks—regulatory delays.

4. Bio-Manufacturing and Allied Ecosystem Support

Chemical & Pharma Hubs

• Establishment of 3 Chemical Parks
• Cluster-based, plug-and-play model

Benefits

• Reduces import dependence on intermediates
• Ensures environmental compliance
• Lowers cost of biopharma inputs
• Strengthens life-sciences value chains

Agricultural Biotechnology Linkage

• Launch of Bharat-VISTAAR
• A multilingual AI platform integrating:
  • Indian Council of Agricultural Research (ICAR) knowledge
  • AI-based advisory systems

Relevance to Biopharma

• Better bio-resource management
• Supports medicinal plants, bio-inputs, and bio-raw materials
• Strengthens farm-to-lab linkages

Circular Bioeconomy: Biogas Blended CNG

• Entire value of biogas excluded while calculating Central Excise duty on biogas-blended CNG

Significance

• Promotes bio-energy and waste-to-wealth
• Encourages investment in anaerobic digestion
• Links life sciences with clean energy transition

5. Support for Traditional Knowledge Systems (AYUSH)

Evidence-Based Traditional Medicine

• Upgradation of the WHO Global Traditional Medicine Centre, Jamnagar

Objective

• Promote:
  • Scientific validation
  • Global acceptance
  • Evidence-based integration of traditional medicine

Boost to Ayurvedic Exports

• Scaling production of quality Ayurvedic products
• Benefits:
  • Farmers (medicinal plants)
  • Processing youth and MSMEs
• Aligns with global demand for:
  • Wellness
  • Preventive healthcare

Overall Significance of Biopharma SHAKTI

Health Security

• Reduces dependence on imported biologics
• Improves access to advanced therapies

Economic & Industrial

• High-value manufacturing and exports
• Job creation in R&D, manufacturing, trials, and regulation

Scientific & Technological

• Strengthens India’s biotech research base
• Builds regulatory science capacity

Challenges

• High capital and skill requirements
• Ensuring regulatory agility without compromising safety
• Need for strong industry-academia collaboration