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Budget 2026-27: Customs Reforms, Port Scanning & Ease of Business Boost

Finance Minister Nirmala Sitharaman's Budget 2026-27 introduces major Customs reforms centered on a new, unified digital platform to be launched within two years. It mandates the phased expansion of non-intrusive AI scanning with the goal of examining every container at major ports. The budget also removes the value cap on courier exports to boost small businesses and allows duty-free treatment for fish caught by Indian vessels in international waters. Additionally, it offers a new settlement mechanism for honest taxpayers to resolve disputes without the stigma of a penalty.

Key Points: Budget 2026-27 Customs Reforms: Integrated System, Port Scanning

  • New Customs Integrated System in 2 years
  • AI scanning for all containers at major ports
  • Single digital window for cargo clearance by FY-end
  • Removal of Rs 10 lakh cap on courier exports
  • Duty-free fish catch in EEZ for Indian fishermen
2 min read

Budget 2026-27 unveils Customs reforms for ease of business

FM Sitharaman announces a new Customs Integrated System, AI-powered scanning at all major ports, and reforms for exporters and fishermen in Budget 2026-27.

"The government will roll out a Customs Integrated System in two years as a single, integrated and scalable platform for all customs processes. - Finance Minister Nirmala Sitharaman"

New Delhi, Feb 1

Finance Minister Nirmala Sitharaman, presenting the Budget 2026-27 in the Parliament on Sunday, announced that the government will roll out a Customs Integrated System in two years as a single, integrated and scalable platform for all customs processes.

The Finance Minister also said that the utilisation of non-intrusive scanning with advanced imaging and AI technology for risk assessment will be expanded in a phased manner, with the objective of scanning every container across all the major ports.

She further said that approvals required for cargo clearance from various government agencies will be seamlessly processed through a single and interconnected digital window by the end of the financial year. She said that processes involved in the clearance of food, drugs, plant, animal and wildlife products, accounting for around 70 per cent of interdicted cargo, will be operationalised on this system by April 2026.

The Union Minister further said that for goods not having any compliance requirement, clearance will be done by Customs immediately after online registration is completed by the importer, subject to the payment of duty.

She also announced various measures to support Indian fishermen to fully harness the economic value of marine resources beyond the territorial waters. These measures include making free of duty, the fish caught by an Indian fishing vessel in the Exclusive Economic Zone (EEZ) or on the High Seas, while the landing of such fish on foreign ports will be treated as an export of goods.

She also said that safeguards will be put in place to prevent misuse during fish catch, transit, and transhipment.

The Finance Minister further announced a complete removal of the current value cap of Rs 10 lakh per consignment on courier exports to support the aspirations of India's small businesses, artisans, and start-ups to access global markets through e-commerce. In addition, handling of rejected and returned consignments will be improved with the effective use of technology for identifying such consignments, she added.

The Finance Minister further said that there are honest taxpayers who are willing to settle disputes by paying all their dues, but they get deterred due to the negative connotation associated with the penalty. They will now be able to close cases by paying an additional amount in lieu of penalty, she added.

- IANS

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Reader Comments

P
Priyanka N
The removal of the Rs 10 lakh cap for courier exports is fantastic news for small businesses and artisans! My sister runs a handicraft business from Jaipur and shipping costs and limits were a huge barrier. This will really help 'Make in India' reach global customers via e-commerce. 🇮🇳
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Arun Y
Good steps, but I'll believe it when I see it. We've heard promises of "ease of business" before. The devil is in the implementation. Will the new integrated system actually be user-friendly, or will it be another complicated portal that crashes often? Hope they get the tech right.
M
Meera T
The support for our fishermen is very welcome. Treating fish caught in our EEZ as duty-free and landing on foreign ports as exports can boost incomes in coastal communities. But the safeguards against misuse are crucial - we must protect our marine resources from overfishing.
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Siddharth J
The option to settle disputes by paying dues without the penalty stigma is a humane and practical move. Many small businesses get stuck in long legal battles they can't afford. This provides a clean exit and allows them to move on. Sensible reform.
K
Kavya N
Scanning every container with AI is ambitious and necessary for security, but what about the cost and potential delays? Hope the phased expansion is done carefully so trade flow isn't disrupted. The focus should be on smart risk assessment, not just scanning everything.

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