Union Budget 2026: Complete list of commodities that will get cheaper and costlier in the food and beverage industry

The Union Budget 2026-27 came with a mixed bag of good and bad news. As we magnify the budget details towards the food and beverage sector, there are commodities that will get cheaper and a few will get costlier, which are going to impact the pockets of Indian households. As per experts, several measures are focusing on lowering production costs and supporting domestic manufacturing, which will boost the economy. Take a look at the complete list of commodities that will get cheaper and costlier in the food and beverage industry.

There is good news for those planning to buy new ovens, as the range will become more affordable as basic customs duty has been exempted on specified parts used in their manufacture. This move is aimed at increasing the value addition within the domestic consumer electronics sector and reducing dependence on imported components, bringing down manufacturing costs.

As per the Budget data, the duty‑free import limit used in seafood processing has been increased from 1% to 3%. This provides processors greater flexibility in sourcing raw materials and equipment, potentially reducing input costs and improving their global competitiveness.

As per the Budget, the cost of producing biogas-based will reduce and improve its competitiveness against fossil fuels. The reform is also likely to strengthen the link between agriculture and clean energy, giving farmers additional income opportunities by supplying agro‑residues, cattle dung and organic waste.

It is reported that the price of the 19‑kg commercial LPG cylinder has increased by ₹49 from 1 February 2026, bringing the new rate in Delhi to ₹1,740.50. This revision is likely to impact restaurants, hotels, cafés and street‑food vendors that rely heavily on LPG for daily operations. The domestic LPG prices remain unchanged.

According to Budget data, the government has withdrawn existing exemptions on coffee roasting, brewing and vending machines, a move that is expected to push up the cost of such equipment.

As per the Union Budget, due to increase in customs duty and tweaks to the other indirect taxes, expect to pay more for alcohol at your local liquor store or bar starting this spring. Government proposed that TCS rate for sellers on alcoholic liquor will be rationalised to 2% . Currently , TCS rate on sale of alcoholic liquor for human consumption is 1%.