Budget expected to take infrastructure-led growth to the next level, says YCH India's Country General Manager

Budget 2026: Jossy Sebastian, Country General Manager for YCH India, believes the upcoming Budget can play a catalytic role by scaling up investment in port connectivity.

"As supply chains become central to manufacturing, exports, and consumption, a well-calibrated Budget can help improve efficiency, create jobs, and enhance India’s competitiveness," says Sebastian in an interview with Mint.

He emphasises that as India aims to compete globally, improving logistics efficiency will be as important as manufacturing competitiveness.

Edited excerpts:

What role can the Budget play in strengthening logistics infrastructure to support exports and cross-border supply chains?

As manufacturing and exports expand, logistics infrastructure must keep pace with speed, reliability, and global standards.

The Budget can play a catalytic role by scaling up investment in port connectivity, dedicated freight corridors, and export-oriented logistics parks near production clusters.

Strengthening the cold chain and specialised warehousing is also critical for sectors such as electronics, pharmaceuticals, and agri-exports.

Simplifying customs procedures through deeper digitisation and risk-based inspections can reduce dwell times and improve turnaround at borders.

Continued support for interest-free loans to states can help accelerate last-mile infrastructure around industrial zones and ports.

A focused push on cross-border logistics efficiency will not only support exporters but also enhance India’s credibility as a long-term manufacturing and supply chain hub.

As the government continues to focus on infrastructure-led growth, what key expectations does the logistics and supply chain sector have from the upcoming Union Budget?

The logistics sector is looking for a Budget that builds on recent momentum and takes infrastructure-led growth to the next level.

Expectations include a meaningful increase in overall infrastructure allocation, with a strong focus on multimodal connectivity, urban logistics, and warehousing ecosystems.

Support for digital logistics platforms, green supply chains, and skill development will be equally important to future-proof the sector.

There is also hope for policies that improve access to financing for logistics infrastructure and encourage private participation.

As supply chains become central to manufacturing, exports, and consumption, a well-calibrated Budget can help improve efficiency, create jobs, and enhance India’s competitiveness.

A long-term, coordinated roadmap will be key to translating infrastructure spending into measurable productivity gains.

What policy measures could help accelerate India’s transition toward multi-modal and tech-enabled logistics networks?

India’s logistics transformation will accelerate with stronger alignment between infrastructure creation and digital enablement.

Continued investment in highways, rail freight corridors, ports, and inland waterways is essential, but the next leap will come from connecting these assets seamlessly through technology.

Policy support for multimodal logistics parks, standardised digital documentation, and interoperable platforms such as the Unified Logistics Interface Platform can significantly reduce friction across warehousing, freight, and last-mile delivery.

Incentives for automation, warehouse modernisation, and adoption of data-driven planning tools can also help operators improve efficiency and predictability.

Equally important is skilling, as tech-enabled logistics requires talent that understands both operations and digital systems.

Together, physical infrastructure and digital orchestration can shorten transit times, reduce costs, and make India’s supply chains more resilient and globally competitive.

Rising logistics costs remain a concern for many industries. What fiscal or regulatory interventions could help improve cost efficiency and global competitiveness for Indian supply chain players?

Reducing logistics costs requires a mix of fiscal relief, regulatory simplification, and scale-driven infrastructure investments.

Rationalising fuel taxes, offering incentives for energy-efficient fleets, and expanding access to green financing can help manage operating costs over the long term.

On the regulatory side, faster clearances, harmonised state-level compliances, and wider adoption of single-window digital systems can significantly cut delays and indirect expenses.

Greater budgetary focus on rail freight, coastal shipping, and inland waterways can also rebalance modal dependence and reduce per-unit transport costs.

As India aims to compete globally, improving logistics efficiency will be as important as manufacturing competitiveness, especially for time-sensitive and export-oriented industries.

Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of the expert, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.