Union Budget 2025: From fuel, smartphones, electronics to health insurance, expected changes in prices

Union Finance Minister Nirmala Sitharaman will present the much-awaited first full-fledged budget of Modi 3.0 tomorrow i.e. on Saturday, February 1. The Union Budget 2025 is expected to bring about significant price changes across various sectors in India.

Be it salaried, home-makers or industrialists, the hope is high. All eyes are on what will come out of Pandora's box tomorrow as this is the first full-fledged budget of the third term of Prime Minister Narendra Modi-led government.

Here’s a list of potential changes in key sectors that may get cheaper or more expensive after the Budget:

Petrol & Diesel Price: In the fuel sector, there are calls for a reduction in excise duty, which could potentially lower petrol and diesel prices, benefiting consumers. The Confederation of Indian Industry (CII) has specifically advocated for this measure to spur consumption and alleviate inflationary pressures.

Smartphones & other electronics: With the government's continued push for digital India and emphasis on emerging technologies like Artificial Intelligence, there could be incentives or tax breaks for tech companies. This might lead to more competitive pricing in digital services and tech products. Changes in import duties on electronic components or finished tech products could affect the pricing of smartphones, computers, and other digital devices.

Textile Industry: In the textile industry, financial support and tariff cuts are anticipated, which may lead to more competitive pricing for Indian textiles both domestically and in global markets.

Infrastructure: The budget is also likely to impact the infrastructure sector, with a shift in focus towards railway modernization, potentially influencing pricing dynamics in construction, logistics, and transport services.

Consumer Goods and Services: The government's focus on domestic manufacturing and economic growth may lead to changes in production costs and, consequently, retail prices. The potential reduction in income tax rates for people earning up to Rs 15 lakh annually could boost disposable income and drive consumption.

Healthcare: The healthcare and insurance sectors may experience price-related changes post-Budget 2025. With most Indians seeking increased tax rebates on medical and health insurance, the government might introduce measures to make healthcare more affordable.

Insurance Sector: Affordable healthcare could potentially lead to adjustments in health insurance premiums and medical service costs. The budget may also address policy changes affecting drug prices, medical equipment costs, and health service charges.

Agricultural and Food Price: The Union Budget 2025 is expected to have a significant focus on the agricultural sector, which could influence food prices. With rising inflation being a primary concern for Indian consumers, the government may introduce measures to stabilize food prices. This could include increased subsidies for farmers, investments in agricultural infrastructure, or policies to improve supply chain efficiency.