Indian Budget 2025-26: Highlights That Could Impact The Plant-Based Sector

Indian Budget 2025-26: Highlights that could impact the plant-based sector

🌾 Agriculture related

1. Implementation of the National Mission for Edible Oilseed for achieving atmanirbharta (self-sufficiency) in edible oils.

2. Over last 10 years, cultivated area under pulses went up by 50%, making us nearly self-sufficient. This year, launch of a 6-year “Mission for Atmanirbharta in Pulses” with a special focus on Tur, Urad and Masoor.

3. A comprehensive program in partnership with states to promote production, efficient supplies, processing, and remunerative prices for farmers of fruits, vegetables and millets.

4. A Makhana (foxnuts) Board in Bihar to improve production, processing, value addition, and marketing of makhana.

5. A National Mission on High Yielding Seeds aimed at (1) strengthening the research ecosystem, (2) targeted development and propagation of seeds with high yield, pest resistance and climate resilience, and (3) commercial availability of more than 100 seed varieties released since July 2024.

6. Establish National Institute of Food Technology, Entrepreneurship and Management in Bihar to boost food processing activities in Eastern India.

💼 MSMEs and Startup Related

1. 1 crore registered MSMEs employ 7.5 crore people and generate 36% of our manufacturing, are responsible for 45% of our exports.

Introduce customized Credit Cards with a Rs. 5 lakh limit for micro enterprises registered on Udyam portal. In the 1st year, 10 lakh such cards will be issued.

2. The Alternate Investment Funds (AIFs) for startups have received commitments of more than Rs. 91,000 crore. Supported by the Fund of Funds set up with a Government contribution of Rs. 10,000 crore. Set up of a new Fund of Funds, with expanded scope and a fresh contribution of another Rs. 10,000 crore.

3. A new scheme for 5 lakh women, Scheduled Castes and Scheduled Tribes 1st-time entrepreneurs. Will provide term loans up to Rs. 2 crore during the next 5 years and online capacity building for entrepreneurship and managerial skills.

4. Extension of the period of incorporation of startups by 5 years to allow the benefit available to start-ups incorporated before 1.4.2030.

5. A scheme to support design capacity, component manufacturing, and machinery required for production of non-leather quality footwear, besides the support for leather footwear and products.

6. 68 lakh street vendors benefited under PM SVANidhi scheme. Revamped scheme with enhanced loans from banks, UPI linked credit cards with Rs. 30,000 limit, and capacity building support. ( 🌿The Vegan Marketer says “untapped opportunity for mainstreaming vegan food”)

🔍 Research related

1. Rs. 20,000 crores to implement private sector driven Research, Development and Innovation.

2. PM Research Fellowship scheme of 10,000 fellowships for technological research in IITs and IISc.

3. A Deep Tech Fund of Funds to catalyze next gen startups

✈️ International trade related

1. Export Promotion Mission for easy access to export credit, cross-border factoring support, and support to MSMEs to tackle non-tariff measures in overseas markets.

2. ‘BharatTradeNet’ (BTN) for international trade will be set-up as a unified platform for trade documentation and financing solutions. This will complement the Unified Logistics Interface Platform.

Environment related

Central govt increased allotment to the Union Environment Ministry by 9% from 2024-25.

The National Mission for a Green India’s funding, which works to expand forest cover, protect existing forests and prevent wildfires, up to ₹220 crore in 2025-26 from Rs. 160 crores last year.
Natural resource and ecosystem conservation funding up from ₹30 crore to ₹50 crore. Under this component, the budget for biodiversity conservation has been nearly tripled — from ₹3.5 crore to ₹10 crore.
The government has allocated ₹35 crore for conserving aquatic ecosystems, up from ₹23.5 crore in 2024-25.
Funding for Project Tiger and Project Elephant which focus on protecting these animals and their habitats has been increased from ₹245 crore to ₹290 crore.

The not so happy highlights for the sector:

1. Kisan Credit Cards (KCC) facilitate short term loans for 7.7 crore farmers, fishermen, and dairy farmers. The loan limit under the Modified Interest Subvention Scheme will be enhanced from Rs. 3 lakh to Rs. 5 lakh for loans taken through the KCC.

2. India ranks 2nd largest globally in fish production and aquaculture. Seafood exports are valued at Rs. 60,000 crore. Launch of framework for sustainable harnessing of fisheries from Indian Exclusive Economic Zone and High Seas, with a special focus on the Andaman & Nicobar and Lakshadweep Islands.

The Vegan Marketer’s wishlist of missing items:

No explicit support for sunrise sectors like the plant-based sector in terms of subsidies, tax relief, etc.
No support for vegan brands separately, under the clean tech funds.
Environment focus barely there.
No funds directed towards reducing the climate impact of animal agriculture.
Unfortunate continued support to livestock and animal husbandry departments.

Let me know your thoughts.