02 Feb 2026


This is a link-enhanced version of an article that first appeared in The Hindu
Article Overview:
During the Union Budget 2026, Finance Minister Nirmala Sitharaman announced a reduction in customs duty on goods imported for personal use. This reduction is expected to make personal imports, whether through cross-border e-commerce or travel purchases more affordable and support the growth of online shopping. However, analysts note that while the move could benefit consumers and digital commerce, the relief might be limited in scope given remaining duties and charges.
Our Partner, Jitendra Motwani, Corporate, shared his perspective. Here’s what he had to say:
“The revised Baggage Rules strike the right balance between facilitation and enforcement, combining higher duty-free limits upto 75,000 per person with digital compliance and a trust-based settlement mechanism for honest travellers. By enhancing duty-free thresholds and replacing penalties with a settlement-based approach for bona fide cases, the new Baggage Rules mark a decisive shift towards a passenger-friendly customs regime.”
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