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The Union Budget allocates Rs 500 crore to promote manufacturing of sports goods in India

February 1, 2026

The Union Budget presented by Finance Minister Nirmala Sitharaman on Sunday, February 1 marked a turning point for the Indian sports sector, with the sports goods industry receiving a dedicated allocation of Rs 500 crore for the first time. The Ministry of Youth Affairs and Sports has seen an increase in total allocation by Rs 1133.34 crore, taking the total to Rs 4479.88 crore as compared to the revised Rs 3346.54 crore of the previous year.

In her budget speech, Sitharaman highlighted India’s potential to become a global leader in this field sporting goods market. She announced, “I am proposing a dedicated sporting goods initiative that will support manufacturing, research and innovation in equipment design as well as material sciences,” supporting Sports Minister Mansukh Mandaviya’s vision for the sector. The Ministry of Sports welcomed this new focus and indicated that a detailed plan would be formulated to effectively channel support to the growth of the industry.

What makes this allocation stand out is that previous budgets lacked any specific provisions for the sporting goods sector. The initiative is expected to boost initial growth in sports goods manufacturing under the ‘Make in India’ programme, promising advancements in equipment technology and affordability for athletes across the country.

The funding of key sports bodies has also undergone adjustments. The Sports Authority of India (SAI), which manages the national training camps and athletics infrastructure, received increased expenditure from Rs 880 crore to Rs 917.38 crore. In contrast, the budgets for the National Drug Testing Laboratory and the National Anti-Doping Agency have been cut to Rs 23 crore and Rs 20.30 crore, respectively, from last year’s Rs 28.55 crore and Rs 24.30 crore.

The budget also provided Rs 924.35 crore to Khelo India Programa flagship government program to promote sports participation. While this is lower than last year’s allocation of Rs 1,000 crore, it is significantly higher than the actual expenditure of Rs 700 crore in the previous fiscal cycle.

Support for Indian athletes preparing for international competition was further demonstrated by the increase in aid for the Commonwealth Games from Rs 28.05 crore to Rs 50 crore. With the Games scheduled for July-August in Glasgow, this 78 percent increase aims to boost preparations and representation on the global stage.

– The end

Issued by:

Amar Panicker

Published on:

February 1, 2026

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