Shimla, 8 February 2026.Union Minister for Culture and Tourism, Shri Gajendra Singh Shekhawat, while addressing a detailed press conference in Shimla, said that India’s economy is entering a phase of major global opportunity, supported by Budget 2026 and recent international trade agreements. He stated that sectors such as textiles, handicrafts, electronics, mobile manufacturing, consumer goods, and agricultural products will see significant export opportunities in the European Union and US markets in the coming years.
He said the recent trade agreements have been widely described globally as among the most comprehensive economic deals and will open new doors for Indian manufacturers and MSMEs while fully protecting core farm and dairy interests.
Focusing on the issue of Revenue Deficit Grant (RDG), the Minister clarified that RDG was always conceived as a temporary and transitional support mechanism, first introduced on the recommendation of earlier Finance Commissions to help fiscally stressed states manage short-term gaps. It was never meant to be a permanent entitlement. He noted that successive Finance Commissions extended it with cautionary notes, and during the 15th Finance Commission period — especially amid COVID — RDG support was front-loaded at unprecedented levels to help states recover.
He emphasized that Himachal Pradesh received significantly higher RDG support in recent years compared to earlier cycles, but with a clear indication that states must strengthen their own revenue systems and adopt fiscal discipline going forward. He said fiscal deficit is fundamentally the gap between revenue and expenditure and cannot be addressed through political blame-shifting but through structural financial reforms.
Shri Shekhawat pointed out that under the new Finance Commission formula, tax devolution to states has increased structurally, and Himachal Pradesh’s share has risen. With improved devolution and better fiscal management, states can offset RDG tapering without harming development expenditure. He cautioned that rising debt-to-GDP ratios — including Himachal crossing the 40% mark — should be treated as a signal for corrective financial planning.
On Himachal Pradesh specifically, the Minister said the Centre has consistently supported the state in tourism and infrastructure development. He highlighted that under the Special Assistance for Capital Infrastructure scheme, Himachal has recently been approved a long-term, 50-year interest-free loan for tourism infrastructure — effectively grant-like support. He added that under schemes such as Swadesh Darshan, PRASAD, and challenge-based destination development, Himachal has received substantial funding and will continue to receive support against viable project proposals.
Addressing disaster-related concerns, he said the Union Government has significantly enhanced SDRF and NDRF allocations over the past decade and has also allowed states to spend funds on preventive and mitigation measures, not just post-disaster relief. He urged the state to increase investment in preventive resilience given changing climate patterns.
On the India–US trade arrangement and farmer concerns, Shri Shekhawat said India has protected the interests of farmers, dairy producers, and MSMEs. There is no market opening for core staples such as wheat, rice, pulses, common vegetables, dairy products, and major spices. He accused the Congress of spreading confusion regarding apple imports, clarifying that imported apples cannot land in India below roughly ₹100 retail-equivalent cost due to a minimum base price of about ₹80 plus ₹20–₹40 in duties and charges — thereby safeguarding domestic growers.
He concluded that Budget 2026, combined with infrastructure expansion, manufacturing push, MSME support, and balanced trade agreements, will accelerate India’s journey toward a developed economy while ensuring that states like Himachal Pradesh continue to benefit through structured central support and growth-oriented policy.