In a major push to strengthen India’s domestic solar manufacturing ecosystem, the Union Budget 2026-27 has announced a full exemption of basic customs duty (BCD) on sodium antimonate, a critical raw material used in the production of photovoltaic (PV) solar glass. The move is expected to significantly reduce production costs and enhance the global competitiveness of Indian solar panel manufacturers.
Presenting the Budget, Finance Minister Nirmala Sitharaman stated that the duty exemption — reduced from 7.5% to zero — aims to support domestic value addition, lower module costs, and accelerate capacity expansion in India’s fast-growing solar manufacturing sector.
Sodium antimonate plays a crucial role in manufacturing low-iron, high-transparency solar glass, which directly impacts panel efficiency, durability, and light transmission. Industry experts note that solar glass contributes 8–12% of total module costs, making the duty relief a strategic cost-reduction measure.
Renewable energy stakeholders welcomed the announcement, highlighting that lower input costs will improve margins, encourage fresh investments in solar glass manufacturing, and strengthen India’s self-reliance in critical clean-energy components. The policy is also expected to enhance India’s attractiveness as a global solar manufacturing hub, particularly amid rising international demand for high-quality PV modules.
Union Minister for New and Renewable Energy Pralhad Joshi said the measure would “further strengthen the domestic solar manufacturing ecosystem and support India’s energy transition goals,” reinforcing the country’s commitment to building a resilient, self-reliant, and sustainable energy future.
With India targeting 500 GW of non-fossil fuel capacity by 2030, the Budget’s focus on solar glass manufacturing is seen as a timely intervention to scale domestic production, reduce import dependence, and boost clean energy adoption nationwide.
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