Punjab Leaders Decry Union Budget 2026 as 'Disappointing' and 'Discriminatory'
Punjab Finance Minister Harpal Singh Cheema has launched a scathing critique of the Union Budget 2026-27, labeling it as "disappointing" and "discriminatory" against the state. In a significant departure from previous years, Punjab was not mentioned even once in Union Finance Minister Nirmala Sitharaman's budget speech, a fact that Cheema highlighted as a stark omission.
Neglect of Punjab's Agricultural and Border Challenges
Cheema expressed deep concern over what he termed the "sheer neglect" of Punjab, which he described as the "food bowl of India." He emphasized that the state had faced extraordinary challenges, including Operation Sindoor and devastating floods, which severely impacted infrastructure and livelihoods, particularly in border districts. Despite raising these issues during pre-budget consultations and submitting a detailed wishlist, Cheema lamented that the Centre provided no relief or special financial package.
"The omission is absolutely unacceptable," Cheema stated, adding that the Centre has made the rules governing the State Disaster Response Fund (SDRF) more stringent instead of offering assistance. He questioned the political will of the central government, asking, "What is the point in doing all the politics in Punjab when the plight of people does not move you?"
Criticism of Agricultural Policies and Financial Strain
Cheema further criticized the budget for its "selective approach" to promoting high-value crops, noting that while crops like coconut, cashew, sandalwood, and nuts were mentioned, there was no support for north Indian farmers dependent on crops suited to their agro-climatic conditions. He asserted that this reflects a bias against food-grain producing states like Punjab.
Highlighting specific financial impacts, Cheema pointed out that the budget has reduced the urea subsidy by Rs 10,000 crore, which he said will directly hurt farmers. Additionally, the transaction tax on the New Pension Scheme has been increased from 0.2 per cent to 0.5 per cent, further straining state finances. He also noted that Punjab stands to lose nearly Rs 6,000 crore annually due to GST changes, compounding the financial strain from the replacement of VAT.
Chief Minister Bhagwant Mann's Response
Echoing Cheema's sentiments, Punjab Chief Minister Bhagwant Mann said the budget failed to address key issues for the state. In a post on X in Punjabi, Mann stated that the budget had no announcements regarding the minimum support price (MSP) for farmers, nor did it provide relief for industry or taxes. "No concrete steps were taken in this budget to strengthen Punjab's economy. As always, Punjab and Punjabis were treated step-motherly," he said, while expressing confidence that the hardworking people of Punjab would overcome these challenges.
Opposition Leaders Join in Criticism
Opposition leaders in Punjab also voiced their disappointment. Partap Singh Bajwa, leader of the opposition in the Punjab assembly, said the budget offered no relief for farmers or a jobs roadmap for youth, confirming that Punjab has been "completely forgotten." Shiromani Akali Dal president Sukhbir Singh Badal attributed the lack of benefits to the "complete failure" of the AAP government in advocating for the state's rights. Punjab Congress president Amarinder Singh Raja Warring called the budget "expectedly quite disappointing," criticizing it for not addressing rising prices and dwindling incomes that affect the common man.
Overall, the budget has sparked widespread condemnation from Punjab's political spectrum, with leaders unanimously decrying it as neglectful and inadequate for the state's needs.