Preparations for the Union Budget 2026–27 are under way at the finance ministry
Industry bodies have started raising demands as Budget work progresses
The Halwa Ceremony is a pre-budget ritual held by the finance ministry days before the Budget is presented
Preparations for the Union Budget 2026–27 are currently under way, with the finance ministry working on key proposals and policy priorities ahead of the annual exercise.
As the process gathers pace, industry bodies have begun placing their demands to the government. The Seamless Tube Manufacturers’ Association of India (STMAI) has urged the finance ministry to introduce a production-linked incentive (PLI) scheme covering at least 10% of exports.
According to the association, the move will support export growth and help domestic manufacturers expand overseas.
1 December 2025
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Every year, the Finance Minister presents the Union Budget on February 1. However, the date is tentative, as it is falling on a Sunday and a restricted holiday; the final date will be confirmed by the Cabinet Committee on Parliamentary Affairs in January 2026.
While the Union Budget itself remains in the spotlight, a key pre-budget tradition, the Halwa Ceremony, also draws attention every year.
What is the Halwa Ceremony?
The Halwa Ceremony is a ritual organised by the Finance Ministry, usually about nine to ten days before the budget is presented. During the event, halwa is prepared in a large kadhai in the ministry’s kitchen and the Finance Minister stirs the halwa as part of the ritual and then shares it with the officers and staff working on the budget.
Why It is Important?
The Halwa Ceremony has been part of the Union Budget tradition for many years, though its exact origin is unclear. Its importance increased after the 1950 budget leak, which revealed sensitive details before the official release.
The ceremony is more than a cultural or festive event. It recognises the hard work of officials as they move into the final stage of budget preparation and marks the start of the lock-in period. The ceremony staff involved in drafting the budget remain inside the Finance Ministry’s North Block.
During this lock-in period, officials hand over all communication devices and does not have any contact with the outside world, ensuring complete confidentiality and preventing any unauthorised access. The period continues until the budget documents receive approval from the Prime Minister and are ready for printing.
Last year, the halwa ceremony was held on 24 January 2025 at 5 PM at the North Block of the Central Secretariat. Finance Minister Nirmala Sitharaman led the event, joined by Minister of State Pankaj Chaudhary and other senior officials.
