Budget 2026: LG Electronics, Amber Enterprises shares in focus; here's why
The domestic brokerage continues to remain positive on LG Electronics India Ltd and Amber Enterprises India Ltd, citing the possibility of an upward revision in the Production Linked Incentive (PLI) allocation for white goods.
- Feb 1, 2026,
- Updated Feb 1, 2026 9:26 AM IST
As India approaches the Union Budget 2026, the consumer durables and electronics sector remains on a firm footing, supported by structural demand drivers and ongoing policy support.
According to Emkay, the upcoming budget is unlikely to be a major trigger for Indian equities. "We expect the budget to be a low-impact event for Indian equities. Growth stimulus is already in play and the space for further positive impulses is limited. Some further reforms may be announced, but most possible measures are slowburn and carry only a long-term impact," the brokerage said.
FULL COVERAGE: Union Budget 2026
The domestic brokerage continues to remain positive on LG Electronics India Ltd and Amber Enterprises India Ltd, citing the possibility of an upward revision in the Production Linked Incentive (PLI) allocation for white goods.
The broader consumer durables industry has been benefiting from rapid urbanisation, rising disposable incomes and increasing consumption in Tier 2 and Tier 3 cities. Industry estimates place the market size at over $30 billion, with expectations of double-digit annual growth through 2027. If the current trajectory sustains, India is projected to become the world's fourth-largest consumer durables market within the next two years.
Despite this momentum, penetration levels across key product categories remain relatively low. Air conditioner ownership is estimated at under 10 per cent of households, washing machines are present in roughly one-third of homes, and refrigerator penetration, while higher, continues to trail global averages. The low base highlights significant headroom for expansion, particularly if affordability improves and distribution deepens beyond metropolitan markets.
On the manufacturing front, government initiatives have played a role in reshaping the sector. The PLI scheme for white goods has garnered investment commitments exceeding Rs 10,000 crore, with expected production output of more than Rs 1.7 lakh crore over the duration of the programme. The scheme has also encouraged localisation of key components such as compressors, motors and electronic control units, contributing to lower import dependence and stronger domestic supply chains.
Jasraaj S Kalra, Managing Director of Noble Group, said, "The consumer durables sector expects the Union Budget 2026–27 to boost consumption through stable taxation and income-led demand measures, while simultaneously enabling scale manufacturing through localisation of components and electronics. A demand-driven approach supported by strong domestic supply chains will allow Indian manufacturers to expand capacity, improve efficiencies, and reduce import dependence."
As India approaches the Union Budget 2026, the consumer durables and electronics sector remains on a firm footing, supported by structural demand drivers and ongoing policy support.
According to Emkay, the upcoming budget is unlikely to be a major trigger for Indian equities. "We expect the budget to be a low-impact event for Indian equities. Growth stimulus is already in play and the space for further positive impulses is limited. Some further reforms may be announced, but most possible measures are slowburn and carry only a long-term impact," the brokerage said.
FULL COVERAGE: Union Budget 2026
The domestic brokerage continues to remain positive on LG Electronics India Ltd and Amber Enterprises India Ltd, citing the possibility of an upward revision in the Production Linked Incentive (PLI) allocation for white goods.
The broader consumer durables industry has been benefiting from rapid urbanisation, rising disposable incomes and increasing consumption in Tier 2 and Tier 3 cities. Industry estimates place the market size at over $30 billion, with expectations of double-digit annual growth through 2027. If the current trajectory sustains, India is projected to become the world's fourth-largest consumer durables market within the next two years.
Despite this momentum, penetration levels across key product categories remain relatively low. Air conditioner ownership is estimated at under 10 per cent of households, washing machines are present in roughly one-third of homes, and refrigerator penetration, while higher, continues to trail global averages. The low base highlights significant headroom for expansion, particularly if affordability improves and distribution deepens beyond metropolitan markets.
On the manufacturing front, government initiatives have played a role in reshaping the sector. The PLI scheme for white goods has garnered investment commitments exceeding Rs 10,000 crore, with expected production output of more than Rs 1.7 lakh crore over the duration of the programme. The scheme has also encouraged localisation of key components such as compressors, motors and electronic control units, contributing to lower import dependence and stronger domestic supply chains.
Jasraaj S Kalra, Managing Director of Noble Group, said, "The consumer durables sector expects the Union Budget 2026–27 to boost consumption through stable taxation and income-led demand measures, while simultaneously enabling scale manufacturing through localisation of components and electronics. A demand-driven approach supported by strong domestic supply chains will allow Indian manufacturers to expand capacity, improve efficiencies, and reduce import dependence."