India is entering a phase where the demand story is no longer just “potential”. It is becoming visible, measurable, and financeable. FY26 matters because it is one of those rare years where multiple tailwinds can work together across households, businesses, and the state. If these forces sustain through the year, FY26 could become the bridge between a consumption upswing and the next leg of industrial growth. Demand and policy tailwinds The first force is the consumer. India’s consumption base has been steadily broadening beyond a narrow premium segment, with more households moving into higher-spending brackets. This shift tends to be sticky, supported by formalisation, better access to credit, and rising aspirations. As consumption broadens, demand becomes less dependent on a single category or income slice, making new capacity addition easier to underwrite.