Prakash P. Chhabria, Executive Chairman, Finolex Industries Limited “India is on the path to become a potential global manufacturing hub. Post the Covid shake-up, economic recovery is still fragile and will necessitate fiscal support. Even globally, the economy is adjusting to the supply chain disruptions due to the pandemic. We are optimistic about the Union budget highlighting support measures for agricultural and housing sector that will go a long way to accelerate recovery. The need for better infrastructure development, digital augmentation, job creation is key to revive the sector and the economy as a whole. We are expecting the Union Budget to boost India as a destination for international companies.”
Kamal Nandi, Business Head and Executive Vice President, Godrej Appliances “In the backdrop of the pandemic, the Union Budget 2022-2023 will play an important role in bringing the white goods sector on track and lead the way for the coming financial year. The industry has been grappling with unprecedented commodity prices and shortage of components on supply side and subdued volume growth especially in high volume segments on the demand side. Consumer durables like air conditioners, refrigerators and washing machines have become essential household items, even more so in this pandemic where consumers are grappling with home isolation, work from home, inconsistent availability of domestic help. Commodity price inflation however has led to significant price hikes, even as consumer purchase sentiments are muted due to the economic uncertainty induced by the pandemic. We are expecting this budget to rationalize GST for these products. Air Conditioners are still in the highest tax slab of 28%, which we expect the tax slab to be brought down to 18%. Appliances continue to languish when it comes to penetration levels and lower tax slabs will help correct this, thereby improving the quality of life of Indian consumers, particularly women. Increased penetration and volume will help give a thrust to manufacturing as well in these sectors. Moreover, lowering the GST slab for eco-friendly and energy efficient products further to 12% will not just help to drive demand but also increase the adoption of sustainable appliances – in line with India’s commitment to climate goals.
Sumit Kumar, Vice President and Business Head- NETAP “Implementation of NEP (National Education Policy-2020), especially amending the Apprentices ACT and making way for degree apprenticeship should be one of the key agendas in the upcoming budget. Degree linked apprenticeship has the potential to directly impact the socio-economic growth. It addresses the employability and livelihood of the youth. It channelizes them towards formal employment. Extending the incentives under NAPS 2.0 in the form of tax SOPS or higher subsidy to SMEs and tax benefits for organizations on apprentice absorption in employment post completion of training are other crucial aspects that the budget should look at to scale apprenticeship adoption. Reintroducing Pradhan Mantri Rozrar Protsahan Yojana and linking it with apprentice absorption is also the need of the hour. It will encourage mobilization of youth into formal employment leading to better wages, improved living standards, higher purchasing power which in turn will drive consumption too. Making online guidelines flexible for higher education, formalizing the skills universities under separate regulations or making room for them in the current UGC ACT to give autonomy as they offer work integrated programs and the programs are aligned to the industry needs are some of the critical aspects that the budget should evaluate”
Ajoy Thomas, VP & Business Head (Retail, E-Commerce, Logistics & Transportation), TeamLease Services:The e-commerce industry in India has managed to gain substantial growth owing to the rapid increase in internet user penetration, and greater demand for easy/online access to goods & services among consumers . The e-commerce sector is looking for an impetus towards digitisation and incentivising digital transactions in the upcoming Union Budget. I also hope that the government cuts the corporate tax rate across the board to spur growth.To amplify the Make in India initiative, now is the time for the government to encourage product companies by introducing incentives which help them become globally competitive and take product innovation to the next level. The Union Budget should cover certain benefits for start-ups, such as reduced taxes for companies with a turnover less than INR 10 Crores, and complete exemption from taxes for a duration of 3 years and on profits earned during the first 5 years, the budget should be benefitting the overall start-up ecosystem. We are expecting better tax benefits for start-ups and SMEs that can further aid the growth.
