Praising the Union Budget for optimal usage of resources, movement towards recapitalisation, and thoughtful allocation of funds, Sandeep Singh, Confederation of Indian Industry (CII) Karnataka chairman, underlined that proposals required timely implementation by the government.
Terming the Budget “growth-oriented” and “consumption-oriented”, he said it was the right step towards reviving the economy. “Overall, the Budget is focussed on optimal usage of all the resources. The allocation of funds is at the right places. However, timely implementation is required by the government,” Mr. Singh said.
The Budget comes as a shot in the arm for beleaguered MSMEs as it proposes to double the allocation for MSMEs to ₹15,700 crore from last year, said KASSIA, the trade body representing small industries.
According to the trade body, the Budget will boost domestic manufacturing as it proposes to increase customs duty on certain items such as steel screws, plastic ware, finished synthetic gemstones, prawn feed, and also to rationalise exemption on import of duty-free items as an incentive to exporters of garments, leather and handicraft items.
“With the cut in margin requirement from 25% to 15%, the Budget will increase credit outflow under Standup India to SC/ST communities and women entrepreneurs. The setting up of seven plug-and-play textile parks near seaports, airports, railways, and dedicated freight corridors will enhance exports, while the allocation of ₹1.97 lakh crore for production-linked incentive schemes covering 13 sectors will kick-start domestic manufacturing,” said K.B Arasappa, president, KASSIA.
T.R. Parasuraman, president, Bangalore Chamber of Industry and Commerce, said local manufacturing and employment would be boosted with the customs duty hike on iron and steel.
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