We bring industry reactions to the union budget Finance Minister Nirmala Sitharaman presented on February 1, 2023.
Dr. Pramod Chaudhari, Executive Chairman, Praj Industries:
Finance Minister has done a commendable job of presenting an all-inclusive budget without losing focus on growth and development. The MSME sector, regarded as the backbone of the Indian economy, will be one of the primary beneficiaries of this budget. While laying strong emphasis on energy transition, FM has made several provisions that will bolster the nation’s bioeconomy and the agritech sector in particular. 5% CBG mandate for entities marketing natural gas in India and Rs. 10,000 crore provision for setting up 200 CBG plants will accelerate India’s Net Zero journey while creating jobs in rural India.
Nirmal K. Minda, Chairman & Managing Director, Uno Minda Ltd.
The budget focuses on capital expenditure as well as promoting consumption. It also offers steps to boost domestic manufacturing and encourage green energy and mobility. The announcement of INR 35,000 crore fund to support green projects will give a massive boost towards India’s net zero goals. Additionally, the Green credit programme, will further encourage responsible companies to take more environmentally sustainable and responsible actions. All these steps are also going to increase the jobs in these sectors.
We are particularly encouraged by the push that the budget is likely to give to the auto sector in the form of Vehicle Replacement policy which will allow States to replace old polluting vehicles. This will in turn benefit auto sales and electric vehicles. We look forward to understanding the FM’s proposal to reduce basic customs duty on some goods from 21 per cent to 13 per cent, including lithium and ion cell batteries used in EVs. Overall, this is an inclusive budget that also stands to further boost Atmanirbhar vision.
Rajiv Agarwal, Operating Partner (Infrastructure), Essar and Managing Director, Essar Ports
As global supply chains reorient in the wake of global events, India is expected to play a huge role as it charts its way to USD 5 Trillion economy and more. Infrastructure and Logistics sector is expected to play a pivotal role for Manufacturing & Services. They need to be supplemented with enabling policy frameworks and ensuring availability of low cost borrowing for long gestation projects. The Budget should also look at rationalization of taxes which can not only boost savings & domestic consumption but also investment in new Projects as private sector is expected to play a key role in various projects identified by our Government to make an “AtmaNirbhar Bharat”.