Union Budget 2021-2022, which would be the first finances of this new decade, shall be offered within the Parliament on February 1 by Finance Minister Nirmala Sitharaman. As it’s going to be the primary finances in the course of the pandemic, numerous sectors within the industry are hoping the forthcoming finances will thoughtful the impression the coronavirus pandemic had on totally different companies. Let’s check out some voices from the industry and their expectations from the upcoming finances.
Prasanna Manogaran, Founder of Aqgromalin | An agri-tech startup
With the federal government’s goal year of doubling farm earnings approaching we consider there shall be vital allocation in classes serving to to extend farmers income streams, particularly in farm diversification into the sectors of aquaculture and animal husbandry. A stimulus for the export of aquaculture merchandise will assist your complete ecosystem and also will be sure that we’re capable of successfully compete with China and different South East Asian nations in this sector. The authorities additionally have to empower the prevailing Krishi Vigyan Kendras to extend penetration to the agricultural hinterlands and assist farmers utilise the applied sciences developed by premier nationwide analysis establishments like ICAR. The variety of startups has additionally dramatically elevated within the Agri Tech area, a focussed method from the federal government to system insurance policies to assist them will go a great distance.
Deepak Kumar Mohanty, Senior Vice President, IMFA (Indian Metals & Ferro Alloys Limited)
“In the current scenario, we expect, the Union Budget 2021 is going to be a path breaking Budget. With the disruption due to the pandemic & geopolitics and now with the roll out of vaccines, in the coming months, the world is looking at India as an alternate manufacturing destination. It is expected that all efforts will be made by the government to boost demand by instilling confidence in consumers and address the concerns of fiscal deficit as well. The budget expectations, particularly from the Ferro Alloys manufacturing sector’s point of view, are the measures which strengthen & promote value addition of minerals rather than export of the same auguring well with “Make in India” coverage of Govt. of India with prudent & stringent coverage thrust on disincentivising export of strategic minerals by export tax & additionally, measures which guarantee degree enjoying subject to Indian Industry for competing in international market.
In this context, the price of doing enterprise together with capital, logistic bottlenecks and availability of energy at a aggressive fee to energy intensive sectors are additionally a number of the key areas that must be addressed within the Budget to make Indian Industry aggressive. Fiscal stimulus was vital and union authorities has finished very well with its nuanced coverage of saving lives and livelihoods. Now we are able to anticipate measures from the forthcoming finances and additional stimulus from finance ministry for a sustained restoration”.
Seema Prem, CEO and Co-Founder, FIA Global
We are hopeful that the federal government focuses on capturing the misplaced floor on progress in FY21/22. Increased spending, placing cash into the arms of individuals for reviving demand ought to be the main target relatively than fiscal consolidation. With this finances, a decrease company tax fee for FY 21-22 could be thoughtful. This will assist MSMEs bear the fallout of decreased enterprise sentiment as a consequence of covid and assist improve liquidity. Speaking from the funding angle, capital achieve taxes and taxes on dividends ought to be eliminated to draw investments. Government ought to outline insurance policies for encouraging co-origination between banks/NBFCs/MFIs with Business Correspondents to allow burgeoning credit score to MSME sector.
Sunil Bohra, Group CFO, UNO Minda Group
2021 would be the year of restoration for your complete financial system globally and in India. I consider the Indian car industry will play a distinguished function within the revival of the Indian financial system. Industry-focused plans, insurance policies and assist by the federal government will energize the industry and maintain the momentum. The upcoming 2021-22 Union Budget ought to deal with strengthening the manufacturing sector, in step with the federal government’s visionary Make-in-India and Atmanirbhar Bharat initiatives. The authorities has already taken some optimistic measures in this path with the introduction of Production-Linked Incentive (PLI) scheme, however there’s a want for extra readability.
The car sector has skilled a tough part for over two years now. The industry witnessed a number of the main expertise upgrades when it comes to emissions and security requirements, moreover going by the worst slowdown cycle, which was exacerbated by the Covid-19 pandemic. Being optimistic, we consider that the more severe is behind us and a united effort all of us within the car ecosystem will assist restoration.
The authorities can play a important function in reviving the industry confidence. It ought to scale back the GST fee to 18% from 28%, introduce a scrappage coverage, together with an incentive or tax rebate. We would additionally welcome a particular allowance or rebate on R&D on inexperienced automobiles equivalent to EV, hybrid and different alternate gas automobiles.
Anuj Kapuria, Founder & CEO, The Hi-Tech Robotics Systemz Ltd.
After a roller-coaster 2020, we anticipate 2021 to be the year of financial restoration, upbeat sentiments and demand revival, driving on newer expertise and improvements. Going ahead, industry throughout sectors have to be extra self-reliant, environment friendly and attuned to expertise to outlive future adversities. Newer applied sciences like robotic and automation shall be important in driving the financial system to pre-Covid ranges and past. Budget 2021 ought to deal with enhancing productiveness by incentivizing the usage of expertise to make India self-reliant and future-ready.
India has, to this point, seen very low robotic adoption in comparison with its regional and international friends. Timely coverage interventions can speed up robotic adoption in manufacturing and warehousing. Special focus ought to be on warehouse automation the place we’ve got seen a rise in buyer traction.
Interventions are required on a number of fronts – boosting demand, accelerating expertise growth and constructing a conducive ecosystem. Reduction of customs obligation/IGST and offering tax breaks/incentives to robotics adopters can increase demand. For accelerating expertise and R&D, establishing of robotics centres of excellence/incubation centres, continued analysis grants for robotics R&D and continuation of earnings tax deduction would be the key drivers. This will increase the boldness of technology-driven industry gamers and strengthen the federal government’s Make in India for Global & Atmanirbhar Bharat imaginative and prescient, moreover making a exceptional contribution to employment technology and can make Indian industry extra environment friendly and surpass the worldwide customary.