Solan: Forward looking Budget, says industry

Ambika Sharma

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Solan, July 23

Industry associations termed the Union Budget as progressive. Rajiv Aggarwal, president, Baddi Barotiwala Nalagarh Industries Association, termed the Budget as revolutionary and forward-looking. The association, however, felt that the increase in the Long Term Capital Gain Tax from 10 per cent to 12.5 per cent and the Short Term Capital Gain Tax from 15 per cent to 20 per cent was a dampner for the capital markets and needed a review.

The government’s focus on infrastructure development will lead to generation of more employment and support to the industry. Employment generation will give rise to demand, which ultimately will improve the economic development of the country. — YS Guleria, General Secretary, BBNIA

The association hailed various key announcements like keeping an outlay of Rs 2 lakh crore for five schemes, which, they said, would boost employment generation and promote skilling. A proposal to allocate Rs 1.48 lakh crore for education, employment and skilling, announcement of Rs 1.52 lakh crore for agriculture and allied activities, a provision of employment-linked incentives via enrolment in the EPFO and recognition of first-time employees, including one-time incentive up to Rs 15,000 per month, were welcome steps.

“Reducing the turnover threshold from Rs 500 crore to Rs 250 crore for buyers to facilitate MSMEs to unlock the working capital has also been hailed as a positive step. The announcement of not extending duty exemption on capital machinery used for solar cell/modules, gases, glass manufacturing will boost domestic manufacturing supply,” said the investors.

They also welcomed the proposal to de-criminalise TDS defaults. “Setting up of 12 industrial parks under the National Industrial Corridor Development Programme will give impetus to investment and generate employment as well as self-employment avenues,” said Harbans Patial, president, Laghu Udyog Bharti.

“Enhancing the limit of Mudra Loan from Rs 10 lakh to Rs 20 lakh under the Tarun category will boost entrepreneurship and generate jobs,” said Patial. He added, “The Credit Guarantee Scheme for MSMEs will boost this key sector.”