Home / Knowledge / News / FICCI President seeks investment-led budget
FICCI President seeks investment-led budget
02
Jun '09
Mr. Harsh Pati Singhania, President, FICCI, urged the Finance Minister to script a four-pronged strategy to push investment-led growth, stimulate demand through fiscal measures, launch a second green revolution and give a fillip to social sector reforms. Such a braodbased strategy, he said would pave the way for bringing back the growth trajectory to 9% and lead to financial and social inclusion.

In his pre-budget meeting with Mr. Pranab Mukherjee, Union Finance Minister, the FICCI President pointed out that the need of the hour was to beef up growth through ceaseless efforts aimed at STEPPING UP INVESTMENT.

Mr. Singhania suggested the following steps:
• Reintroduce investment allowance
• Restore the depreciation rate to 25%
• Provide100% depreciation for investments made through Energy Service Companies
• Abolish Fringe Benefit Tax
• Remove the cascading impact of DDT
• Consider lowering the corporate tax rate from 30% by a few percentage points
• Extend tax holiday benefit for Power Projects beyond 2010
• Fiscal sops to boost renewable energy development
• Raise Maximum tax bracket for personal income tax

Mr. Singhania appealed to the Finance Minister to give a boost to AGRICULTURE & AGRI BUSINESS by:
• Giving infrastructure status for the cold chain projects which are the essential backbone of a second green revolution.
• Offering weighted deduction of 150% for investments in agri infrastructure, agri R&D and extension services.
• Shifting the current policy of categorizing agri infrastructure investments such as cold chains from 'indirect category' to the 'direct category' of priority lending by banks.

For SOCIAL SECTOR development, the FICCI President offered three critical suggestions:

i) HEALTH:

Target private sector investments in healthcare, healthcare industry be granted infrastructure status.

ii) EDUCATION:

a. Introduce a school voucher for children of BPL families who are in the primary and secondary school age group. This voucher of a specified amount can be encashed by them against fee in a school of their choice. This will improve our government school through competition and encourage creation of thousands of recognized schools by charitable trusts and socially minded entrepreneurs.

b. Announce setting up of an Education Promotion Finance Company along the lines of HDFC to provide educational loans at affordable rates. The Education Promotion Finance Company should offer long term education loans which can then be deducted from the borrower's salary when employed subsequently.

iii) HOUSING:

a. Restore with tax holidays for undertaking low cost housing projects.

b. Exempt low cost housing industry from service tax.

On the EXPORT front, Mr. Singhania called for the following steps:
• Continue of the tax holidays for 100per cent EOUs, Undertakings in FTZs, Industrial Development Parks and extended beyond 2010


Must ReadView All

Textiles | On 26th Jun 2017

US initiates probe into PSF imported from 5 nations

The department of commerce of the US has initiated investigations for ...

Textiles | On 26th Jun 2017

USTR announces AGOA review for Rwanda, Tanzania & Uganda

The office of the US trade representative (USTR) has announced the...

Textiles | On 26th Jun 2017

Braskem invests in polypropylene production facility in US

The Board of Directors of Braskem, one of the largest producer of...

Interviews View All

Marazban F Velati
Sutlej Textiles & Industries limited

No training can be effective till the candidate believes in it.

Rajiv Sirohi
Shara

‘Portugal is taking away a major share of the mill made sector.’

Dinaz Madhukar
DLF Emporio and DLF Promenade

‘Each event and promotion is planned out keeping in mind the business of...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
July 2017

July 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search