Industry expectations from budget in offing
All eyes are on the Finance Minister Mr Pranab Mukherjee, who will present the Indian Budget for the Financial Year 2009-2010 in the Parliament on July 06, 2009.
Will it bring cheer for the textile industry and other sectors and will the new fiscal budget help to relieve issues troubling every industry?
Captains and trade bodies from the textile and apparel sectors, expect the finance minister to pay attention towards the sector, while framing his budget.
In the interim budget, the key policy decisions announced by the finance minister were;
- To counter the negative impact on exports due to the global financial crisis, he proposed to extend the interest subvention of 2 per cent on pre and post shipment credit for certain employment oriented sectors i.e. Textiles (including handloom & handicrafts), Carpets, Leather, Gem and Jewellery, Marine products and SMEs beyond March 31, 2009 till September 30, 2009. This is expected to involve an additional financial outgo of Rs.500 crore during Financial Year 2009-10.
Now, read, what industry expects from Union Budget 2009-2010:
Demands for Industry Status to supply chain & logistics in budget: Safexpress:
Safexpress, the 'Knowledge Leader' and the 'Market Leader' in Supply Chain & Logistics has proposed to the Indian Government for providing an 'Industry Status' to Supply Chain & Logistics Sector in India.
Expects relief to export sector from Union Budget - FIEO:
Mr Sakthivel – FIEO, President said that he is looking to the Union Budget with much hope to provide competitiveness and relief to the Indian export sector.
- Measures such as higher subvention of interest, higher rates of duty drawback and DEPB, better allocations to Technology Upgradation Fund (TUFs) for the Textile Sector need to be considered urgently to resurrect the MSME Export Sector from the existing crises.
Investment-led budget - FICCI:
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.
New Govt to introduce flexible labour norms - GEA:
- GEA wishes to offer following suggestions to the new UPA Government while finalizing Budget proposals, Foreign Trade Policy and the RBI Credit Policy.
- GEA would expect the Government to reduce the transaction cost
- To exempt from Service Tax all the export related services
- GEA would like the Government to implement GST
- Introduce labour reforms with flexible labour laws to increase productivity.
' Revival of sector depends on govt support' – Cheslind textiles:
- With new Government at the Centre, it is expected that in the forthcoming Central Government's budget, the industry would get the desired support. In a recent meeting with the Minister of Textiles, Mr Dayanidhi Maran, our association has once again emphasised the need for immediate support on the following issues;
- Withdraw 5 percent export incentive offered for export of cotton
- Withdraw import duty and the central excise duty on manmade fibre including their intermediaries
- Relax the banking norms particularly for CDR