Dive into the intricate tapestry of fiscal expectations and challenges as industries brace themselves for the upcoming budgetary landscape. ‘Navigating the Fiscal Frontier’ takes you on a compelling journey through the intricate web of pre-budget considerations, offering a comprehensive analysis of the dynamic factors influencing various sectors. Explore the anticipated impacts, strategic insights, and potential opportunities that lie ahead, providing a roadmap for businesses to navigate the ever-evolving economic landscape. Uncover the nuances that will shape the future of industries in the upcoming fiscal year, and gain valuable perspectives on how to thrive in an environment of change and uncertainty.
Mr. Harshvardhan Tibrewala, Director, Roha Realty.
Read more at: https://cxotoday.com/specials/navigating-the-fiscal-frontier-an-in-depth-analysis-of-anticipations-and-challenges-in-the-pre-budget-landscape-for-industries/After agriculture, realty is the second-largest sector that provides employment and contributes to over 8% of the national GDP. This year, the government in its 2024-25 Budget should focus on providing sops to the housing segment through tax breaks, fiscal support, and policy impetus.The industry is optimistic about a potential increase in the cap for the credit link subsidy scheme and the introduction of tax benefits for first-time homebuyers. These measures are considered crucial for maintaining the sector’s positive momentum Moreover, there is a need for increased allocation for infrastructure enhancement pan-India and warehousing connectivity. With the surge in e-commerce, enhanced connectivity for warehousing facilities is pivotal for streamlining the movement of goods, reducing transit times, and optimizing logistical operations. A strategic allocation towards road and rail connectivity, coupled with modernization initiatives such as dedicated freight corridors, will not only ease congestion but also enhance the overall efficiency of the supply chain. The sector is eagerly anticipating the upcoming Budget and we urge the government to introduce significant incentives for the establishment of Electric Vehicle (EV) charging stations along main roads nationwide. Recognizing the vital role EVs play in fostering a cleaner and greener future, we hope for strategic policy measures and financial support that will not only accelerate the adoption of electric vehicles but also contribute to the development of robust charging infrastructure and urban mobility.
Mr. Arun Shukla, President and Director, JK Lakshmi Cement
Read more at: https://cxotoday.com/specials/navigating-the-fiscal-frontier-an-in-depth-analysis-of-anticipations-and-challenges-in-the-pre-budget-landscape-for-industries/“Amidst robust infrastructure development, we anticipate strong cement demand, spurred by increased budgetary support for roads, railways, rural projects, and further boosted by initiatives like PMAY. I would like to draw govt’s attention to help address rising input costs through GST rationalization and easing import duties on key materials like coal and petcoke. Additionally, budgetary support for sustainable practices and manufacturing innovation is vital. These steps, alongside improved logistics and export policies, will stabilize costs and enhance our contribution to India’s sustainable infrastructure growth, marking a significant stride in the development of the cement and infrastructure sector.
We firmly believe that with these targeted measures, the cement industry can thrive and significantly contribute to India’s infrastructure development, creating new job opportunities and bolstering the nation’s economy.”
Mr. Lalit Ahuja, CEO, ANSR
Export incentives
Boosting export benefits, like the ones under section 10AA of the IT Act (which is now scrapped), can help GCCs in India grow and thrive. This will keep India a top place for global business.
The reduced tax rate of 15% currently enjoyed by newly established domestic manufacturing companies should be extended to newly formed GCCs. This aims to encourage the inception and smooth operations of these centers, fostering their growth and contributing to economic development.
Infrastructure
With the Tier 1 cities getting saturated, it will be encouraging if the budget can introduce steps to enhance the infrastructure and connectivity measures. Boosting infrastructure development in Tier 2 and Tier 3 cities like Jaipur, Ahmedabad, Kochi, and Indore, among others, is vital for furthering the growth of GCCs. While Bengaluru, NCR, Hyderabad, Pune, Chennai, and Mumbai remain prime GCC destinations, expanding infrastructure and connectivity measures in these emerging cities would open new avenues for GCC development. Incentivizing the establishment of GCC parks and hubs in these regions can diversify opportunities and foster balanced growth across the country, ensuring a more inclusive and distributed GCC landscape.
GIFT City
The IFSC units setup in the GIFT City, India offers various tax benefits like exemptions on corporate tax, tax holiday for ten years, reduced Minimum Alternative Tax (“MAT”) etc. increasing the profitability and hence growth of the business houses. Extending these tax advantages to other industries is crucial to unleash GIFT City’s complete potential as a center for GCCs and to support economic expansion.
Startup ecosystem
We anticipate the budget to prioritize incentives for the startup ecosystem, fostering innovation. We need a more favorable capital gain tax system that encourages easy access to capital. The government should also consider tax exemptions in FDI and maintain a sharp focus on start-up infrastructure development. As innovation has emerged as the primary focus area in GCC strategy, start-up collaboration gives GCCs access to newer technologies that can help further the innovation agenda of the enterprise. With GCC revenue expected to scale up to $100 billion by 2030, it is important for the government to take prudent steps to help start-ups, thus creating more fertile soil for GCCs.
Roland Landers, CEO, All India Gaming Federation
Standing at the dawn of a digital revolution, union budget is an opportunity to fuel the trajectory of India’s online gaming eco-system. Looking forward to the same; Mr. Roland Landers, CEO, All India Gaming Federation stated, “there have been significant regulatory strides in the online gaming sector, and we anticipate progressive allocations to be made towards the sector in the upcoming union budget, including towards the implementation of IT Rules for online games and the establishment of self-regulatory bodies. Additionally, we look forward to budgetary allocations aligned with the AVGC policies, in line with the recommendations of the AVGC Task Force’s report from the Ministry of Information and Broadcasting.
Given the highly positive outlook for this industry, there is much for the gaming sector to anticipate. We envision this budget to be a symphony of support, by aligning regulatory clarity with fiscal incentives and strengthening legal infrastructure to encourage growth. With the right notes, the online gaming industry can be a cornerstone of Digital India and serving as a catalyst for the governments’ vision of Amrit Kaal – a five trillion-dollar economy.
Ankur Singh, Founder & CEO, Witzeal Technologies
Union Budget 2024 stands at a crucial juncture for deciding the future of online gaming industry in India. Sharing his expectations from the Union Budget, Ankur Singh, Founder & CEO, Witzeal Technologies stated, “We eagerly await the upcoming budget, particularly with regards to finding a resolution of ongoing concerns related to taxation to create a predictable and attractive business environment.
Apart from that having an investment in programs and initiatives to nurture skilled professionals and build a robust gaming workforce will go a long way in boosting the growth prospects of the entire industry and especially startups like us. Also we urge the government to look into advancements aligned with the AVGC policies, as recommended by the Task Force, to boost the entire AVGC ecosystem.
Lastly, we encourage the government to consider incentivizing responsible gaming practices within the industry. Promoting responsible gaming technology and consumer education initiatives through tax benefits would strengthen the sector’s commitment to player safety and ethical conduct.”
Mr. Sumedh Singh Mandla, CEO, VBev
Holding an optimistic outlook for the forthcoming budget and expecting it to recognize the potential of the liquor industry, Mr. Sumedh Singh Mandla, CEO of VBev, expressed: “As we eagerly await the unveiling of the 2024 Union Budget, our optimism is not merely aspirational but grounded in the anticipation of a transformative fiscal plan that propels growth, nurtures innovation, and champions sustainability. We envision a forward-looking policy that fortifies entrepreneurship, enhances infrastructure, and creates an environment conducive to the flourishing beverage sector.
Our emphasis is on a tax policy that not only fuels industry growth but harmonizes seamlessly with responsible practices. Looking beyond borders, the budget holds the potential to strategically address international trade dynamics. Advocating for impactful Free Trade Agreements (FTAs) with other nations to unlock new opportunities for the beverage sector, elevating global competitiveness, and opening new markets for Indian beverages. A well-balanced tax structure, supportive policies, and strategic international collaborations will not only elevate our industry but also make substantial contributions to India’s economic development.
I firmly believe that a forward-looking fiscal policy can act as a catalyst for transformative change, providing the necessary momentum for businesses to flourish and pave the way for a more prosperous and luminous future.”
Mr. Rajesh Gupta, Founder & Director at Recyclekaro
“The upcoming budget holds a pivotal role in steering India towards a sustainable future by fostering the growth of battery recycling. The circular economy’s cornerstone, battery recycling, addresses mineral scarcity and reinforces our supply chains, paving the way for self-sufficiency in battery materials. While regulations like the Electronics Waste Management Rule and Batteries Management Rule have strengthened the recycling industry, persistent challenges call for solutions. To further empower this sector, streamlined recycling policies and incentives for pioneering waste management solutions are imperative.
The rapidly growing adoption of electric vehicles is a catalyst for the EV battery recycling industry. Initiatives such as FAME, PLI, and other incentives should be amplified to fuel this momentum. A tailored PLI scheme dedicated to lithium-ion battery recycling will be a game-changer, amplifying the sector’s growth while advancing India’s sustainability goals. As we approach the budget, investing in these strategic measures will not only invigorate the recycling industry but also cement India’s position as a global leader in sustainable practices.”
Abhijit Patil, Ajna Lens
We are optimistic about the Government’s support through impactful initiatives to bolster the indigenous technology sector in the upcoming Union Budget 2024. In lieu of the Prime Minister’s vision for Atmanirbhar Bharat and the $5 trillion economy dream, we believe it is imperative to provide a level playing field for the domestic players in the sector to substantially curb dependency on imports. This will also create an opportunity for Indian players to be at par with their global counterparts in terms of innovations and resource skilling.
We hope to see strategic allocations that will foster a conducive environment for research and development, incentivize homegrown technological solutions, and support businesses in rapid upscaling. The growth of the Indian technology sector will also have a substantial positive impact on employment generation – both blue and white collar, while solidifying the importance of upskilling and reskilling the workforce. A forward-looking budget will not only empower the sector but will also contribute significantly to the nation’s economic resilience.
Additional perspective (for extra engagement with the journalists):
India as a country has witnessed considerable development of technology within the country and integration of AI and VR across all genres of businesses. Thus, it is imperative for the Government to take into cognizance the importance of spreading awareness and educating the workforce on the integration and usage of the said tools, while also allocating funds to support the same. This will not only pave the way for India’s growth journey towards becoming one of the leaders in the tech space but also support the country’s economic and employment growth.
Vijender Reddy Muthyala, Co-founder and CEO of DrinkPrime
As the Union Budget 2024-25 is just around the corner, we find ourselves at a crucial juncture to champion the cause of water security like never before. Water scarcity is going to be a big challenge for India’s future, against the backdrop of burgeoning cities and exploding population. We urge increased investments in revamping water infrastructure, aging pipelines, raising public awareness about water management and developing wastewater treatment solutions. This can be done by allocating more funds to startups and NGOs actively working in the water industry, thereby assuring affordable drinking water access. This way, we can establish equitable water security nationwide and safeguard this vital resource for future generations.
Prashanth Doreswamy, President and CEO, Continental India
The industry is keenly anticipating some favorable announcements in the upcoming budget. In my opinion, there are a few crucial areas that need to be covered to maintain consistency in the industry’s progress. Focus on local manufacturing continues to be an integral part of economic contribution. In the last few years, there were substantial announcements made, starting from Make in India, PLI Scheme, National Logistics Policy, and within the vision of Aatmanirbhar Bharat semiconductor manufacturing and R&D became the key focus areas. The industry will greatly benefit from a balanced approach that promotes domestic innovation and global collaboration to enhance local manufacturing.
The cost of commodities went through fluctuations which also impacted the automotive sector. The industry is keenly awaiting an announcement on import duty relief which will have a positive impact on the raw material costs thus helping to stabilize the cost of commodities. This will in turn help in boosting growth and competitiveness in the automotive industry, especially the export market. Even with the focus on localization, there is a need for fair competition while safeguarding domestic interests. Streamlining import processes and reducing bureaucratic hurdles in India can attract foreign investments and enable the smooth flow of technology. A nuanced policy that boosts local manufacturing but does not unduly burden the segments of the automotive industry that are import-dependent is necessary.
This will further drive a better Ease of Doing Business ranking. India’s rank in the index has been improving rapidly. As a result, many top global players are setting up their manufacturing and R&D centers in the country. Considering the market, direct incentives may not be feasible at present due to the larger economic scenario. The government can introduce a comprehensive policy framework that fosters a conducive business environment and encourages R&D investments while driving sustainable innovation.
Mr. Tarun Sharma, Founder & CEO at Yodda- Eldercare.
“While we hope that the upcoming budget boasts inspiring measures for startups and healthcare infrastructure, the previous budget has overlooked a critical need for many senior citizens: Making at-home care accessible and more affordable for elders. Last year’s commitment to increasing public health spending and building nursing colleges is commendable, but these alone won’t address the immediate challenges faced by millions of aging Indians. The current taxation on at-home elder care acts as a barrier, particularly for low-income seniors. This stands in stark contrast to the tax exemption granted to similar care services. We hope that the upcoming budget addresses these challenges and also consider increasing the basic income tax exemption threshold for senior citizens while exempting at-home elder care from GST altogether or significantly reducing its rate. This would make these crucial services more affordable and accessible to a wider range of seniors. By prioritizing these actions in the coming union budget, the government can truly demonstrate its commitment to a future where all senior citizens, regardless of income, can age with dignity and receive the care they deserve.”
Credit: CXO Today