Muralishankar Sambasivam, Association of Indian Forging Industry – Budget 2016-17

Mr. Muralishankar Sambasivam, Vice President, Association of Indian Forging Industry (AIFI)

“Given the global economic slowdown and the current financial conditions, Mr. Arun Jaitley has presented a budget with long term perspective.

·         Huge outlay for Agriculture and rural sector will definitely benefit farmers and kick start the rural economy.

·         The higher allocation for roadways and highways will increase the automobile production thereby helping the forging industry.

·         Developing new ports and reviving the existing airports will give a boost to the exporters.

·         From point of view of manufacturing, the industry welcomes the rationalization of various taxes.

·         Especially for the industries who have multi location, the decision to bring Excise under one Umbrella for all locations is a welcome move and it will reduce lot of hassles.

·         For exporters, the duty drawback being extended to more product is a welcome move.

·         The Taxation of 10% towards the dividend for more than 10 lakhs is going to hurt a lot of entrepreneurs.

·         The Forging industry has given representation to Government to include this sector also in the Technology Up gradation Fund (TUF) and we are disappointed that it has not been done.

To sum it up, there is no major adversity in this Budget for the forging industry but the specific concerns of the industry need to be addressed by suitable policies in the near future.”

 

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