The industry on the whole is happy with the Budget, and a lot of our suggestions have been accepted. There are four key areas of focus in this budget - a stable tax regime, health, skill development, and sanitation. There is also high focus on job creation. Allocation of Rs 10,000 crore to the start-up fund shows the entrepreneurial spirit of the government.
The industry has been assured that retrospective taxation will be avoided though government retains the right to use it. The minister also spoke of an inverted tax structure which is a welcome step. There has been extensive focus on agriculture.
About 2,000 producer organisations, which form a strong group in rural India, will benefit from the measures. Emphasis on the development of medium and small enterprises is also significant. But the challenge lies in timely execution. The government has put out its vision for the next 3-4 years but the devil lies in the detail. The Budget was also a broad statement of intent. Apart from timely execution, how far the government can engage with the private sector will be decisive. We will have to wait for the details to come out.
Ajay S Shriram
President, Confederation of Indian Industry (CII)