The Union Budget 2020, presented by Finance Minister Nirmala Sitharaman on Saturday, would help revive dampened consumer sentiment and put consumption back on track, leading retailers said.
Besides, government's push towards creation of a strong agriculture infrastructure, and efforts to revive local manufacturing along with micro, small and medium enterprises (MSME) sector and simplify GST, would help many small traders.
Budget 2020 would lead to creation of a new aspirational India, anchored around agriculture, health and education. This Budget seeks to strengthen grassroots of the economy with its positive push towards creation of a strong agriculture infrastructure, which will give a big push to India's rural sector," said Walmart India President and CEO Krish Iyer.
He further said: "The rate cuts in the personal income tax rates would increase disposable income in the hands of the Indian middle class which will enhance consumption through improved purchasing power. These two positive budgetary intervention together would drive a strong demand growth that drives the Indian economy in turn".
According to METRO Cash and Carry India's MD and CEO Arvind Mediratta, the Budget would revive dampened consumer sentiments, and announcements on tax incentives on incomes will put consumption back on track, he said.
Mediratta also welcomed government's move to revive local manufacturing and MSME sector.
"Tax holidays to startups will encourage existing and new entrepreneurs in doing business. The government's announcement to simplify GST from April 2020 returns will help lakhs of small traders, kiranas and restaurant owners," he said.
Retailers Association of India (RAI) CEO Kumar Rajagopalan said that it had two expectations from the Budget this year - Ease of Doing Business and a national policy for retail.
"We are pleased that Budget 2020 paves the path for both in some way. The mandate to states for adopting model laws and decriminalisation of statues are some welcome moves on those fronts. More money hands in the consumers definitely boosts consumption, however, we have to calibrate for non-allowance of deductions," he said.
While, Spykar Lifestyles CEO Sanjay Vakharia said that there are no "feel-good measures" in the Budget.
"Beside a few changes to the personal income tax rates, not much is seen impacting the demand and consumption story. The big gun announcements that the industry was expecting to stimulate the economy were missing," he said.