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Industry Expectations


All eyes are set on Sh. Pranab Mukherjee, Finance Minister of India who is all geared up to present the Union Budget on 6th July, 2009. Revival of demand in various industries, arresting job losses and providing a continuous thrust to India's economy are some of the important factors around the scheme of things of the Finance Minister.

Sh. Mukherjee faces a daunting task of striking a perfect balance between addressing the demands of India Inc., assurances given during the just concluded General Elections and providing a strong impetus to the stagnant Indian economy in the wake of the global economic meltdown.

Latest Budget Expectations

  • - Gems and Jewellery sector looking for an additional 2 percent cut in the interest rates on the loans
  • - Oil and Gas industry expecting some relief in the form of tax holidays
  • - Abolishment of Commodity Transaction Tax (CTT)
  • - Textile and clothing industry looking forward for some tax reliefs

Vikram Singh Mehta, Chairman of Shell Group in India said:

"We need to ensure that the entire gas sector is pronounced as a declared good with four per cent tax. It would also incentivize for a creation of a national gas pipeline and to meet our plan objectives of 70,000 megawatts of power."

CII in a statement said:

".... all stimulus measures should come with a sunset clause so that they are terminated once the economy and industry are out of the woods."