Union Budget 2014-15 to put India on growth trajectory: PHD Chamber

Jalandhar, July 10, 2014 :Terming the Union Budget, 2014-2015 to be forward looking, growth oriented and positive, R K Saboo, Past President, PHD Chamber of Commerce and Industry said, “Definitely, a roadmap has been laid down towards putting India back on the growth trajectory.”

The Budget is encouraging on building consumers’, investors’ and general confidence and aims at enhancing growth, creating additional employment opportunities and containing inflation with the desired focus on garnering much needed investments, both public and private, said Saboo, emphasizing that it is high time to change from policy making mode to implementation mode.

Saboo said the special emphasis on social sectors like minorities, health, girl child, women security, minorities, disabled as well as education, agriculture, rural sector, skill development, entrepreneurship encouragement schemes and job creation promises progress in coming times.

The focus on manufacturing revival, tourism, banking and finance, and foreign direct investments are inspiring and would go a long way to rejuvenate the economic growth, going forward.

Showing satisfaction and jubilation on the inclusion of Amritsar Kolkata industrial corridor in the master plan, Dalip Sharma, Director, PHD Chamber said, “A much awaited wish of the industry in the region has got fulfilled. With the development of this corridor, not only the industry here, but the region also shall get an unprecedented and much required impetus.”

Sharma welcomed the announcement of one IIM for Punjab and Agriculture Technology Upgradation Center coming up at Mohali.

The much expected enhancement of the income tax limit from Rs. 2 lacs to Rs. 2.5 lacs, enhancement of investment limit under Section 80C from Rs. 1 lac to Rs. 1.5 lacs and enhancement of rebate on investments in self owned house from Rs. 1.5 lac to Rs. 2 lac would restore consumers’ and investors’ confidence and propel growth, said Sharma.

The 10 years tax holiday for undertakings that generate and transmit power is appreciable. Investment allowance of 15% to manufacturing companies investing Rs 25 crore in plant and machinery would accelerate capital investments and propel manufacturing growth, said Ashok Khanna, Past President, PHD Chamber.

Steps undertaken to revive SEZs would help to rejuvenate the investment cycle and facilitation to manufacturing units to sell their products through retail and e-commerce would reduce the selling cost and benefit both manufacturers and consumers. 

Focus on GST implementation and discussions with state governments in this regard are encouraging. We believe, GST will streamline the tax administration, avoid harassment of the business and result in higher revenue collection both for the Centre and the States, said Vikram Sahgal, Chairman, Chandigarh Committee, PHD Chamber.

Focus on industrial infrastructure with the plan to establish 7 industrial cities in India would enhance industrialization and create employment opportunities in the economy, said R S Sachdeva, Co-Chairman, Punjab Committee, PHD Chamber. 

Focus on increasing irrigation facilities, farm markets, financial help to landless farmers and Kissan TV to provide real time information to farmers would help to increase productivity of the farm sector. 

The allocation for urban infrastructure earmarked at Rs. 50,000 crore are really appreciable and these announcements would speed up the pace and urbanization in the country and help economic growth to move fast. 

The Roadmap made for fiscal consolidation in the next 3 years is inspiring on reduced fiscal deficit at 4.1% of GDP in 2014-15, 3.6% in 2015-16 and 3% in 2016-17. Enhancement of FDI limit in insurance and defence sector will increase the capital inflows in the coming times, said Amarjit Goyal.

(SK Vyas/Jalandhar)