What are the five things you want to see in this Budget
On behalf of the automobile industry, SIAM (Society of Indian Automobile Manufacturers) and other trade bodies have made representations to the government for the Budget. I am sure the government will give due consideration to the various aspects and ensure the automotive sector continues a healthy growth rate and India continues to be seen as a lucrative investment destination for automobile manufacturers.
We’d like to see consistency in policies across the board. The excise duty should be brought down to 16% for all passenger cars and utility vehicles to create a level-playing field and encourage exports.
We would urge the government to bring custom duties to the Asean 8% level. This would help create a free-market environment faster to become a world-class economy.
Investment is very important for the development and progress of an economy and we would like to see more incentives for infrastructure-related activities as well as a drop in corporate taxes to encourage further investment.
What are the five things you’d like to see dropped in this Budget?
It’s a matter of concern to the automotive industry that there is differential duty across vehicles. We hope and wish the government will reduce the excise duty from 24% to 16% on all passenger cars and utility vehicles. This will allow all the players to grow and avoid market distortion. We’d like fringe benefit tax, central sales tax and national calamity contingency duty to be eliminated in the forthcoming Budget.
At what level would you like the corporate taxes?
We would like corporate taxes to be at a level similar to other countries, worldwide.
On 28 February, what is the one thing that will make your day?
As mentioned earlier, we wish the government would reduce the excise duty from 24% to 16% on all passenger cars and utility vehicles. We would also urge the government to be consistent in framing the policies for better automotive growth. Any change in the policy should be discussed with the industry in advance, so that changes can be adopted by all without any problem. Consistent policy framework always attracts quality investment.