Pre Budget quote – MSME, Consumer Electronics, Lifestyle Industry – VingaJoy
Mr. Lalit Arora, Co-founder of VingaJoy said, “Considering that the manufacturing sector is a significant contributor in supporting employment and economic growth, amplifying its growth has long been on the agenda of the Indian government. Budget 2022-2023 Consumer electronics manufacturers were left disappointed as there was no concession or GST rationalisation given on products. From the Union Budget 2023-2024 we expect reforms in the Budget that would accelerate growth channelised by consumer demand.
Given that hearable devices are a new rage, it is high time that hearables are also incentivized under consumer device categories. As of now, hearables don’t get augmented by any specific government encouragement policy or subsidy. Also encouraging R&D/Designing in India & Promoting new supply methods: The government can acknowledge and encourage manufacturers by providing subsidies to Completely Knocked Down (CKD) and Semi Knock Down (SKD) production. It increases the probability of getting better returns and extends companies’ footprint in mature markets.
We are also expecting additional tax benefits and lower tax rates & extending the scope of employee stock ownership plan (ESOP) taxation reforms to startups. This year the Indian economy is on the road to recovery and the Union Budget 2023-2024 will be crucial for the Consumer Electronics sector as it can facilitate the industry’s effective revival. The manufacturing giants, MSMEs, and SMEs alike are looking forward to the upcoming Budget 2022 which can effectively give a flight to their growth path”.