Industry Insights Unveiled: Navigating the Fiscal Landscape – Experts Weigh In on the Pre-Budget Narrative
Forecasting Fiscal Fortunes: Pre-Budget Perspectives and Insights from Industry Leaders
Sectoral Wishlist’s for Budget 2024-25: What Industries Hope to See
Mr. Sanjoy Bhattacharya, Director of Sales & Marketing, IT Business, ViewSonic India “As we eagerly anticipate the unveiling of the Union Budget for 2024, we applaud the government’s ongoing commitment to the “Make in India” initiative, fostering the growth of indigenous manufacturing capabilities. We hope the forthcoming budget will further strengthen this program, providing incentives and support for the domestic production of high-quality electronics, including monitors. In alignment with the government’s focus on Production-Linked Incentive (PLI) schemes, we anticipate continued encouragement for the electronics sector. Additionally, third-party manufacturers should receive incentives and benefits through Production Linked Incentives (PLI). Enhancements to existing schemes or the introduction of new ones specific to display technologies can significantly boost local manufacturing and make India a global hub for monitor production. To foster innovation and R&D in the electronics industry, we look forward to policies that incentivize technology advancements, product design, and sustainable practices. Support in these areas will contribute to the development of cutting-edge technologies meeting the global standards.”
He further adds, “A rationalized customs and import duty structure would play a crucial role in making raw materials and components more accessible and affordable to the companies, boosting the economy and new innovation. A suggestion would be to put anti-dumping duties on refurbished products imported from China to ensure fair market competition. Furthermore, the government must establish comprehensive rules and regulations to regulate the domestic sales of refurbished products as well effectively.”
Mrs. Rajita Kulkarni, President, Sri Sri University “The education sector received a substantial boost in the last budget, marked by the highest-ever allocation. Expectations for this year include additional momentum with measures to address skill development, increase employment, and promote entrepreneurship. To tackle challenges like skill mismatch, the government is urged to maintain its focus on youth education through increased vocational training institutes, technical and IT skill development, and enhanced analytical skills. This investment is envisioned to lead to increased employment, reduced income disparity, and overall economic growth. Future-oriented education, coupled with strategic collaborative efforts from industry and academia is essential for maximizing the impact of budget allocations.
In alignment with the rising trend of startups, the government should prioritize developing entrepreneurial skills among students. Fostering an entrepreneurial spirit envisions a future where students become job creators, contributing to economic growth. While the Start-up India and many other flagship programs were introduced, further efforts are needed, and educational institutes should be supported with budgetary allocations for their incubation and innovation centres. Support for design labs/maker spaces at educational institutes with cutting-edge facilities will facilitate deeper exploration and innovation.
The previous budget emphasized women-centric policies, including Free Skill Development, Beti Bachao Beti Padhao, and Digital Skilling Initiatives – there is optimism for sustained progress. A revamp of agricultural education is crucial for attracting talent, emphasizing the need for knowledge, technical skills, and supportive policies. As outlined in NEP 2020, maintaining high standards in agricultural education ensures graduates are well-equipped for national and international challenges. Additionally, a forward-thinking curriculum for integrative medicine is hoped for in the upcoming revisions.
The Union Budget 2024 is eagerly awaited as a potential catalyst propelling India’s education sector to global leadership.”
Sanjiv Kanwar, MD, Yara South Asia “We welcome the direction and scaling up of support for the schemes for the farmers, especially across credit and insurance, as well as for the agriculture accelerator fund. This will be positive for the agriculture and farm sector and will spur growth. Overall, the sustained focus of the government on ease of doing business for the industry is welcome. While we understand this is an interim budget, there is an opportunity to enhance sustainability of agriculture sector in India through policies that encourage greater use of solutions such as bio-stimulants, as well as enhancing nutritional sufficiency in soil health. We plan to work with stakeholders in the government and industry to build consensus on these areas, enhance choice for farmers, and simplify regulations.”
Dilip Sawhney, Managing Director, Rockwell Automation India “Indian manufacturing is poised to witness historic growth numbers over the next 3-5 years. This will be driven by proactive government policies such as sectoral PLI schemes, VGF schemes, export promotion initiatives, and various other reforms. There is optimism in air as we hope that the budget strengthens policies, sustaining the current momentum. While global macroeconomic factors are providing a strong impetus for India to emerge as a manufacturing powerhouse, the budget should effectively leverage public investments towards Industrial R&D, Clean Tech and Workforce Skilling Programs in futuristic technologies such as AI. A renewed focus on the SAMARTH Udyog Bharat 4.0 initiative is necessary. The budget should actively encourage the adoption of smart, digital, and connected manufacturing technologies across the industry value chain, enhancing the competitiveness of the Indian manufacturing and capital goods sector. Furthermore, we recommend the introduction of more PLI schemes, specifically tailored for sub-sectoral areas within the manufacturing domain. This targeted approach will boost smaller or less-focused segments of the supply chain, fostering a well-rounded and resilient manufacturing ecosystem for India’s sustainable growth, and making India integral to global value chains.”
Mr Devashish Singh is the co-founder and CEO of MrMed “As India eagerly awaits the annual budget, the digital startup community is hopeful for policy measures that will propel innovation, alleviate regulatory challenges, and position the country as a digital economy leader. The tech industry anticipates a comprehensive boost to consumer spending to attract investments, considering the impact of the high US Fed Rate. Crucial decisions on including automobile fuel in the GST framework are expected to enhance the logistics sector, enabling startups to offer competitive prices. Employers express optimism for potential income tax cap increases, aiming to reduce tax liabilities and boost take-home salaries. The government’s investment in technology is deemed vital, with a call to prioritize the service sector and mandate departments to procure a percentage of goods and services from startups, establishing a technology-enabled startup “quota.” This approach, coupled with effective implementation of initiatives like Ayushman Bharat Health Account at the grassroots level, could not only foster transparency but also provide a significant boost to India’s startup ecosystem. “
Srirang Srikantha, Founder & CEO, Yethi Consulting “The digital-first approach by the Govt is a remarkable step in ensuring a quicker resolution and service delivery of public services and initiatives. Aadhar and UPI services are a great testament to this. Now it’s time to take a step further and bring citizen-centric services into the ambit of digital public infrastructure (DPI). We recommend a comprehensive digital strategy that ensures robustness, application reliability and accountability around the build, test, validation and uptime of the applications across the entire digital public infrastructure (DPI).”
Neha Bagaria – Founder & CEO, HerKey (formerly JobsForHer) “As India gears up for the annual budget, I advocate for a targeted strategy to upskill women returnees in future-ready skills. A joint effort by the government and corporate India can pave the way for incentives and tax breaks for companies investing in the training of these women. Aligning with the evolving landscape of future skills is essential for fostering a resilient and diverse workforce. Let this budget signify a strategic commitment to inclusive growth, where the development of these skills becomes a cornerstone for a dynamic job market, creating opportunities for women on a career break.”
Meghna Krishna, CRO, Videoverse “We are optimistic about India’s 2024 budget. We anticipate progressive policies that further encourage innovation and investment in the AI and tech sectors. The budget should ideally offer incentives for digital infrastructure development and support for startups, fostering a more robust ecosystem for AI SaaS companies. Additionally, we look forward to initiatives that address skill development in emerging technologies, enhancing India’s talent pool. These steps will not only boost our growth prospects but also contribute significantly to India’s position as a global tech leader. With the government of India’s initiatives like the National Programme on Artificial Intelligence, and the soon-to-be-launched AI Mission which aims to establish the computing powers of AI, and general mass AI awareness campaigns like ‘AI for All’, we expect government’s heavy investment in AI. Allowing advanced R&D, and applied AI development & innovation in the nation itself, making India advance towards becoming the global Hub for AI.”
Mr. Manish Mimani, who is the Founder & CEO at Protectt.ai “As India anticipates the Union Budget FY 2024-2025, The Digital landscape will continue to witness transformative measures which will be a major boost for moving Nation towards the world’s 3rd largest economy. The expectation of digital economy looks forward to polices that will assist to fast forward digital boom while focussing on cyber security. The forthcoming budget holds the key to fortifying India’s digital infrastructure including mobile app payment ecosystem, identity protection, fraud reduction and overall security – critical components in its ambitious journey to become a global technology hub.
As the nation stands at the forefront of technological advancement, the significance of cybersecurity cannot be overstated to ensure the safeguarding of sensitive information and bolstering user trust. We expect the budget to strengthen these aspects, enhancing cybersecurity measures and promote India’s Indigenous Cybersecurity Technology and Tech Startups. This will not only align with Make in India Vision, but also underline the importance of nurturing and investing in homegrown talents.”
Manas Arora, Co-founder & CFO , Alt Mobility “As we eagerly anticipate the upcoming budget, we hope for a robust extension and fortification of support towards the FAME II scheme. Sustaining this initiative is pivotal for nurturing the flourishing Electric Vehicle ecosystem. The impetus on EV infrastructure growth, coupled with steadfast financial incentives, promises to catapult the expansion. For entities like ours, the budget is not merely financial; it’s a visionary blueprint shaping future strategies. In the insurance domain, our advocacy extends to a dedicated tax exemption covering a comprehensive range. Within the EV sector, the budget emerges as a potential catalyst for transformative change, ushering in a new era of sustainable mobility.”
Yeshasvini Ramaswamy, Serial Entrepreneur & CEO of Great Place To Work®, India “I find myself eagerly anticipating the fiscal roadmap that will shape our nation’s trajectory. The upcoming Union budget may be interim, yet its significance is paramount in guiding our economic future. With the recent surge in India’s GDP by 7.6% in Q3 of 2023 and an impressive 7.8% in Q1 of FY24, our nation’s economic prowess stands tall on the global stage.
In the realm of workplace culture and HR, some of our expectations for the upcoming budget are obvious. The HR sector seeks simplification of labor laws, refinement of Provident Fund (PF) and Employee State Insurance (ESI) schemes, and enhanced tax incentives. The complexity of compliance needs a pragmatic approach to look at things in a more simpler way, fostering talent development remains crucial and thereby calls for stronger incentives, and support for startups through inclusive and flexible fiscal incentives remains paramount.
One of the key pillars of our expectations lies in enhanced tax incentives. India has actively embraced reforms in its direct tax policy, aiming to boost efficiency and transparency. While notable changes have been introduced, our tax policy remains intricate. As we approach the interim Budget, we look forward to potential announcements such as reduced corporate tax rates for new manufacturing ventures, export incentives, and support for research and development. These measures will undoubtedly contribute to creating a more investor-friendly environment and accelerate job creation.
The interim Budget for the fiscal year 2024-25 promises to steer our nation toward a future marked by simplicity, inclusivity, innovation, and economic empowerment. For me personally, I will look forward to more protection, benefits for women employees, and ease of legislation to promote women entrepreneurs, especially in the semi-urban and rural areas of India, with a specific call out to the technology sector. As a thought leader in Workplace culture, I believe that these measures will not only enhance diversity and inclusion but also contribute significantly to the socio-economic development of our nation.”
Suresh Rajagopalan, CEO, Wibmo-A PayU company
As we gear up for the budget season, my attention gravitates towards the Unified Payments Interface (UPI), a cornerstone of India’s digital payments landscape.
The statistics paint a compelling picture of UPI’s significance and potential.
– UPI accounts for over 50% of all payments in the nation. In October 2023, 11 billion transactions were completed via UPI, totaling ₹17.16 lakh crore.
– Daily UPI transactions in India have surpassed 350 million, with projections indicating they will reach 400 million in 2024.
– Small and medium enterprises (SMEs), accounting for 40% of UPI users, are pivotal drivers of economic growth.
– The integration of UPI on credit marks a significant stride towards fostering a mutually beneficial ecosystem for all participants leveraging UPI. This innovation promises transformative changes, revolutionizing the credit landscape and enhancing financial inclusivity.
– The zero MDR policy poses challenges, particularly for payment aggregators (PAs), as it eliminates direct monetary benefits. Hence, there’s a pressing need for attention and solutions in the upcoming budget to address these concerns.
– Additionally, the expansion of UPI for international and cross-border transactions warrants further focus and development to unlock its full potential on a global scale.
– Improving the success rate of UPI transactions could be another step to boosting the credibility of UPI transactions in the country.
– For India to become less cash society, the government may want to implement transformative measures like giving tax benefits to small merchants accepting digital payments using UPI rails.
The forthcoming budget presents a crucial opportunity to address these key areas and ensure the continued growth and accessibility of UPI-driven financial solutions.
Mr. Nilesh Tribhuvann, Founder & Managing Partner, White & Brief, Advocates & Solicitors “Ahead of the Interim Budget for 2024-25, we urge the Government to strategically prioritize bolstering digital infrastructure and cybersecurity measures. With the alarming rise in cyber threats and the misuse of AI, particularly in the creation of deepfakes targeting celebrities, there is a pressing need for stringent legal frameworks. It is crucial that new-age technologies, such as AI, are harnessed for positive advancements, and we hope the government will introduce legislation to combat the challenges posed by deepfakes and misinformation. Balancing privacy, protection, and embracing emerging technologies like AI will be pivotal for our nation’s progress in the digital era.”
Mr. Prateek Bansal, Partner, Taxation & Regulatory, White & Brief Advocates & Solicitors “The interim budget typically encompasses projections for expenditure, revenue, fiscal deficit, financial performance, etc., the comprehensive Budget would be presented post formation of new Government. While it is unlikely that any substantial policy changes would be brought in through interim budget, the middle class / salaried people may expect increase in the basic exemption limit to Rs. 3.5 lakhs, thereby reducing the tax burden on individuals with lower incomes. Accordingly, the subsequent tax slabs may be expected to be revised with new thresholds.”
Vandana S Ahuja, Organisational HR Adviser & Executive Coach (ICF), Executive Director at Metamorph Dynamics Consulting “The HR sector’s pre-budget expectations from the Government for 2024 revolve around policies that reduce compliance complexity, foster talent development, and support startups through more inclusive and flexible fiscal incentives. These changes are crucial for creating a more dynamic and responsive HR landscape in India’s rapidly evolving economic environment. Additionally, it is also expected of the governing body to take proactive measures to encourage women to re-enter or remain in the workforce. Introducing tax incentives for employee training programs to promote skill development and upskilling and taking initiatives supporting employee wellness and mental health are two other areas that bear consideration. The industry also looks forward to policies promoting diversity and inclusion in the workplace and strategies to encourage innovation in HR practices. The HR industry also anticipates budgetary support for strategic talent development initiatives, including Executive Coaching, to groom high-potential employees and cultivate leadership skills within the organization. Addressing these expectations is crucial for fostering a conducive and progressive work environment, contributing to overall economic growth.”
Mr. Ravjot Singh Arora, Co-Founder, Medulance Healthcare “We, as an advocate of healthcare resilience, look forward to the upcoming budget and are interested in any possible influence on drug prices starting on February 1, by Finance Minister Sitharaman. We expect the government to prioritize strategic investments to lessen the financial burden of medical expenses, given the critical role that affordable healthcare plays. A significant reduction in the GST structure for medications is one of the main expectations. At the same time, we suggest exempting consumers from GST on emergency services, ensuring immediate medical attention remains accessible without additional financial burdens. We suggest switching from the current rate to a more reasonable one to guarantee affordability and accessibility for every citizen. This budget presents the Finance Minister with a critical chance to positively impact drug prices, demonstrating a commitment to the country’s well-being.”
“We pay 28 percent GST on purchasing ambulances, attention should be paid to making it cheaper in the new budget. Under a scheme during Covid, GST was reduced to 12 percent, but it was only for 3 months, after which it was increased again. The GST we are paying is our loss. Reducing GST on all facilities like hospital, medicine, telemedicine, AI healthcare can benefit many people. After treatment in India, attention should also be paid to good post treatment facilities. At the same time, there is no connectivity with hospitals in many places in India, this should also be taken into consideration. The government should do something such that there is a doctor from every village, there is a need to do some work in this direction, so that health facilities are available in every village.”
Mr. Prateek Bansal, Partner, Taxation & Regulatory, White & Brief Advocates & Solicitors “Anticipating the upcoming interim Union Budget, there are expectations for an increase in the tax rebate to Rs 7.5 lakh. Such an adjustment would offer much-needed relief, particularly for middle-income taxpayers. Individuals falling under this income threshold, post standard deductions, would enjoy exemption from income tax, potentially encouraging increased spending and investment, thereby contributing to economic growth. However, it is imperative for the government to not solely rely on tax rebates. Comprehensive economic policies must be concurrently addressed to ensure sustainable, long-term growth. While a higher tax rebate benefits individuals, a holistic approach, including structural reforms and sector-specific policies, is essential for overall economic stability and advancement. The government’s focus should be on striking a judicious balance between immediate relief measures and enduring economic strategies for a resilient and thriving economic landscape.”
Mr. Nilesh Tribhuvann, Founder & Managing Partner, White & Brief, Advocates & Solicitors “As we approach the Interim Budget for 2024-25, I strongly advocate for the government to accord industry status to the real estate sector, a move that could significantly boost its growth trajectory. Implementing measures such as single window clearance, tax breaks, and GST rationalization are imperative to foster a conducive environment for real estate development. Specifically focusing on affordable housing through policy impetus and fiscal support can not only revive the sector but also address the pressing housing gap. In this budget, I anticipate key reforms including infrastructure status for affordable housing, lower GST rates, and a simplified taxation structure for REITs, all of which will stimulate demand and attract crucial investments. Moreover, prioritizing transparency through debt restructuring options, improved credit availability, and digitization initiatives will fortify the sector’s resilience in the post-pandemic era.”
Mr. Pranav Bajaj, Co-Founder, Medulance Healthcare “As advocates for advancing healthcare resilience, Medulance Healthcare eagerly anticipates the upcoming budget as a pivotal opportunity to fortify India’s emergency services. Recognizing the indispensable role of ambulances and the paramedic sector, we urge the government to prioritize strategic investments in these areas to improve response times and overall emergency medical care efficacy. A key expectation is the revision of the GST structure for ambulance procurement. Currently burdened with a 28% GST, we propose a significant reduction to 0%. This move not only alleviates financial constraints but also incentivizes the nationwide enhancement of emergency fleets, contributing to faster and more effective emergency response. We commend the government’s progressive stance in exempting consumers from GST on emergency services, ensuring immediate medical attention remains accessible without additional financial burdens. We hope this exemption continues, affirming the government’s dedication to providing accessible emergency healthcare for all. Medulance Healthcare views this budget not just as a fiscal adjustment but as an investment in the health and safety of our citizens. We look forward to a budget that not only acknowledges the critical role of emergency services but actively contributes to their enhancement, reflecting a commitment to the well-being of the nation.”
Mrs. Viranica Manchu, Founder & Director of New York Academy “As we anticipate the upcoming budget, finding a delicate balance between in-school and after-school learning becomes crucial, leveraging the benefits of technology. Our vision is for education to be synonymous with ‘Fun and Learn together,’ characterized by increased technology involvement to make learning more engaging and dynamic.
The primary focus should be on transitioning learning pedagogy from theoretical concepts to practical applications. Allowing students to engage in real-life projects throughout their courses fosters independence and the development of practical skills.
Looking ahead, our commitment is to ensure that the learning experience remains meaningful and enriching. It is imperative to nurture, challenge, and empower all students for success through transformative initiatives. The future of Indian education will be defined by innovation, inclusivity, and a dedication to preparing students to face the challenges and opportunities that lie ahead. We expect that the forthcoming budget will allocate significant public investment in education, supporting the growth of young India”.
Kamaljeet Rastogi, CEO, Manipal Business Solutions “In the intricate tapestry of economic management, fiscal and monetary policies weave a crucial fabric. Governments employ fiscal measures, manipulating spending and taxation, while central banks wield monetary tools to steer the economy. The dichotomy of direct and indirect taxes adds nuances to revenue collection, impacting individuals and businesses. Inflation, a key economic barometer, can erode purchasing power, necessitating a delicate balance in policy formulation. Government fiscal health is encapsulated in deficit or surplus, mirroring the interplay of revenues and expenditures. The real estate realm anticipates a surge in 2024, yet the RBI’s static repo rate hints at stable inte…”
Govind S, Co-founder & COO, Ecofy “Extending the successful Fame 2 subsidy into Fame 3 is crucial for consolidating the electric vehicle industry. Last year the Govt proposed INR 180 crore of support for charging infrastructure for creating public charging infrastructure and this number should be increased.”
Shafaat Hussain, Director Finance & Head of Operations, Pitney Bowes India “To be a global logistics leader, India must proactively foster an enabling ecosystem, a goal that should be prominently addressed in the upcoming 2024 budget. The roadmap to this ambitious plan involves a dual-pronged strategy.
Firstly, the focus is on leveraging India’s technological prowess to digitize logistics through cutting-edge technologies such as AI, blockchain, machine learning, and big data. This approach, particularly beneficial to SMEs, seamlessly aligns with India’s overarching aspiration to achieve a USD 5 trillion economy. Central to this transformation is the strong support for companies engaged in integrated supply chain facilities, the development of green last-mile delivery networks, and the implementation of AI-powered Supply Chain Management solutions. This strategic emphasis not only enhances operational efficiency but also positions India as a global leader in logistics and supply chain excellence.
Secondly, the strategy involves fueling growth by providing financial incentives and making substantial infrastructure investments. This aims at fostering efficiency, resource optimization, and sustainability—essential components for reducing overall logistics costs and catalyzing local economic growth. As we navigate the 2024 budget, a primary focus should be on fortifying global manufacturing, with an emphasis on financial incentives and infrastructure investments. This approach seamlessly aligns with India’s vision to emerge as a central hub for manufacturing. Crucial budgetary strategies, including Production-Linked Incentive schemes and targeted infrastructure investments, are vital in curbing domestic logistics costs. Proactive measures are indispensable to create an enabling ecosystem for both logistics and manufacturing, ensuring a coherent and synchronized approach to propel India to new heights in these critical sectors.”
Pradeepa Kuppusubramanian, Head Credit Research, Acuity Knowledge Partners.
Interim Budget 2024: Fiscal consolidation and capital investment to remain priority
The interim budget would focus on fiscal consolidation while pursuing capex led economic growth.
The government will likely achieve its fiscal deficit to GDP target of 5.9% for FY24, given robust growth in direct taxes. The medium-term fiscal consolidation glide path will be maintained, with fiscal deficit to GDP target of 5.2%-5.5% for FY25 (FY26 of 4.5%).
Government capex has supported investment growth over the past few years (22% CAGR between FY18-FY24); however, the capex growth could be relatively low this year to support growing subsidy bill, meet fiscal consolidation target and perhaps meet some populist poll promises (higher outlay towards MGNREGA and food subsidy). The key beneficiary of this budget could be Railways, Power, Defense and Manufacturing sector (expansion and/or increment for Production Linked Incentives for certain products).
Government will likely target capex of at least 3.3% of GDP in FY25 (vs. FY24 target of 3.3%). Budget allocation for railways could increase 15%-25% to support new freight corridors, modernizing fleet and improving safety systems. Energy sector could witness higher allocation towards sustainable sources of power generation.
P.C. Kiran Kumar, CEO at Gathr Data Inc. “Digital India has witnessed significant progress, with different agencies and government bodies accumulating vast amounts of data. For the government to leverage the power of AI, the availability of clean, correlated data is of the utmost importance. Once the data is cleansed, fused, and correlated, the data can be a game-changer by providing insights to the government to run its various development programmes effectively, improve inter-departmental synergies, expedite planning and decision-making, and more.
Several emerging economies are already adopting this approach, drawing on technology from Indian talent and products. India has the technology, know-how, and competency to do it through innovative startups with many novel and niche products well-positioned to lead in this domain. Urging the government to invest in establishing data hubs and to give opportunities to innovative AI companies to make an impact through AI-driven growth, governance, development, and compliance.”
Mr. Sanjay Borkar, CEO & Co Founder, FarmERP “The Agriculture Accelerator Fund in the previous union budget provided significant support to AgTech startups. In anticipation of the upcoming budget, we are hopeful for policies that not only streamline regulatory processes but also encourage cross-border collaborations, fostering a global, collaborative approach. The key to advancing our agricultural sector lies in government initiatives that incentivize cutting-edge technologies, encompassing sustainable and precision farming, AI-driven analytics, and smart irrigation systems. By nurturing innovation, sustainability, and digitalization, the budget has the potential to propel agriculture into a future marked by resilience and efficiency.
The Union Budget has the opportunity to address Food Security, emphasizing an affordable and easily accessible food supply, aligning with the World Health Organization’s Zero Hunger initiative. A favourable budget should allocate resources for agricultural technology R&D, focusing on solutions to address evolving agribusiness needs. Incentives for organic farming and a comprehensive approach to ensuring food supply accessibility and affordability are vital for a sustainable global food future. regenerative agriculture practices and climate tech adoption interventions require additional support from the coming union budget. The Union Budget stands as a pivotal moment to sow the seeds of agricultural prosperity, cultivating a future where innovation and sustainability flourish.”
Mr. Dhananjaya Bharadwaj – Co-founder & CEO at ParkMate “As pioneers in AI-powered parking solutions, ParkMate anticipates robust backing from the upcoming Union Budget 2024-25. Recognizing parking challenges as a hurdle to India’s economic progress, we advocate for comprehensive support to auto-tech startups, real estate entities, and OEMs through strategic incentives. Collaborative efforts among stakeholders in parking management can transform Indian roads into smart and safe spaces. As the role of artificial intelligence in boosting the auto sector is paramount, we also call for budgetary backing for AI-focused upskilling programs. Building on past successes like the establishment of three AI Centers of Excellence, there’s a pressing need for upskilling initiatives to meet industry demands, aligning with the government’s vision of ‘Make AI in India’ and ‘Make AI Work for India.’ In addition, facilitating startup growth through streamlined regulations, simplified funding processes, and enhanced access to investors can catalyze job creation, GDP growth, and overall sector dynamism. Moreover, we hope for sustained support in streamlining compliance, further improving the ease, cost, and speed of doing business in the auto sector.”
Piyush Kulshreshtha, Founder & CEO, Khul Ke said that “The Government of India has made commendable strides in nurturing startups and promoting flagship programs like Atmanirbhar Bharat in recent years. As we approach a pivotal juncture, it’s crucial for the government to not just create encouraging policies but also focus on fostering the adoption of innovations emerging from Startup India and Atmanirbhar Bharat. The efforts of Indian youth need to be recognized as they have presented an enormous line of technology solutions for India. Our platform, centered around social networking, facilitates everything from online meetings to live podcast streaming and short video creation, reflecting the diverse possibilities spurred by these initiatives. We strongly advocate for the allocation of an adoption budget for Indian Homegrown platforms dedicated to Atmanirbhar Bharat and Startup India initiatives in the upcoming interim budget on all 3 levels of executive, legislature, & Judiciary.”
Mukesh Batra, Founder & Chairman of Dr Batra’s® Group of Companies said that “Embracing a vision for a healthier India, we must recognize the pivotal role of healthcare in our nation’s prosperity. The Economic Survey 2023 underscores the need for a substantial increase in healthcare expenditure, projecting a rise from 2.1% to over 2.5% of GDP by 2025. As we chart the course for Budget FY24, I advocate a holistic approach that transcends traditional boundaries. In the journey towards a robust and inclusive healthcare system, alternative healthcare sectors play a crucial role. Alternative medicine, with its holistic approach, emphasizes preventive healthcare. It targets holistic well-being, stresses prevention through lifestyle changes, adopts an individualized approach, and employs stress reduction, natural therapies, and healthy habit promotion. Patient empowerment encourages proactive well-being.
We need a big change to address the specific challenges healthcare sector face. More money in the budget could make healthcare more accessible, not just in big cities but also in smaller ones. Furthermore, our perspective needs to be broaden to encompass healthcare insurance, medical supplies, telemedicine, and medical tourism. By strategically allocating resources to these sectors, we can fortify the foundations of a healthier and economically vibrant nation. In the pursuit of a thriving India, let Budget FY24 be a catalyst for positive change in skilling, education, and health, laying the groundwork for a future where healthcare is not just a service but a fundamental right for all.”
Dr Swagatesh Bastia, Co-Founder, Alleviate Pain Clinic said that “We anticipate the government to prioritize health in the upcoming budget, allocating substantial funds towards infrastructure, research and development is crucial for advancing non-invasive medical capabilities. Additionally, increased investment in screening initiatives and national health programs is vital for early detection and prevention of a particular disease. To prioritize the non-invasive treatments it is necessary to make insurance and healthcare schemes accessible to all, ensuring universal healthcare coverage.”
Mr. Anshuman Das, CEO and Co-founder, Careernet said that “In the upcoming interim budget, we anticipate a strategic yet low-key approach to navigate the path to the election. The government will likely prioritise essential spending with minimal policy disruptions. The imperative lies in making the Indian tax system more investor-friendly, reducing corporate tax rates for new manufacturing ventures, and promoting exports and R&D through tax incentives.
It’s noteworthy that Bangalore (BLR) dominates 35% of India’s IT industry. The government must enhance the infrastructure in Bangalore and similar IT hubs; otherwise, the entire IT industry in India may face challenges. It should also look to promote diversity in the IT sector, incentivising companies with a substantial female workforce and considering special benefits.
Additionally, incentives for companies hiring and training freshers are vital to prevent wage inflation and maintain India’s competitiveness. Rather than direct government spending on IT skilling, redirecting the budget through companies for more meaningful upskilling is recommended. Providing employees with direct tax breaks for upskilling and training expenses is crucial for continuous self-upgradation of the workforce.
Our expectations include increased allocations for MSMEs, agriculture, education, healthcare, housing, and urban development. Strengthening manufacturing and higher infrastructure spending are essential to address growth challenges. Industry-friendly labour policies, coupled with restricting interference from labour inspectors could be crucial government measures.”
Girish Rowjee, Co-founder and CEO, greytHR “As India aims to become a $5 trillion economy, the 2024 budget is a pivotal opportunity to invest in our most significant asset ‒ our people. At greytHR, we are optimistic about the government’s commitment to human capital development, fostering an empowered workplace, and nurturing a technology-driven HR landscape. This budget is a commitment to empower the people of India, equipping them with tools and training for the digital age. Additionally, we must extend accessible HR solutions to Micro, Small, and Medium Enterprises (MSMEs), the backbone of India’s economy, through measures such as tax breaks, dedicated funds, and initiatives for skill development. Together, let’s build a future where Indian businesses can survive and thrive, while our workforce flourishes. Let’s help create a workforce that’s poised for the future. By strategically emphasizing innovation, sustainability, and inclusive growth, we believe this budget will serve as a catalyst for profound change, guiding our nation toward a more resilient future.”
Mr. Eswara Rao Nandam, Founding President, Polymatech Electronics. “Bharat’s dependence on semiconductors became abundantly clear during the recent pandemic.
“Specialising in compound semiconductor technologies, Polymatech plays a key role within this essential industry sector that is at the heart of our digital world from handsets to data centers, mobility and net-zero applications, healthcare, robotics and AI.”
Polymatech remains committed to playing a key role in India’s semiconductor ecosystem and is optimistic about the transformative impact that supportive budgetary measures can have on the industry’s growth. We look forward to collaborating with the government to create a robust and competitive semiconductor ecosystem that aligns with our national aspirations.”
Mr. Mandeep Arora, Managing director & co-founder, UBON “Hearables are becoming more and more popular in today’s world, so it’s critical to provide incentives for them in consumer gadget categories. At the moment, there are no government incentives or subsidies specifically for hearables. The government should encourage firms to produce Completely Knocked Down (CKD) and Semi Knocked Down (SKD) goods by providing subsidies, while also highlighting the need of encouraging research and development (R&D) and designing in India and new supply systems. This tactic increases the possibility of higher returns while expanding a company’s sphere of influence in developed regions.
Tax benefits, reduced tax rates, and an extension of the employee stock ownership plan (ESOP) tax reforms for startups are further anticipated developments. Considering the current state of the Indian economy’s recovery, the Union Budget 2024–25 would be crucial to the Consumer Electronics industry, acting as a possible impetus for its successful rebirth. Large manufacturing companies and micro, small, and medium-sized businesses (MSMEs and SMEs) are looking forward to the upcoming budget because they believe it will help them continue on their current growth trajectory.”
Mr. Lalit Arora, Co-founder, UBON “To encourage growth in the durable goods industry, the government has recently enacted a number of policies, such as lowering corporation tax rates and introducing Production Linked Incentive (PLI) programmes that target particular categories. The demand for some finished white goods is nonetheless affected despite these efforts, mostly as a result of rising GST rates. Reducing present tax rates is essential to addressing this issue and encouraging more demand. This is a calculated strategy that may lessen pricing pressures and encourage consumers to make more purchases.
Apart from modifying tax rates, there exists a chance to provide incentives for the production of durable goods that are energy-efficient and ecologically sustainable. The government may stimulate economic activity and contribute to a more sustainable and greener future by implementing policies that encourage sustainable practices within the sector. The forthcoming budget offers a venue for instituting regulations and inducements that promote the manufacturing and uptake of durable goods that are energy- and environmentally-efficient.
The government may play a key role in reviving the durables industry and guiding it towards a more sustainable and resilient future by finding a balance between tax reforms and environmental concerns.”
Mr. Kapil Bhatia, CEO & Founder, UNIREC “As a proud member of the sustainable fashion community, we look forward to seeing a strong commitment to promoting ethical production and eco-friendly techniques in the future union budget. In order to continue our transition to a more environmentally conscious and socially conscious fashion industry, we wish to see greater encouragement and incentives for the expansion of sustainable firms. Furthermore, we anticipate policies that support environmentally friendly retail and online sales methods, building a whole ecosystem that amplifies the benefits of our efforts to the consumer. A forward-looking budget that recognises the critical role of sustainable MSMEs, along with supportive policies for retail and e-commerce, will definitely boost our sector to new heights, promoting innovation, job creation, and a good influence on both the environment and society at large.”
Harshvardhan Lunia, founder & CEO, Lendingkart “In the face of external headwinds India has only showcase resilience and an upward growth trajectory. We expect this momentum to continue. It will be essential that funding support to credit guarantee schemes to support the MSMEs is further strengthened with assurance of consistency and continuation. This will help ensure MSMEs get easier credits. Furthermore, government should continue to expand the digital infrastructure to support deep penetration of financial services which reduces the cost of delivery of services.
Another critical aspect is ONDC (Open Network for Digital Commerce and OCEN (Open Credit Enablement Network). It shall be supported to create incentives for investment in technology and R&D. The major investments of FinTech’s happen in technology. If some budgetary allocations can be made to provide some relief to FinTech’s, it would help extend digital reach. Lending Fintech’s (especially those operating in MSME segment) borrow at high rates which in turn results in high-cost products for small businesses. If the government can provide some funding support to such digital lenders, it would help trickle down the benefit to small businesses.”
Dr. Jitin Chadha, Founder & CEO, Indian Institute of Art & Design4 “While last year’s budget rightfully emphasised green growth and sustainability, this year presents a unique opportunity to invest in our most valuable asset—human capital. Specifically, focusing on nurturing the talent and innovative spirit of the Indian youth will be instrumental in driving our digital economy forward. Despite a longstanding debate over the recommended 6% Gross Domestic Product (GDP) allocation to the public education system—a policy instituted six decades past—it is imperative to reassess these metrics in light of current needs and demands.
Moving forward, some aspects within design education require particular attention in the upcoming budget. One critical aspect is the imperative to boost the Research and Development (R&D) sector in tandem with strategic investments in infrastructure. Allocating the budget for co-funded research projects between design institutes and private companies, leveraging industry expertise, will be paramount. Providing direct grants to expand and equip design labs with cutting-edge tools and technologies will facilitate deeper exploration and innovation.
Another facet is promoting entrepreneurship in design during the course of education. Establishing design startup incubators within institutes, taking inspiration from the successful model of National Design Business Incubator (NDBI) at NID, Ahmedabad. These incubators would provide student entrepreneurs with mentorship, co-working spaces and crucial access to funding, fostering a vibrant ecosystem from the grassroots level. Allocating funds for co-created skill development programmes between design institutes and design-centric companies becomes vital. A targeted focus on high-demand areas like generative design, AI-powered design, biodesign, and data-driven design will ensure that graduates are well-equipped for relevance for a dynamic design industry.
A global perspective is essential, and the “Study in India” initiative by the Ministry of Education offers immense potential to attract international students to our world-class design institutes. The budget could play a crucial role by allocating resources to promote this programme through targeted campaigns, providing scholarships for foreign students pursuing design courses in India and promoting cultural exchange programmes centred around design thinking. This not only enriches the learning environment for students but also projects India’s design landscape onto the global stage.”
Mr. Raju Kapoor, Director, Industry & Public Affairs, FMC India. “As we enter the new year, we welcome 2024 with cautious optimism about the industry outlook emerging out of the challenges encountered by the industry in the year 2023 for the agrochemical industry. The agriculture sector during 2023 saw GVA of the sector falling to 1.8%. while the underlying key drivers for the agrochemical industry remained intact. Hence, there is a need for the sector to reboot itself.
The second half of the year 2023 witnessed significant adverse impact of destocking on the crop protection industry, globally. During 2024, weather permitting, one anticipates an upturn in the Indian crop protection industry only towards the third/fourth quarter of the year, signaling a return to normalcy in the overall market dynamics. While the area under sowing for the Rabi 2023 is largely intact for field crops, the reduction in the pulses and oil seeds area in the sowing is negative for the industry.
One should expect moderation in the ‘dumping’ of agrochemicals from China. A significant advancement on the technology front is the much expected ramp-up of use of ‘drones as a service’ for applying fertilizers and agrochemicals. It is likely to get a major boost with the introduction of the government-backed ‘Drone Didi’ scheme. Better coordination between fertilizer and agrochemical industry would help stabilize drones as a service concept, improving the efficiency and efficacy of crop protection and nutritional use efficiency.
One should expect moderation in the ‘dumping’ of agrochemicals from China. A significant advancement on the technology front is the much expected ramp-up of use of ‘drones as a service’ for applying fertilizers and agrochemicals. It is likely to get a major boost with the introduction of the government-backed ‘Drone Didi’ scheme. Better coordination between fertilizer and agrochemical industry would help stabilize drones as a service concept, improving the efficiency and efficacy of crop protection and nutritional use efficiency.
We should also expect launches of newer molecules to combat stubborn weeds such as Phalaris in wheat crops and insecticides segment, such as pink bollworms. This is expected to get a push by the declared intent of the regulatory body, the central insecticide board, to rationalize the time taken for regulatory approvals of new molecules.
The continuing growth of horticulture output would be positive for sustained demand for fungicides. While generic products may face pressure, the industry’s forward-looking approach, coupled with supportive government schemes may ensure the industry returns to a growth path.
In essence, the agriculture industry’s prospects in 2024 are characterized by its resilience, innovation, and strategic actions. As we manage inventory adjustments and adopt new technologies, the sector is positioned for a year of expansion, bolstered by strong food demand and a commitment to sustainable farming practices.”
Mr. Joydeep Mukherjee, Chief Marketing Officer, Deltatech Gaming “With the new budget, the real-money gaming industry is hopeful of regulatory shifts that foster transparency, trust, and responsible gaming for our consumers, to promote widespread adoption.
On the taxation front, the current stringent norms will certainly limit innovation and growth for the sunrise industry. We hope that real-money games will be treated at par with the entertainment industry.”
Parag Mehta, Partner, N.A. Shah Associates “GST has been instrumental in ensuring ‘One Market One Tax’. This has led to ease of doing business and giving a level playing field to small , medium and large business to grow locally and internationally.”
