Jamshedpur 2nd Feb, 2021: State’s largest industrial hub at Adityapur has hailed budget. According to the industries, the Union Budget presented by the Finance Minister will not only boost the income but will also intensify the purchasing power of the citizens which in turn will bring much-awaited cash liquidity in the market.
T. V. Narendran, CEO & MD, Tata Steel, has welcomed the Union Budget 2021-22 presented in the Parliament on Monday as “a very progressive and growth-oriented budget” by Union Finance Minister Nirmala Sitharaman.
In a statement, he said: “The budget retains the government’s focussed approach on infrastructure-led economic revival. We welcome all the proposed reforms. However, the implementation of these reforms will be critical for the benefits to percolate across the economy.”
The increased Capex in the infrastructure sector, including healthcare, infrastructure, will have a qualitative impact, as it will create demand across different categories of the product including steel.
Announcements such as the National Rail Scheme, Jal Jeevan Mission, and City Gas Distribution Network will generate new employment opportunities and demand in many areas.
Mr. Narendran has said that the government has worked to balance the development of infrastructure between rural and urban areas, which will again positively impact the economy at large and, ultimately, society.
TV Narendran also stated that the exemption in duty on steel scraps and the reduction in customs duty on steel products will benefit the MSME sector.
However, the reduction in customs duty on steel products will not have a significant impact on the steel industry, as most of the steel imported in the country today comes from the countries with whom we have FTA (Free Trade Agreement) and hence zero import duty.
Narendran further said, “The government’s consistent effort to address the issues related to ease of doing business is a welcome approach as the Budget has further widened the scope of faceless taxation that will eventually reduce litigation.
The government is very ambitious about its disinvestment plans and has also refocused on the monetization of government assets.
Overall, we can call it a reformist budget, as it recognizes and emphasizes the participation of private players in all major sectors, including the financial sector.