Progressive Budget For Ease of Doing Business, MSMEs: CII T’gana

Hyderabad: The Telangana chapter of Confederation of Indian Industry (CII) on Saturday termed the Union Budget tabled in Parliament as progressive that will also further strengthen Ease of Doing business. However, the MSME panel of CII Telangana finds certain sops could have been included for micro and small enterprises.

“We were looking forward for a cut in corporate tax for the micro and small enterprises as this would give them more revenue in hands as working capital. Moreover, a ‘green fund’ should be extended to micro and small enterprises that adopt technologies to meet carbon neutral target,” Convenor of CII Telangana MSME panel, Dhanraj Tirumala told Bizz Buzz.

He further informed that while carbon neutrality has been the talk, the mention about carbon footprint capture with industry focus did not come up in the Budget. European Union has set 2050 as the target for achieving net zero, while the same is 2070 for India.

“If exports have to scale up, Centre should announce ‘green fund,’ incentives for industries to adopt technologies that will help micro and small enterprises meet the EU norm for Common Border Adjustment Mechanism (CBAM),” Tirumala highlighted.

He also pointed out that if the country’s GDP has to grow at the projected seven per cent, the gap between Centre’s financial schemes and its implementation at the ground level has to be addressed. “Enterprises face difficulties accessing even collateral free loans. Let the banks do their due diligence, but after the assessment is done, the restriction to release the loan should be relaxed,” he added.

Sai D Prasad, Chairman, CII Telangana termed the budget as agriculture and MSME-friendly. He further said that many proposed interventions will give a fillip to entrepreneurial ecosystem in the country.