Union Budget 2019-20- Industry Reactions
Dr. Alok Roy, Chairman, Medica Group of Hospitals, #Budget 2019-20
“The Government has rightfully focused on bringing in several key structural reforms for the nation moving towards the goal. We would like to congratulate the Government for displaying commitment and concern towards improvement in Public Healthcare aiming to create a healthy India, with comprehensive wellness derived environment for all.
We are happy to see that the government has proposed to expand Swachh Bharat Mission to undertake sustainable solid waste management in every village of the country. Rural health hygiene has definitely improved. Citizens are expected to be less vulnerable to communicable diseases in open defecation free villages. I believe the Swacch Bharat Mission is an ideal holistic mass initiative and has been effective and successful in changing the mind-set of people in the country.
100% FDI in insurance intermediaries is a push for the insurance sector. Going forward we expect more people will be under the insurance coverage net and the transactions in hospitals will be faster. This will increase health security at the same time and create more opportunities in the sector. Additionally, the deduction limit for medical insurance that has been increased from Rs. 15,000 to Rs. 25,000 and for senior citizens, till Rs. 50,000, will augur well for individuals.
The industry was intently looking forward for further announcements regarding Ayushman Bharat taking the right partnership approach to a more inclusive participation. Some relief on imported medical equipment could have been provided which would have benefitted the sector.” said Dr. Alok Roy, Chairman, Medica Group of Hospitals.
Mr Amit Saraogi, MD, Anmol Feeds Pvt Ltd.
“We welcome the Pradhan Mantri Matsya Sampada Yojana (PMMSY) that will focus on addressing the critical infrastructural gap in the fisheries sector. Due to the increase in demand of healthy animal protein consumption, fish farming and aquaculture has become an important and growing sector not only in India but across the world.
Impetus provided to develop the infrastructure of the fisheries sector will yield in better productivity and efficiency, thereby, strengthening the value chain, including infrastructure, modernization, traceability, production, productivity, post-harvest management, and quality control. This will certainly benefit the aqua farmers and the rural economy in a big way.
The government’s decision to upgrade agricultural infrastructure and support entrepreneurship in farm sector is a positive move.
However, the livestock feed industry was expecting an address on the maize deficit as well as pricing issue that has been plaguing the industry since last year and offer some relief. It might impact the food security of the citizens in the long run.
The sector will benefit from the Pradhan Mantri Gram Sadak Yojana which will enrich road connectivity to deeper pockets of India.”
Rikhil Shah, CFO, SBI General Insurance-
“Growth of insurance sector is directly related to the development in major sectors like infra, SME, etc., contributing to India’s GDP. The Budget proposes to invest Rs 100 lakh crore in the infrastructure sector, Rs 50 crore for 2% interest subvention for all GST-registered MSMEs on fresh or incremental loans. This will give the required impetus to the infra and SME sectors which in turn will lead to growth in commercial insurance. Tax benefits on electric vehicles and home loans for affordable housing will give boost to motor and home insurance respectively. We welcome the move of proposed 100% FDI hike for insurance intermediaries. This will infuse capital and will translate in deeper penetration of insurance in India thus ensuring that the growing India stays adequately protected. Also, the proposal of hike in FDI in the insurance companies would be a welcome move for the industry.”
Mr. K John Baby, CEO, Funskool India Limited
“The Government’s move to continue with the policy of phased reduction in Corporate Tax rates, is a welcome step. The widening of Annual Turnover from 250 Cr to 400 Cr will reduce the tax liabilities for a large number of companies and boost profits in the long term. We welcome the Government’s initiative to crack down on nefarious activities and unfair trade practices that have availed undue concessions and export incentives, in the past. The fully automated GST Refund Module and Multiple Tax Ledgers for a taxpayers, are few steps which will bring transparency in the retail sector. Additionally, the Government’s scheme of the Pradhan Mantri Kaushal Vikas Yojana, will help create a large pool of skilled manpower and avoid skilled Labour shortage in the future.”
Mr Satyam Roychowdury, Founder and MD, Techno India Group and Chancellor, Sister Nivedita University says: “This new budget is a great incentive for universities looking up and trying to improve higher education. The inclusion of fee waivers for meritorious foreign students would definitely boost the number of international students in India. The National Education Policy (NEP) would further strengthen the research funding in the academic institutes without worrying for external funds”.