Hiked rural spend to result in consumption rise: Godrej

By Adi Godrej

Chairman, Godrej Group

"Broadly I am very happy because the good points of the Budget are that consumption will rise, the income tax slab changes are very positive in terms of leaving money in the hands of consumers. The additional spending in rural India will be positive in terms of consumption. So consumption led growth to my mind will be strong.

However there are cost increases, excise duty, fuel, freight and those will have to be passed on. What effect that will have on consumption, the price increases we have to wait and watch. The price increases won’t be very high. So hopefully the effect on consumption won’t be anything drastic."