Demonetisation: See short-term impact on tractor sales; focus on mfg needed: M&M

"Demonetisation a move in the right direction," says Pawan Goenka, MD of Mahindra and Mahindra in an interview to CNBC-TV18's Priya Sheth, adding that more needs to be done to truly make India a manufacturing nation.

All the steps taken by the government so far, like ease of doing business, trying to attract investment, getting infrastructure right – all of these are important pieces of the puzzle but so far it has not made a huge difference for our industries, says Goenka. The impact of all these initiatives has not been as envisaged maybe because of overall economic conditions like global slowdown etc., he adds.

I just feel that what is being done is right, and needs to be done but it is not enough and a lot more needs to be done if India has to become a manufacturing nation, says Goenka.

However, in the short-term demonetisation will have a negative impact on farm income and in turn on tractor sales, says Goenka, adding that one is not sure how short this short-term will be.