Budget 2013-14: What is in store for engineering & capital goods industry?

Prayasvin B Patel
Elecon Engineering

“The Engineering and Capital goods industry, being at the epicenter of various sectors, requires to have necessary attention and be highly leveraged. Capital intensive needs a lot of issues to be resolved and positive policy changes which would enable them to innovate and build competitive advantage.

The number of projects that have been stalled and cancelled has increased and if the budget addresses some of the power sector issues such as poor financial position of state power, distribution companies and delays in land acquisition and forest clearances, among others, it would be beneficial for the capital and engineering goods sector.

Last but not least, as the implementation of Goods and Service Tax (GST) appears unlikely in the next fiscal, the expectation from this Budget would be to set up a clear road map for the implementation of GST that would rationalize the complicated indirect taxes regime that businesses in India have to face”.

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