Gujarat industry, in general, is extremely disappointed with the budget that Union finance minister Pranab Mukherjee presented in parliament on Monday.
Perhaps the only sector of industry in Gujarat that is smiling is the pharmaceutical sector as custom duty has been lowered on bulk drugs, some life-saving drugs and vaccines.
The authorities of the state’s civic bodies are the other group that seems satisfied with the budget. They are optimistic of higher allocations under the JNNURM for development of urban infrastructure. The state’s foresters, however, are disappointed. The grant they had sought for lion conservation more than a year back, has not been sanctioned.
Sources said industry was expecting major concessions in the budget to help it tide over these recessionary times. Unfortunately, for most sectors, no major sops have been announced. The saving grace, however, is that there has been no major hike in taxes either.
While some in industry have termed it outright as a ‘socialist budget’, others have welcomed the abolition of the Fringe Benefit tax (FBT). The textile and jewellery sectors are lamenting the increase in excise duty.
The state’s several ports are uncertain about how the Central government intends to develop this crucial sector.Officials of some ports said there was ambiguity in the announcements on ports.
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