Renault and Yamaha India Union Budget 2015 reaction
Sumit Sawhney, Country CEO and Managing Director, Renault Operations in India views Union Budget 2015 as a well balanced one. Roadmap outlines positive measures that boosts infrastructure growth. A firm date on GST lives up to a much willed for pre-budget expectation. New tools boost investment, manufacturing and skill development within the realm of overall expectations to boost growth.
Renault hopes for ongoing measures and policies to maintain balance between interest rates, inflation and declining rupee value to benefit the economy. Though the budget didn’t have much for the automobile sector, Renault India is hopeful for some pro-business policies that benefit the industry in the near future.
Roy Kurian, Vice President, Yamaha Motor India says amid expectations from across sectors for Union Budget 2015, automobile industry has little reason to celebrate just as yet. Yamaha does see some indirect positives. This includes GST implementation timeline of April 2016, increased allocation of funds towards road-building, and reduction in corporate tax from 30-25 pct over the next 4 years.
Businesses operating in India can keep an eye on economic recovery and growth, GDP, rupee growing stronger, etc. Finance Minister has indicated plan proposals to further ease of doing business to encourage a more positive overall business environment. Government is focused on rural development and allocation of Rs 34, 699 crores for rural growth is announced. This avenue of development lets companies target untapped rural market potential. Boosting the country’s manufacturing hub status through ‘Make In India’ campaign gives auto manufacturers an added advantage. Initiatives on skill development will make available skilled labour and expertise for manufacturing across segments.