As the Union Finance Minister Nirmala Sitharaman, is all set to present the Indian Budget for 2023-24, we reached out to Lalit Arora, Co-founder of VingaJoy to understand what consumer tech and electronic sectors are expecting from the upcoming budget.
In his comments about the Union Budget 2023-24, Lalit Arora, Co-founder of VingaJoy said, “Manufacturing sector is a significant contributor to supporting employment and economic growth. Amplifying its growth has long been on the agenda of the Indian government. Budget 2022-2023 Consumer electronics manufacturers expressed disappointment as there was no concession or GST rationalization given on products. From the Union Budget 2023-2024 we expect reforms in the Budget that would accelerate growth channeled by consumer demand.”
“Given that wearable devices are a new rage, it is high time that wearables are also incentivized under consumer device categories. As of now, wearables are not augmented by any specific government initiative or subsidy. Also encouraging R&D/Designing in India & Promoting new supply methods: The government can acknowledge and encourage manufacturers by providing subsidies to Completely Knocked Down (CKD) and Semi Knock Down (SKD) production. It increases the probability of getting better returns and extends companies’ footprint in mature markets,” Lalit added.
Further adding to his expectations, Arora said, “We are also expecting additional tax benefits and lower tax rates & extending the scope of employee stock ownership plan (ESOP) taxation reforms to startups. This year the Indian economy is on the road to recovery and the Union Budget 2023-2024 will be crucial for the Consumer Electronics sector as it can facilitate the industry’s effective revival. SMEs, MSMEs, and manufacturing giants alike are looking forward to Budget 2022, which will give a boost to their growth trajectory.”
