Budget: Industry seeks tax incentives, more funds to boost manufacturing, green tech, exports
Indian industry, including exporters on Thursday, asked the government to provide tax incentives for research and more funds for marketing activities in the Budget to boost manufacturing and the country's outbound shipments. They also urged the government to consider developing a global shipping line in partnership with the private sector.
India's outward remittance on transport services is increasing with rising exports.
«We remitted over USD 80 billion as transport service charge in 2021. As the country moves towards the goal of USD 1 trillion, this will touch USD 200 billion by 2030,» Federation of Indian Export Organisations (FIEO) said, adding that the private sector may be engaged to develop the shipping lines.
This will also reduce arm-twisting by foreign shipping lines, particularly of our MSMEs, the organisation said.
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For promoting Research and Development (R&D) in the country, weighted tax deduction can be increased to 200 per cent, it said.
«Unfortunately, India's spending on R&D (less than 1 per cent of GDP) is well below that in major nations such as China (2.43 per cent of GDP), US (3.46 per cent), Korea (4.93 per cent) and Israel (5.56 per cent),» Israr Ahmed President (Officiate) and Vice President FIEO said.
He said aggressive export marketing is required to showcase Indian products and services to the global customers, and for that more funds are required under the Market Access Initiative (MAI) scheme.
«For
